WASHINGTON, DC – JULY 14: Federal Reserve Chairman Kevin Warsh testifies before the House Financial Services Committee on Capitol Hill on July 14, 2026 in Washington, DC.
Eric Lee | Getty Images News | Getty Images
Hello, my name is Anique Bao from Singapore. Welcome to another edition of CNBC’s Daily Open.
Even as hostilities in the Middle East escalated, Wall Street saw benchmark indexes rising on strength from Big Tech and signs of easing inflation, overcoming geopolitical tensions.
A $53 billion tender offer for PayPal sent the company’s stock price soaring, but SpaceX learned that what went up could come down quickly as the company’s stock price fell below its offering price.
In Washington, Fed Chairman Kevin Warsh walked a tightrope in his Senate testimony, talking about the economy and interest rates while also answering questions about how often he would speak to the Trump administration.
What you need to know today
The United States carried out several strikes against Iran on Wednesday, but President Donald Trump said the pressure was working and told reporters that Iran now wants talks.
Analysts warn that disruptions in energy markets are likely to be prolonged and that escalation in hostilities risks “forever war” – a conflict that continues with no clean exit. Crude oil traded higher during Asian hours.
Undeterred by geopolitics, Wall Street’s major averages closed higher, buoyed by profits from big tech companies and easing inflation. Wholesale prices unexpectedly fell 0.3% in June due to a sharp drop in gasoline prices, a welcome surprise that gives the Fed room to maneuver.
However, not everyone is celebrating the market’s rise. Warren Buffett has criticized the stock market for becoming increasingly driven by speculative trading rather than long-term investing. “It’s hard to find values when everyone likes to gamble.”
The veteran investor told CNBC that he was not the one who initiated the conglomerate’s recent big investment in Alphabet. Berkshire Hathaway New CEO Greg Abel.
Federal Reserve Chairman Kevin Warsh testified before the Senate Banking Committee, answering questions about the economy and factors affecting interest rates. Warsh said he meets “frequently” with the Trump administration, but insisted the central bank’s decisions remain independent.
On the technology front, Anthropic is moving closer to its own mega-IPO, with bankers slated to meet with investors for the AI company. A listing would put Anthropic ahead of rival OpenAI in entering the public markets and allow it to build on the momentum of SpaceX’s blockbuster June IPO. The AI Institute’s final valuation was $965 billion.
stripe Advent then made a $53 billion takeover offer for PayPal, sending the payments giant’s stock price soaring. The companies made a cash offer of $60.50 per share for the payments company. PayPal has not responded to this offer.
And as the hype surrounding the reusable rocket maker wanes, SpaceX stock has fallen below its public offering price of $135 for the first time, about a month after its blockbuster debut. The company is scheduled to begin its 13th Starship test flight on Thursday.
— Anique Bao
And finally…
Kalsi traders expect gasoline prices to cross $4 by end of July
The probability that gas prices will exceed $4 a gallon by the end of this month has increased from 56% in Calci to 90% in the past two days.
Kalsi traders currently see a 93% chance that gas prices will rise above $4 a gallon and a 63% chance that they will rise above $4.10. The contract, which asks what U.S. gas prices will be this month, will be reviewed by AAA.
National gas prices on Wednesday were $3.89, about 3 cents higher than Tuesday, according to AAA.
— Ananya Chettiar
