logo
US stock market today: Wall Street pauses near record highs as earnings, inflation expectations take center stage

US stock market today: Wall Street pauses near record highs as earnings, inflation expectations take center stage

Economic Times6 days ago
S&P 500 hits record high before easing, Nasdaq and Dow end the week strong. Key earnings from Tesla, Nvidia, and PepsiCo lead gains, while American Express and Netflix drag. Economic data fuels optimism as markets eye rate outlook and inflation trends.
US stock market ends mixed as S&P 500 Flat After Fresh Record High, But Still Heads for Weekly Win- The S&P 500 touched a new all-time high on Friday before pulling back slightly, as investors reacted to a fresh round of corporate earnings and new U.S. economic data. By midday, the S&P 500 was trading just 0.1% higher, showing signs of caution even as the index aims to end the week on a positive note. The Nasdaq Composite also gained 0.1%, while the Dow Jones Industrial Average fell by 59 points, or 0.2%, weighed down by a post-earnings drop in American Express, which slid 3%. For the week, all three major indexes remain on track for gains, with the S&P 500 up 0.8%, the Nasdaq ahead by 1.8%, and the Dow adding 0.2%.
S&P 500 (SPY) edged down slightly by about 0.08%, hovering just below record highs, suggesting cautious investor sentiment.
Nasdaq (QQQ) also drifted down around 0.10%, despite strong earnings enthusiasm from big tech names.
Dow (DIA) slipped approximately 0.54%, weighed down by modest declines in industrial and financial stalwarts. The S&P 500's initial jump was driven by optimism around earnings and economic data. However, as traders digested the details, the market cooled. Despite hitting record territory, concerns around individual earnings reports and broader economic signals created a mixed trading mood.
American Express, a key component of the Dow, saw its shares fall 3% post-earnings, dragging the 30-stock index lower. Meanwhile, Netflix, even after reporting stronger-than-expected earnings, saw its stock drop 4%, showing how investors are reacting cautiously, even to good news. Netflix (NFLX) was one of the session's biggest losers, dropping over 5%, despite posting a second-quarter earnings beat and raising its full-year revenue guidance. Analysts pointed to Netflix's high valuation and noted that its results simply weren't enough to satisfy 'elevated expectations.' The stock, already up more than 40% year-to-date, faced pressure as investors hoped for a more bullish outlook. American Express (AXP) also fell sharply, down 3.3%, despite surpassing earnings and revenue estimates. While consumer spending remained resilient—rising 7% year-over-year—executives noted a slight pullback in discretionary areas like travel. The company left its full-year guidance unchanged, which some investors saw as too conservative given current trends.
On the flip side, Charles Schwab (SCHW) gained nearly 2% after posting a 50% year-over-year jump in adjusted profits. The brokerage benefited from increased trading activity driven by market volatility linked to tariff-related headlines.
Industrial heavyweight 3M (MMM) also posted solid gains, rising more than 2.5% after beating second-quarter earnings and raising its full-year outlook—helped by stable demand and cost controls.
A surprise standout was Circle (CRCL), which rose over 3% intraday following the passage of the Genius Act, a groundbreaking stablecoin regulation bill. Analysts at Seaport Research raised their price target from $235 to $280, calling Circle the 'purest stablecoin play' in the market. Since its IPO last month, Circle's stock has surged over 600%. Tesla (TSLA) led the way with a +3.4% jump, boosting the tech-heavy Nasdaq and overall market optimism.
led the way with a jump, boosting the tech-heavy Nasdaq and overall market optimism. Charles Schwab (SCHW) also surged +3.4% , fueled by strong quarterly profit growth .
also surged , fueled by strong quarterly profit growth . Norfolk Southern (NSC) climbed ~2.9–3% on news of potential merger talks.
climbed on news of potential merger talks. Utilities sector stocks led S&P sectors, rallying 1.7% on average.
led S&P sectors, rallying on average. Chevron and Hess saw notable gains—Chevron rose on a legal win, and Hess jumped around 7.6% . Other notable movers: Robinhood (+4.7%) and Coinbase (+6.4%) surged following crypto-related legislative news, and Talen Energy spiked around 15%+ in premarket trading on acquisition news Apple (AAPL) was flat, with a modest uptick of +0.14% .
