SOTS 2nd Hour: Trump Reconciliation Bill Latest, NEC Director Hassett, & IMAX CEO Talks F1: The Movie 6/30/25

SPEAKER_1 (0:01)

Want to quickly create and execute trading strategies to help keep up with the markets? With Fidelity Trading Dashboard, you can access live data, advanced charting, portfolio insights and automated alerts, all on one screen. We streamlined the trading experience so you can build and place trades better. Your Fidelity Trading Dashboard is ready now for free. Visit fidelity.com/tradingdashboard.

Investing involves risk, including risk of loss. Fidelity Brokerage Services LLC, member NYSE SIPC.

SPEAKER_2 (0:31)

Introducing the new Dell AIPC, powered by the Intel Core Ultra Processor. It helps do your busy work for you, so you can fast forward through editing images, designing presentations, generating code, debugging code, summarizing meeting notes, finding files, managing your schedule, responding to Jim's long emails, leaving all the time in the world for the things you actually want to do. No offense, Jim. Get a new Dell AIPC, starting at 699.99 at dell.com/ai-pc. How those ahead stay ahead.

Sara Eisen (1:02)

Good Monday morning. Welcome to Squawk on the Street. I'm Sara Eisen with David Faber, and Wilfred Frost is back. Welcome. Thank you very much. Good to have you. We are live from Puz9 of the New York Stock Exchange. Carl has the morning off. Stocks are at record highs as we open here on Monday morning. Holiday short and weak. S&P up a quarter of 1 percent. Financials in the lead today. That's maybe a welcome back, Wilfred. Communication services also up about 7 tenths of 1 percent. We've got energy lagging. So are some of the defensive groups like utilities, real estate. Those are both down. Consumer staples as well. Treasuries, show you how they're kicking off the week. We have a light day to day today, more coming later in the week, but bullish tone with yields a little bit lower. The 10-year yield 425 and the 2-year yield 3725 Coming up this hour, National Economic Council Director Kevin Hassett will join us as senators vote this hour on the big beautiful bill. We'll talk about the economic impact of the legislation, the outlook for the economy as well in the second half. Plus the summer box office kicking into high year F1, the movie speeding to the top of the charts this weekend. We'll talk to the IMAX CEO about the debut. And yes, I saw it for a second time.

Wilfred Frost (2:11)

Are you a fan of F1? Looking forward to that discussion.

Saeed Jones (2:14)

It's a great movie.

Wilfred Frost (2:15)

But first, we're 30 minutes into the trading session. Here are three big movers that we're watching Moderna gaining on positive results from a late stage trial of its flu vaccine, clearing a path forward for that product and the company's separate combination flu and COVID shot it up 1.4%. The DOJ has settled its lawsuit challenging HPE's all cash acquisition of Juniper Networks. The settlement requires the combined company to divest HPE's wireless networking business and license the source code for some of Juniper's AI software. As you can see, those stocks moving higher, quite healthy moves. Oracle jumping to new highs in early trading after a filing showed positive comments from CEO Safra Katz about cloud demand. That's up 5.6%, a massive 60% gain so far this quarter for Oracle.

Sara Eisen (3:04)

It's been an amazing run. As for what is ahead for us this week in the macro world, I mentioned late day to day. Big report is going to be Thursday, unusual jobs report because of Friday, 4th of July. Ahead of that, we do have manufacturing numbers starting tomorrow, ISM, construction spending, also the Jolt Switch job openings. We know the Fed pays attention to that. Chair Powell also speaks at the ECB forum this week in Cintra, Portugal. The jobs data continues throughout the week with private sector on Wednesday and ADP and then I mentioned jobs report.

Thursday, it's important because we're getting to this weird place where the Fed is kind of caught in between its mandates of worrying about future high inflation, which it thinks it's coming from tariffs, or having to worry about the jobs market, which is showing some softening. But guys, I wanted to focus on tariffs right now because we're approaching this July 9th, some are calling it Liberation Day Part 2 We'll see what happens when the Liberation Day exemptions expire, where he brought those revenues back to, or those tariffs back to 10 percent. But look how much we've been collecting in revenues. And I did this in part because Wilfred's here and he can talk about the UK trade deal. But just this is the monthly numbers and they have gone up a lot. June is actually set for another big increase of 27 billion. That is money coming into US coffers from tariffs. Now, who pays it? That's a matter of discussion, right? Is it the US consumer? We know it's the US importer, right? They have to pay it to bring stuff in to this country. And we are collecting a lot of revenue. So far, guys, $121 billion has flowed into the US government since the start of the fiscal year. It's still a tiny portion of the overall revenues that the US government gets, but it's increasingly a lot, especially if we haven't seen it in terms of the consumer paying off higher inflation.