S&P 500 and Nasdaq notch record closes, lifted by Alphabet
THE S&P 500 and the Nasdaq notched record high closes on Thursday as robust results from Google parent Alphabet fueled optimism about other heavyweight artificial intelligence stocks, while Tesla slumped after the electric vehicle maker's results disappointed investors.
Alphabet rose 1% as the search giant's results boosted confidence that heavy investment in a race to dominate AI technology is paying off.
Shares of Microsoft, Nvidia and Amazon each climbed 1% or more.
The U.S.-Japan trade deal and recent signs of progress in talks with the European Union also fueled Wall Street's gains.
"Investors are feeling optimistic about trade negotiations, about the economy, the trend in inflation, as well as the better-than-expected Q2 earnings reports," said Sam Stovall, chief investment strategist at CFRA Research.
Tesla tumbled 8.2% after CEO Elon Musk warned of a "few rough quarters" as the U.S. government cuts support for electric vehicle makers. The stock has fallen around 25% so far in 2025.
UnitedHealth fell 4.8% after the insurer revealed it was cooperating with a Department of Justice probe into its Medicare practices, following reports of both criminal and civil investigations.
IBM dropped almost 8% after its second-quarter results fell flat with investors, hampered by disappointing sales in its core software division.
Honeywell fell 6.2% despite topping Wall Street's expectations and raising its annual outlook.
The S&P 500 crept up 0.07% to end the session at 6,363.35 points. The Nasdaq gained 0.18% to 21,057.96 points, while the Dow Jones Industrial Average declined 0.70% to 44,693.91 points.
Volume on U.S. exchanges was relatively heavy, with 19.9 billion shares traded, compared to an average of 17.8 billion shares over the previous 20 sessions.
Eight of the 11 S&P 500 sector indexes declined, led lower by consumer discretionary, down 1.23%, followed by a 0.75% loss in materials.
American Airlines tumbled nearly 10% after the carrier forecast a big third-quarter loss, hurt by sluggish domestic travel demand.
U.S. President Donald Trump's global trade war has created the biggest uncertainty for the airline industry since the COVID-19 pandemic.
Markets were also monitoring Trump's planned visit to the Federal Reserve's headquarters on Thursday, following months of the president criticizing Fed Chair Jerome Powell for interest rates that Trump views as too high.
With the Fed widely expected to hold rates steady at next week's meeting, traders see a 60% chance of a September rate cut, according to CME's FedWatch tool.
A U.S. Labor Department report showed jobless claims last week fell to 217,000 - well below estimates - signaling continued resilience in the job market.
U.S. business activity gained momentum in July, but companies hiked prices on goods and services, fueling economists' predictions of faster inflation in the months ahead, largely driven by rising import tariffs.
Declining stocks outnumbered rising ones within the S&P 500 by a 1.3-to-one ratio.
The S&P 500 posted 46 new highs and 6 new lows; the Nasdaq recorded 81 new highs and 44 new lows. - Reuters
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Malaysian Reserve
25 minutes ago
- Malaysian Reserve
Lifeway Foods Acknowledges ISS Recommendation to Reject Dissident Campaign
MORTON GROVE, Ill., July 29, 2025 /PRNewswire/ — Lifeway Foods, Inc. (NASDAQ: LWAY), a leading U.S. supplier of kefir and fermented probiotic products, today announced that Institutional Shareholder Services Inc. (ISS), a leading independent proxy advisory firm, has recommended that shareholders 'DO NOT VOTE' in connection with the ongoing dissident-led consent solicitation. In its report, ISS concluded that 'the dissident has not presented a compelling case for change' and advised shareholders to 'DO NOT VOTE' on all proposals put forth by Ludmila and Edward Smolyansky and their aligned group. 'We appreciate ISS's thorough review and are pleased that their recommendation supports our belief that this consent solicitation is unwarranted, disruptive and not in the best interest of Lifeway shareholders,' said Julie Smolyansky, CEO and Chair of Lifeway Foods. The ISS analysis noted that: Lifeway's 'financial performance has been directionally positive' and its 'share price [has] rallied over the preceding year on multiple positive earnings announcements,' with total shareholder return significantly outperforming peers in the Russell 3000 Food Producers Index. The dissident group's critiques 'are generally presented without adequate context,' and the dissident group 'does not clearly establish how various developments have actually impacted shareholder returns.' The dissident group 'has not presented a plan should it successfully secure a majority of board seats' for governance or operational improvement. The dissident nominees include individuals who previously contributed to governance concerns during their past tenures at the Company. 