was flat, with a modest uptick of . Nvidia (NVDA) edged slightly lower, down about 0.2% intraday. These gains reflect broad strength across sectors today—tech and velocity boosts from Tesla and crypto, plus energy and utilities pushing forward. Nvidia continued its rally, inching up another 0.3%, maintaining its upward momentum that's helped lift the tech-heavy Nasdaq. Tesla also saw a solid 3% gain, while Alphabet and Amazon edged higher. Elsewhere, PepsiCo and United Airlines jumped earlier in the week after both beat earnings estimates, reflecting strong consumer demand and operational efficiency. Big banks like JPMorgan and Goldman Sachs also posted impressive numbers, adding support to the overall market tone. So far, around 60 companies in the S&P 500 have released second-quarter earnings. According to data, 86% of them have surpassed analyst expectations, giving bulls more reason to stay optimistic. American Express (AXP) fell around 3% after its earnings report failed to impress investors despite meeting expectations.
fell around after its earnings report failed to impress investors despite meeting expectations. Netflix (NFLX) dropped about 4% , even though it posted better-than-expected earnings, as guidance and subscriber growth disappointed some traders.
dropped about , even though it posted better-than-expected earnings, as guidance and subscriber growth disappointed some traders. 3M (MMM) saw a slight decline despite reporting an earnings beat, as future outlook concerns weighed on sentiment.
saw a slight decline despite reporting an earnings beat, as future outlook concerns weighed on sentiment. Biotech and healthcare stocks also underperformed, with select names dipping due to weak trial updates or lukewarm guidance.
also underperformed, with select names dipping due to weak trial updates or lukewarm guidance. Travel-related stocks like some cruise lines and airlines edged lower after recent rallies, likely from profit-taking. Overall, while the broader market held steady, these names faced pressure due to earnings reactions or sector-specific weakness. Fed Governor Christopher Waller made headlines with his strongest call yet for a July rate cut. Speaking in New York, Waller argued the central bank should lower its policy rate by 125–150 basis points, bringing it down to 3%. He said any inflation stemming from Trump's tariffs would likely be temporary and shouldn't prevent action. Waller, seen as a potential successor to Fed Chair Jerome Powell, added in a Friday interview that if President Trump offered him the top Fed job, he would accept—though he clarified that Trump 'has not contacted me.' Yes, the latest economic data suggests the U.S. economy remains resilient. Strong GDP growth projections and signs of cooling inflation have helped reinforce investor confidence. 'It's a risk-on environment,' said Ken Mahoney, CEO at Mahoney Asset Management. He added, 'While there's chatter about Fed rate cuts, the reality is more nuanced. Historically, markets tend to perform better without cuts. But with inflation easing and GDP growth holding, there's a valid case for a different outcome this time.' Earnings were a key driver of the weekly rally. With a high percentage of companies beating expectations, confidence in corporate fundamentals remains strong. Investors were encouraged by the strength of sectors ranging from consumer goods to airlines and tech. The S&P 500's 0.8% weekly gain reflects that positive sentiment, even if Friday's moves were muted. The Nasdaq's 1.8% rise was boosted by mega-cap techs, while the Dow's modest 0.2% gain shows mixed reactions in industrials and financials. As more companies continue to report earnings, attention will shift to forward guidance and commentary around inflation, consumer demand, and potential Fed policy. With rate cut discussions still in play and economic data continuing to roll in, markets could remain volatile. Key themes for next week will include: How tech giants perform in the next wave of earnings
More clarity on Fed's stance in upcoming meetings
Inflation indicators and employment data Investors are still in a 'wait and see' mode, but so far, the combination of strong earnings, economic stability, and tech leadership is keeping the rally intact. Q1: Why did the S&P 500 hit a record high this week? Because strong earnings and solid U.S. economic data boosted investor confidence.
Q2: Which stocks helped push the Nasdaq higher? Tech giants like Tesla, Nvidia, Alphabet, and Amazon supported the Nasdaq's gains.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

