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Now time for some of today's trending tickers. We're watching Magnificent 7 stocks, Airlines, and Pharmaceuticals. First up, let's talk about that Magnificent 7 rallying after the US and China agreed to tariff reductions. The stocks are up nearly 20% from their April 8th low here. And there you're taking a look at Nvidia, Apple, and Tesla on your screen. Um, and then perhaps we can take a look at the rest of them as well here. Amazon, of course, was one that we did see ripping to the upside here pre-market. And here's kind of a piece of the negotiation and the deals that we are still waiting more details around and still will need to be negotiated out in full. But if you're looking back and trying to use the 2020 deal as a measuring post, there could potentially for these tech companies be major advances at least in intellectual property protections here, which as you think about how many of them are trying to either make sure that their products continue to remain available in China or the Asia Pacific region more broadly and what intellectual property protections they would like if they are putting products in that region, whether it be chips, whether it be smartphones, they all want to make sure that there's a crackdown on counterfeit goods, that there's improved protection for trade secrets, and then uh measurements against some of these forced technology transfers. And so if you were able to insulate that and offer them some of those protections, that could potentially be a boon on top of, yeah, Apple not having to, you know, charge US consumers as much because they would be hitting or hit with more tariffs to get their products from production in China into the US and vice versa.

Yeah, it's interesting off the back of Apple this morning soaring not only because it's going up alongside the rest of the market, but also because of that announcement on potential increased uh prices that is, according to the Wall Street Journal this morning, citing sources that Apple could be lifting iPhone prices, not tying it to tariffs though because they don't want to have that headline cross, but they're lifting prices uh because of tariff policy here. But interesting to see the entire basket moving up. Nvidia in particular interesting because we didn't get any headlines specific to export controls on chips specifically, but yet it's moving up alongside the broader basket, the mag 7s, currently on track to be in a bull market if it continues to move to the upside.

Only other thing I'll say here on the mag 7, Amazon perhaps could have been one of the biggest like WTF moments that happened for the White House to have to consider as part of the broader trade negotiations when it leaked out some action that eventually was refuted by Amazon in saying that or there was a report that said that they were going to list what the increase in prices was due to tariffs and the White House got pissed off by that. And so that could have been one of the other major moments in this broader kind of timeline that we've continued to track here. And ultimately, uh, interesting to see how Amazon, of course, a platform that really relies on some of those cheaper products being able to make their way into the e-commerce platform as well here.

Absolutely. Well, next up, let's look at Airlines, one of the biggest gainers this morning following the agreement between the US and China to temporarily lower tariffs, also coming after the US government announced plans to spend tens of billions of dollars to upgrade the nation's air traffic control system. Look at all these stocks moving up across the board. The interesting thing, Kevin Gordon from Charles Schwab pointed this out, he'll be on with us later, are services going to be a area where consumers still feel that they can spend going forward even if you kind of try to put the toothpaste back in the tube when it comes to tariffs.

This one's difficult because you think about the summer travel season and how many consumers are still trying to figure out how much they have the propensity to spend versus recent years. We've come out of the years of the revenge travel, even the bleisure travel demand. And so now you're looking at a consumer that is being extremely discretionary about some of the travel and experience economy that they buy into, whether that be in parks and resorts. And of course, Disney, they were able to actually come out and signal a little bit more of a brighter light on that in terms of some of the investments that they're making going forward. Um, but for all the airlines, they have been up in the air about what the guidance and the near term, I'm sorry, I had to do it. They have been up in the air about exactly how they can communicate to the street where there's confidence in their guidance versus where they just need to level set and bring down expectations in order for them to beat on some of those lower bars as well.

Absolutely.

Finally here, let's talk a little pharma stocks following as President Trump vows to cut drug prices by more than 50%. Trump says he will institute a policy known as most favored nation where the US government plans to pay prices for drugs that are tied to the prices paid by other countries. You're seeing shares of some of the largest uh healthcare stocks here moving to the downside actually right now. What this would essentially mean is that they're not going to be able to extract as much in some of those margins or charge higher prices that then buoy those margins as well.

Absolutely. And there's obviously criticism about the US pharma companies being able to do a lot of the R&D that allows for uh some of that drug development to be a lift to these stocks. And in part, that's something the president will be addressing. He'll be speaking coming up here at 9:30 a.m. Eastern. We may have more headlines on those pharmaceutical stocks coming out of those remarks.