'The Lifeway Board and management team remain focused on maximizing shareholder value and will continue to pursue all opportunities to drive additional value,' added Smolyansky. 'We encourage shareholders to follow ISS's guidance and take no action on the consent solicitation.' About Lifeway Foods, Inc. Lifeway Foods, Inc., which has been recognized as one of Forbes' Best Small Companies, is America's leading supplier of the probiotic, fermented beverage known as Kefir. In addition to its line of drinkable Kefir, the company also produces a variety of cheeses and a ProBugs line for kids. Lifeway's tart and tangy fermented dairy products are now sold across the United States, Mexico, Ireland, South Africa, United Arab Emirates and France. Learn how Lifeway is good for more than just you at Important Additional Information The Company intends to file a proxy statement on Schedule 14A, an accompanying BLUE proxy card and other relevant documents with the U.S. Securities and Exchange Commission (the 'SEC') in connection with the solicitation of proxies from the Company's shareholders for the Company's 2025 annual meeting of shareholders. THE COMPANY'S SHAREHOLDERS ARE STRONGLY ENCOURAGED TO READ THE COMPANY'S DEFINITIVE PROXY STATEMENT (INCLUDING ANY AMENDMENTS OR SUPPLEMENTS THERETO), THE ACCOMPANYING BLUE PROXY CARD AND ALL OTHER DOCUMENTS FILED WITH THE SEC CAREFULLY AND IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. Investors and shareholders may obtain a copy of the definitive proxy statement, an accompanying BLUE proxy card, any amendments or supplements to the definitive proxy statement and other documents filed by the Company with the SEC at no charge at the SEC's website at Copies will also be available at no charge by visiting the 'Investor Relations' tab of the Company's website at The Company may file a consent revocation statement, in which case all references to a proxy statement, proxies, proxy cards and solicitation of proxies referenced in this 'Important Additional Information' section and the 'Participants in the Solicitation' section below shall be deemed to refer to such consent revocation statement, consent revocations, revocation cards and solicitation of consent revocations. Participants in the Solicitation The Company, each of its independent directors (Juan Carlos Dalto, Jody Levy, Dorri McWhorter, Perfecto Sanchez, Jason Scher and Pol Sikar) and certain of its executive officers (Julie Smolyansky, Chief Executive Officer, President and Secretary, and Eric Hanson, Chief Financial and Accounting Officer and Treasurer) are deemed to be 'participants' (as defined in Schedule 14A under the Securities Exchange Act of 1934, as amended) in the solicitation of proxies from the Company's shareholders in connection with matters to be considered at the Company's 2025 annual meeting of shareholders. Information about the names of the Company's directors and officers, their respective interests in the Company by security holdings or otherwise and their respective compensation is set forth in the 'Information About Our Directors and Executive Officers' section in Part III, Item 10 – Directors, Executive Officers and Corporate Governance of Amendment No. 1 to the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2024, filed with the SEC on April 29, 2025 (the 'Form 10-K Amendment'), in Part III, Item 11 – Executive Compensation of the Form 10-K Amendment and in the 'Security Ownership of Certain Beneficial Owners and Management' section in Part III, Item 12 – Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters of the Form 10-K Amendment. Supplemental information regarding the participants' holdings of the Company's securities can be found in SEC filings on Statements of Change in Ownership on Form 4 filed with the SEC on June 18, 2025 for Julie Smolyansky (available here) and Eric Hanson (available here) and on July 1, 2025 for each of Pol Sikar (available here), Juan Carlos Dalto (available here), Jason Scott Scher (available here), Dorri McWhorter (available here), Perfecto Sanchez (available here), and Jody Levy (available here). Contact: Perceptual AdvisorsDan TarmanEmail: dtarman@ Derek Miller Vice President of Communications, Lifeway FoodsEmail: derekm@ General inquiries:Lifeway Foods, 847-967-1010Email: info@
The Star
36 minutes ago
- The Star
LRT cost capped at RM16bil