US stock market futures mixed today: S&P 500 steady, Nasdaq climbs on AI rally, Dow drops as Tesla and IBM disappoint
US stock market futures mixed today: S&P 500 steady, Nasdaq climbs on AI rally, Dow drops as Tesla and IBM disappoint

Time of India

time32 minutes ago

  • Time of India

US stock market futures mixed today: S&P 500 steady, Nasdaq climbs on AI rally, Dow drops as Tesla and IBM disappoint

US stock market futures were mixed early Thursday, July 24, with the S&P 500 holding near 6,394 (–0.04%), Nasdaq-100 futures climbing to 23,226.30 (+0.28%), and Dow Jones futures falling to 44,823.80 (–0.41%) as investors reacted to a wave of key earnings and economic signals. Tech stocks powered Nasdaq gains, led by Alphabet and ServiceNow after strong Q2 results and AI-driven guidance, while Tesla and IBM disappointed Wall Street, weighing heavily on the Dow. The broader market is now bracing for fresh jobless claims data, flash PMI reports, and more earnings that could shift sentiment heading into the Fed's policy meeting next week. How are the major US index futures trading right now? Here's where things stand for the top three U.S. index futures in pre-market trading: Index Current Level Change Sentiment S&P 500 ~6,394.00 –0.04% Cautiously flat Nasdaq-100 ~23,226.30 +0.28% Bullish tech Dow Jones ~44,823.80 –0.41% Under pressure S&P 500 futures are nearly flat, showing a slight negative bias as markets await economic data and Fed signals. Nasdaq futures are leading the pack, rising ~0.3% thanks to upbeat tech earnings and strong AI sector momentum. Dow Jones futures are lagging, down around 0.4% due to weak industrial and auto sector performances, especially Tesla and IBM. Which stocks are making the biggest moves this morning? Let's look at some of the top pre-market gainers and losers across key sectors, especially those impacting futures: Biggest gainers West Pharmaceutical Services (WST) : +17.6% – Boosted by stellar Q2 results. Icon PLC (ICLR) : +16.1% – Surged after impressive clinical trial data. ServiceNow (NOW) : +7.0% – Raised full-year subscription guidance. GE Vernova (GEV) : +14.0% – Strong revenue growth and clean energy optimism. Lamb Weston (LW) : +16.0% – Higher sales and margin improvements. Notable decliners Tesla (TSLA) : –5.0% – Despite beating revenue, earnings dropped 23%, and Musk warned of 'rough quarters' ahead. IBM (IBM) : –5.3% – Missed profit expectations, dragging Dow futures down. Chipotle (CMG) : –11.2% – Slashed same-store sales growth forecast. Texas Instruments (TXN) : –13.0% – Weak guidance hit auto chip sentiment. Other chip names: Microchip (MCHP) : –6.0% ON Semiconductor (ON) : –4.0% Analog Devices (ADI) : –3.0% NXP Semiconductors (NXPI) : –1.0% What's driving the stock market futures today? Today's movement in U.S. stock market futures is shaped by a few major themes: Live Events 1. Tech earnings push Nasdaq futures higher Strong Q2 results from tech giants are driving investor optimism: Alphabet (GOOGL) crushed expectations and raised its capital expenditure outlook to $85 billion, citing demand for AI infrastructure. The stock is up 3.5% in pre-market. ServiceNow (NOW) impressed with raised full-year guidance and is trading 7% higher. This upbeat sentiment is lifting Nasdaq-100 futures and helping offset broader market concerns. 2. Tesla and industrials drag Dow futures lower Despite revenue growth, Tesla's net income dropped significantly, and CEO Elon Musk warned about challenges in the quarters ahead. This sent shares down 5%, hitting Dow futures hard. IBM's weak results added further pressure. 3. US–Japan and US–EU trade deals boost sentiment Markets are also reacting to global economic news: A confirmed U.S.–Japan trade agreement and progress on a U.S.