Chip rally, Fed task forces, Delta earnings and more in Morning Squawk
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Happy Friday. Tune in to "Squawk on the Street" at 11 a.m. ET for an interview with FCC Chairman Brendan Carr as his agency's investigation of ABC's "The View" continues. Watch live on CNBC or CNBC+ (https://www.cnbc.com/live-tv/).
Stock futures (https://www.cnbc.com/2026/07/09/stock-market-today-live-updates.html) are mixed this morning. The Nasdaq Composite (https://www.cnbc.com/quotes/.IXIC/) and S&P 500 (https://www.cnbc.com/quotes/.SPX/) are both on track for a winning week.
Here are five key things investors need to know to start the trading day:
- Chips do the heavy lifting
Wall Street got a lift yesterday from chipmakers, which rallied across the board to push all three major averages to close higher. Micron (https://www.cnbc.com/quotes/MU/) led the way with a 4.5% gain in Thursday's session after announcing plans to invest billions more (https://www.cnbc.com/2026/07/09/micron-stock-us-chipmaking.html) in the U.S. supply chain.
What makes this particularly fascinating is the potential impact on the global economy. The U.S. is a major player in the chip industry, and increased investment could lead to advancements in technology and innovation. However, it also raises questions about the sustainability of such investments and the potential for a chip surplus.
- Outside help
US Federal Reserve Chair Kevin Warsh has assembled a team of experts to examine the central bank's operations. The task forces include notable figures such as venture capitalist Marc Andreessen, Xbox CEO Asha Sharma, former White House Council of Economic Advisers Chairman Greg Mankiw, and former Walmart CEO Doug McMillon.
In my opinion, this move is a strategic one. By bringing in diverse perspectives, Warsh is ensuring a comprehensive review of the Fed's operations. The AI-focused task force, in particular, suggests a bullish stance on AI, which could shape the Fed's approach to regulating this rapidly evolving technology.
- Delta's travel checkup
Delta Air Lines kicked off the second-quarter earnings season with strong results, reaffirming its earnings forecast for the year. CEO Ed Bastian attributed the success to maintaining pricing power and passing on higher fuel costs to consumers.
What makes this interesting is the potential implications for the travel industry. Delta's ability to hold onto pricing power suggests a resilient market, but it also raises questions about the long-term sustainability of such practices. The airline industry is facing challenges, and Delta's strategy may be a key factor in its success.
- Traffic report
Oil prices fell on Thursday, but the Strait of Hormuz remains a critical pressure point. Tanker traffic through the strait has slowed sharply due to Iranian attacks on commercial ships, triggering renewed U.S. attacks.
This situation highlights the geopolitical tensions surrounding oil supplies. The Strait of Hormuz is a major shipping lane, and any disruption can have significant consequences for global oil markets. The ongoing conflict raises questions about energy security and the potential for further escalation.
- Now arriving: DJT
Palm Beach International Airport has been renamed President Donald J. Trump International Airport, with its code changing from PBI to DJT on August 18. The renaming is expected to cost around $5.5 million and is a result of legislation signed by Florida Gov. Ron DeSantis.
This development is intriguing from a political perspective. The airport is frequently used by the Trump family, and the renaming symbolizes the Trump Organization's influence in the region. It also raises questions about the potential for political symbolism in infrastructure naming.
In conclusion, this edition of Morning Squawk highlights a range of economic and political developments. From chip rallies to Fed task forces and Delta's earnings, these stories provide insights into various sectors and their potential impacts on the global economy. The Strait of Hormuz situation and the Trump Airport renaming add a layer of geopolitical complexity to the narrative.
