Trump Threatens New Tariffs, Schwab CEO Talks Earnings | Bloomberg Businessweek Daily 7/21/2026

Summary

The episode covers President Trump's threat of a 50% tariff on Canadian goods using a 1930 law, escalating US-Iran conflict and its impact on global shipping and oil markets, Charles Schwab's record Q2 earnings driven by surging retail trading, and Cytokinetics' CEO warning about declining US biotech investment. Market action includes a massive chip-stock rebound and varied corporate news from GM, D.R. Horton, and Danaher.

• Trump vows 50% tariffs on $20B of Canadian goods under Section 338 of the 1930 Tariff Act, aiming to force negotiations.
• US-Iran war intensifies; Strait of Hormuz and Red Sea shipping under threat, with dire outlook from Bloomberg analyst.
• Charles Schwab beats Q2 estimates, fueled by record daily average revenue trades (+57% YoY) amid high retail engagement.
• Schwab CEO notes retail investors are buying dips, rotating into AI stocks, and showing historic interest in SpaceX IPO.
• SpaceX retail demand remains very strong post-IPO, with clients still buying even after the stock fell below the offer price.
• Cytokinetics CEO Robert Blum warns that the US is ceding biotech leadership to China due to lack of industrial policy.
• Philadelphia Semiconductor Index (SOX) surges 5.3%, leading a broad market rally with dip-buyers returning.
• Corporate movers: GM up on raised profit forecast; D.R. Horton down on cut guidance; Danaher plunges on disappointing outlook.