Market Movers Today: Boeing Faces Strike Threat, AMD Surges on AI Chip News, and New Tariffs Rattle Global Trade
Meta Description: Key market movers today: Boeing confronts a major labor strike, AMD stock soars on AI chip developments, and the U.S. sets new global tariff policies.
U.S. stock markets are trading mostly higher as investors digest major developments in corporate labor relations, the semiconductor industry, and international trade policy. Aerospace giant Boeing is staring down a potential labor strike, while chipmaker AMD is riding a wave of positive news, highlighting a dynamic and shifting economic environment.
Boeing Confronts Major Strike as 3,000 Workers Reject Contract
Boeing could be facing another significant labor disruption after more than 3,000 workers at three of its fighter jet plants overwhelmingly rejected a proposed contract. The deal, which included a 20% wage increase spread over four years, was deemed insufficient by the workers’ union.
In a statement, the union said the deal, quote, “fell short of addressing the priorities and sacrifices” of its members. The rejection triggers a critical standoff ahead of a potential work stoppage.
With a cooling-off period preventing a strike until at least Aug. 4, the clock is ticking for the aerospace manufacturer. Currently, no new talks are scheduled, adding a layer of uncertainty just as Boeing prepares to report its second-quarter results on Tuesday.
AMD Shares Soar on Triple Dose of Good News
In the technology sector, shares of AMD are climbing higher, buoyed by a confluence of powerful catalysts that underscore its strengthening position in the market for advanced computing.
Key Drivers Behind the Rally
The chipmaker’s stock is benefiting from several positive developments:
- Analyst Confidence: UBS issued a price target increase for the company ahead of its Aug. 5 earnings report, signaling renewed Wall Street optimism in its growth trajectory.
- Pricing Power: Reports indicate that AMD has successfully raised prices on its advanced AI chips, a critical and high-demand product category central to the tech industry’s future.
- Easing China Restrictions: According to an FT report, the U.S. government has paused export controls that had previously blocked AMD from shipping certain AI chips to China, potentially reopening a lucrative market and signaling a nuanced shift in U.S. trade policy on technology.
New Tariff Landscape Takes Shape
Providing a backdrop to the day’s corporate news, the global tariff landscape is gaining a degree of clarity, though with a more hawkish tone. The U.S. tariffs strategy appears to be solidifying, with the U.S. and EU reportedly agreeing to a 15% tariff.
Furthermore, President Trump announced that the new global baseline tariff will be set in a range of 15% to 20%. This represents a notable increase from the 10% level that was announced in April, signaling a more aggressive trade posture from the administration of President Trump.
