Bitcoin, Stocks Smash Records, Make History; What's Fuelling Rally?

Summary

David Lin's July 10 daily recap covers record Bitcoin prices, mixed labor data, a strong Treasury auction, the Pentagon's equity stake in MP Materials, Red Sea shipping attacks, and Medicaid changes in the new tax-and-spending law. Jack Mallers argues Bitcoin is the best way to short the dollar and says exchange stocks like CME benefit from currency debasement. Eric Basmajian describes a labor market marked by low hiring, low layoffs, and part-time job growth.

• Markets rallied as traders bought the dip after tariff announcements on copper and pharmaceuticals.
• Bitcoin hit a record near $113,000 amid ETF inflows, Fed rate cut signals, and inflation/deficit hedge demand.
• Jack Mallers said Bitcoin is the best expression of currency debasement and a short-dollar vehicle.
• Mallers also cited exchange stocks like CME as beneficiaries of debasement-driven speculation.
• The Pentagon will take about a 15% stake in MP Materials and support a new magnet plant with financing and offtake guarantees.
• Labor data showed low initial claims but rising continuing claims, with Eric Basmajian describing a hiring freeze.
• A strong 10-year Treasury auction helped reverse a bond sell-off, while Houthi attacks disrupted Red Sea shipping.
• The new healthcare law is projected to reduce Medicaid coverage for millions by 2034.