GEORGE TOWN: MRT Corp is aiming to cap the cost of the Mutiara Light Rail Transit (LRT) Line at RM16bil despite mounting construction expenses and rising inflation. Its chief executive officer Datuk Mohd Zarif Mohd Hashim said the corporation must take into account nine years of inflation and the economic impact of the Covid-19 pandemic, which caused prices to surge across multiple sectors. Mohd Zarif said the latest cost projections also included land acquisition and the construction of a cross-channel marine viaduct linking Macallum Street on the island to Penang Sentral in Butterworth. Otherwise, the overall cost could have ballooned to RM18bil or RM19bil, he said. 'When the project was first announced in 2016, the estimated cost was RM10bil. 'Earlier last year, the Cabinet approved a revised budget of RM13bil. However, that figure did not fully account for inflation, additional construction costs or land acquisition. 'The extension of the line to the mainland also contributed to higher costs, especially with the need to construct a bridge crossing (about RM3bil). This component was not included in the 2016 plan. 'Additionally, land acquisition costs have now been factored in, which could add another RM2bil to the budget. 'About 60% of the land required is state government-owned, while the remaining 40% is privately owned, which we need to acquire at market value. 'As for land belonging to the state government, we hope to secure it at a nominal fee in the interest of public infrastructure development. We are doing our utmost to bring costs down significantly. 'To me, it's simple. Whatever we save today can be channelled to future projects. 'Our goal is to ensure that Penang receives all three additional LRT lines as planned. We need that corridor,' said Mohd Zarif during a media luncheon here yesterday. As Penang's first LRT, the Mutiara line is a key component of the Penang Transport Master Plan, designed to enhance connectivity and alleviate traffic congestion on both the island and the mainland. Phase 1 of the Mutiara Line project will span 23.7km, with 21 elevated stations, including a provisional station at Silicon Island, which is currently being reclaimed. SRS Consortium Sdn Bhd, a joint venture with Gamuda Bhd holding a 60% stake, will construct Phase 1 to connect Komtar in George Town with Silicon Island. Phase 2 of the Mutiara Line will involve a 5.78km cross-strait line (marine viaduct section 3.06km) that starts from Macallum to Penang Sentral. The completion of Phase 1 will allow convenient travel from George Town to the Penang International Airport and other key areas on the island. When Phase 2 is completed, commuters will get to enjoy seamless travel to Penang Sentral to catch KTMB's ETS and Komuter train services, along with many express buses serving the entire peninsula. On the projected ridership for the Mutiara LRT Line, Mohd Zarif said it is now estimated at 5,000 to 6,000 passengers per hour per direction (pphpd). He said the revised figures were lower than the earlier projection of 7,000, which drew criticism from non-governmental organisations for allegedly being inflated. He said the original estimate was based on the assumption that three islands (originally called Islands A, B and C) would be reclaimed off the southern coast of Penang island. 'But with only one reclaimed island now (named Silicon Island), the ridership forecast has been adjusted accordingly,' he said, adding that the numbers were expected to grow once the LRT network expands. It was reported earlier that three additional lines will be developed in phases – one extending to Tanjung Bungah, another to Air Itam and a fourth one connecting Butterworth, Kepala Batas and Simpang Ampat on the mainland. 'Eventually, we anticipate ridership on the Mutiara Line to increase to between 11,000 and 13,000 pphpd,' he said, assuring that the system has been designed with scalability in mind. 'There is ample capacity for growth – essentially double the initial volume. 'The infrastructure is built to allow for additional trains to be introduced as demand increases.' Mohd Zarif said the long-term plan is meant to enhance urban mobility and provide sustainable public transportation options for the growing population of Penang and the surrounding regions. He said an open tender for the Phase 2 cross-strait portion of the LRT will open in October. He added that the design stage has been completed and is awaiting approval from the relevant authorities. 'The bridge design has been carefully developed to provide maximum flexibility for the Penang port to grow. 'We have held discussions with the Penang Port Commission to ensure the bridge will not obstruct shipping,' he said, adding that the bridge, which is 62m above sea level, will also not interfere with aviation. The bridge will also have a fenced-off section that is open for recreational use by pedestrians, thus further enhancing the quality of life for the people.
