• The Federal Reserve began a sweeping undertaking on Monday to re-write regulations at banks, as a day-long conference at the Fed focused on simplifying more stringent guidelines established since the 2008 financial crisis. The objective is to potentially save major banks billions in capital spending, freeing up capital to be lent out, though critics cite less insulation from future shocks.

• Fed Chairman Jerome Powell emphasized the need for a “safe, sound, and efficient banking system,” as Fed Vice Chairman for Supervision Michelle Bowman, leading this aggressive push, emphasized the need to preserve monetary policy autonomy in the face of White House criticism. The meeting addressed a number of capital requirements, including leverage, global bank levies, and stress tests.

• Texas Instruments Inc. (TXN) stock dropped after it reported a conservative third-quarter forecast, triggering fears that a rally in demand driven by tariffs will be short-lived. The conservative message of managers on a conference call further heightened investor anxiety. Meanwhile, China’s imports of coal in June declined 26% from a year ago, their lowest since February 2023. Imports from top supplier Indonesia led the decline, a pattern suggesting Chinese power plants are turning away from lower quality fuels amid local excess and US-China trade war-led disruptions affecting propane and ethane purchases.