Friday Market Brief: Tariffs Weigh on Futures, Trump Threatens Canada, Levi Strauss Raises Outlook

US stock futures point to a lower open on Wall Street as investors assess fresh tariff threats from President Donald Trump. Trump threatened 35% tariffs on goods from Canada, effective Aug. 1, and hinted at blanket tariffs of 15% or 20% on a large swath of the world. Levi Strauss raised its full-year financial outlook, saying it is absorbing the impact of Trump's tariffs. Goldman Sachs is testing an autonomous software engineer, Devin, created by AI-startup Cognition.

US stock futures are indicating a lower open on Wall Street as investors assess fresh tariff threats from President Donald Trump. The president has threatened a 35% tariff on goods from Canada, effective Aug. 1, and hinted at blanket tariffs of 15% or 20% on a large swath of the world.

Trump's tariff threats have sparked a reaction in the markets. Futures tied to the S&P 500 (ES=F) fell 0.6%, while those on the tech-heavy Nasdaq (NQ=F) fell around 0.5% after the two indexes rose to eke out record highs on Thursday. Dow Jones Industrial Average futures (YM=F) fell 0.6%, dropping around 300 points [1].

The market has largely shaken off Trump's renewed tariff threats this week, which have culminated in nearly two-dozen letters to trading partners dictating the duties their country's imports will face beginning Aug. 1. That included Wednesday's announcement of a 50% levy on imports from Brazil [2].

Investors had remained optimistic on Trump's shift in deadlines, which was originally set for this week, as the US continued to work on deals with major partners, including the EU and India. Trump said the EU, in addition to Canada, would be receiving a letter "today or tomorrow" [1].

The new tariff announcement comes after stocks shrugged off a 50% tariff on copper imports, effective Aug. 1, and a 50% tariff on Brazil. Instead, investors focused on positive corporate news, including better-than-expected results and outlook from Delta Air Lines [2].

Jeans maker Levi Strauss topped expectations with its second-quarter results and raised its full-year outlook above analysts' forecasts. The company said it has been working to absorb additional tariff costs rather than pass them on to consumers [2]. Levi's shares rallied after hours on Thursday, jumping 8.3% after the company raised its full-year outlook [3].

Goldman Sachs is testing an autonomous software engineer, Devin, created by AI-startup Cognition. The program, named Devin, is expected to join the ranks of the firm's 12,000 human developers [4]. This move signals a shift in the adoption of AI in the corporate world, with greater potential rewards and the possibility of boosting worker productivity.

References:
[1] https://finance.yahoo.com/news/live/stock-market-today-dow-sp-500-nasdaq-futures-slide-after-trump-threatens-35-canada-tariff-higher-blanket-duties-223034746.html
[2] https://www.usatoday.com/story/money/markets/2025/07/11/us-stocks-tariffs-canada-trump-friday/84542536007/
[3] https://www.marketwatch.com/story/levi-strauss-now-expects-sales-to-increase-this-year-despite-higher-tariffs-8d852172
[4] https://www.cnbc.com/2025/07/11/goldman-sachs-autonomous-coder-pilot-marks-major-ai-milestone.html