The Star
an hour ago
- The Star
Fed rates are going nowhere fast on inflation signals
INCOMING US inflation signals are offering the Federal Reserve (Fed) little or no justification to resume interest rate cuts, and it's hard to see that changing before September. Following an unscheduled visit to the Fed last week, President Donald Trump said he thinks the Fed may be ready to lower rates again. To be sure, at least two of his appointees to the Fed board – Christopher Waller and Michelle Bowman – have indicated they might vote for a cut as soon as this week. But they may be alone. Markets certainly remain unconvinced. Futures pricing shows virtually zero chance of a move today and only a 70% chance of a cut at the following meeting in September. Markets now even doubt we'll see two rate cuts this year – the median of Fed policymakers' forecasts published just last month. While some clarity on the uncertain trade picture should emerge from this Friday's deadline, the effective overall import tariff rate is still set to be almost 20% higher than at the start of the year. And the impact from that may take months yet to filter through. But there are enough other signals that higher import levies and a weaker dollar are already irking the US price picture, at least enough to keep the Fed wary. As it stands, inflation remains well above the 2% target, and long-term market inflation expectations, now the highest of any Group of Seven country, are above target too and creeping up. The Fed's favoured inflation gauge, from the personal consumption expenditures basket, is due for release on Friday, and the annual core rate excluding food and energy is expected to be 2.7% – the same as last month. Consumer price inflation data for the month that has already been released shows pockets of price pressure in key areas affected by the limited tariffs enacted so far. Producer price data was more subdued, but that series doesn't include imported goods. Moreover, manufacturing firms last week continued to show outsized gains in input prices in July. S&P Global's monthly survey of purchasing managers registered an input price reading of 64.6, still far above the 50 threshold between expansion and contraction. Unlike the PPI, that captures imported inputs. By contrast, European manufacturers registered an equivalent input price reading of 49.9. Earnings noise Tariff-related readouts from the roughly one-fifth of S&P 500 companies that have reported second-quarter updates have been noisier. But economists warn that two aspects of the earnings season could potentially be disguising the tariff impact. The first is significant front-loading of imports in the first quarter to beat the tariffs, the enormous scale of which led to a small gross domestic product (GDP) contraction in the first three months of 2025. As that tariff-free inventory is run down, costs should rise as tariffs begin to hit. The hiatus may have allowed many firms to keep prices steady or avoid taking significant margin hits through the second quarter. The second aspect economists warn about is the degree to which major companies may want to avoid any public statements on negative tariff hits or any pass-through to consumers due to fears of political backlash. All of which leaves a foggy inflation picture going forward and one unlikely to be clarified much by September. Dual mandate To be sure, the Fed has a dual mandate, which includes both keeping prices stable and maintaining maximum employment, and one argument, from Waller at least, is that the labour market is showing signs of softening. And yet employment reports out this week are unlikely to offer much support on that front either, with recent weekly jobless claims data painting a robust picture. While monthly payroll growth is expected to slow in July, the unemployment rate is set to remain near historic lows at about 4.2%, with annual wage growth one percentage point above core personal consumption expenditure inflation. What's more, second-quarter US GDP updates this week are also expected to confirm a brisk bounce-back in overall economic growth to 2.4% after the trade-distorted first-quarter hiccup. Lazard chief market strategist Ron Temple reckons the Fed won't cut at all this year, just like seven Fed policymakers indicated last month. 'My logic is that inflation is likely to re-accelerate meaningfully by year-end due to tariffs,' he wrote last Friday. Inflationary force 'Thereafter, stricter immigration enforcement is likely to create another inflationary force,' he said, adding that rising deportations of workers could push up wage inflation, keep unemployment stable, and cause GDP to slow. 'That is not a scenario that argues for Fed rate cuts.' If the Fed does signal it's ready to ease again, it may struggle to make a cogent case for why it is doing so. — Reuters Mike Dolan is a columnist for Reuters. The views expressed here are the writer's own.
