The market is moving lower with profit taking action across the major indices after last week’s record closing highs.

Investors are also reacting to the tariff deadline approaching. Trump posted the first tariff rate letters to Japan and South Korea, laying out a framework for 25% tariffs effective August 1^st, warning retaliation will result if they try raising tariffs. However, Director Hasset indicated that some tariffs could be delayed, but it is up to Trump.

Notably, Trump also mentioned nations aligning with BRICS will face an additional 10% tariffs, in an effort to curb anti-American policies.

Earlier, Secretary Bessent did comment that he expects several trade announcements in the next 48 hours and stressed quality over quantity.

All sectors are in the red, with Utilities (XLU) holding up the best, while Consumer Discretionary (XLY) is lagging the pack.

Consumer Discretionary (XLV) is being led lower by Tesla (TSLA) after Elon Musk proposed starting a new political party.

Other Magnificent Seven stocks are mostly moving lower, except for a marginal rise in Meta Platforms (META).

The ten-year treasury yield (TNX) is up 3.5 basis points and testing its 50 MA, after retaking its 200 MA last week.