–EU deal (focused on a unified 15% tariff structure) have lifted risk sentiment across global markets. These trade headlines are especially positive for S&P 500 futures, which are now trading near record highs. What economic data is the market watching today? Investors are closely eyeing today's data releases and upcoming events, which could shift futures direction significantly: U.S. jobless claims (expected at 8:30 AM ET): Will offer insight into labor market strength. S&P Global flash PMI for July: A key reading on U.S. manufacturing and services health. New home sales data : A crucial indicator of consumer confidence and housing demand. Federal Reserve meeting (set for July 30): No rate change expected, but traders are pricing in a 62% chance of a rate cut in September. How are commodities and bond markets reacting? The broader market tone is mildly risk-on, reflected in movements across oil, gold, and bonds: Crude oil prices : WTI: +1.0% Brent: +0.8% Stronger global trade outlook and shrinking U.S. stockpiles are pushing prices higher. Gold : Down ~0.8% as safe-haven demand dips. VIX (Volatility Index) : Down ~5%, showing calm in equity markets. 10-year Treasury yield : Trading around 4.41%, slightly higher, indicating a modest risk appetite. What's the overall outlook for today's stock market session? The sentiment heading into Thursday's session is mixed but cautiously optimistic: Nasdaq is expected to lead , backed by strong tech and AI growth momentum. S&P 500 could hold steady , supported by trade optimism and selective earnings strength. Dow might stay in the red , unless industrials or automakers show surprise resilience. Retail investors are still heavily involved, with JPMorgan, Barclays, and Schwab all noting that individual trader sentiment is driving momentum across major sectors—especially tech and options markets. What should investors watch for next? Here's what could move the markets further today and in the days ahead: Upcoming earnings to watch: American Airlines (AAL) Blackstone (BX) Microsoft (MSFT) AT&T (T) GE Vernova (GEV) Texas Instruments (TXN) – Follow-through selling or bounce? Key macro events: Fed Meeting – July 30 (watch for tone on inflation and future rate cuts) Trade deadline – August 1 for US–EU and US–China negotiations PMI, housing data, jobless claims – Real-time check on the U.S. economy What this means for investors The U.S. stock market futures are flashing mixed signals, reflecting both optimism and caution. Strong tech earnings and trade breakthroughs are lifting risk appetite, but weak industrial earnings and inflation concerns are capping gains—especially in the Dow. Today's session could bring volatility depending on incoming economic data. But overall, Nasdaq and AI stocks continue to lead the rally , while broader indices like the S&P 500 remain resilient near all-time highs. FAQs: Q1: Why is the Nasdaq rising today? Nasdaq is up due to strong AI-fueled earnings from big tech like Alphabet and ServiceNow. Q2: What's pulling the Dow Jones down today? Tesla and IBM earnings missed expectations, dragging down Dow futures.

Tesla likely to face 'a few rough quarters' from end of US EV support: CEO Elon Musk
Tesla likely to face 'a few rough quarters' from end of US EV support: CEO Elon Musk

Time of India

timean hour ago

  • Time of India

Tesla likely to face 'a few rough quarters' from end of US EV support: CEO Elon Musk

Tesla chief executive Elon Musk said on Wednesday that US government cuts in support for electric vehicle makers could lead to a "few rough quarters" for the company before a wave of revenue from self-driving software and services begins late next year. Shares fell nearly 5% after Musk responded on a quarterly results conference call to questions about new US government policies under President Donald Trump. Musk's electric vehicle maker posted the worst quarterly sales decline in more than a decade and profit that missed Wall Street targets, but its profit margin on making cars was better than many feared. Musk is pursuing autonomous driving to power privately owned vehicles as well as robotaxis that it plans to put into production next year. In the meantime, it is working on a new, cheaper car, though Chief Financial Officer Vaibhav Taneja said that production would ramp up next quarter, slower than initially expected. It produced some initial units by the end of June. The company did not provide an update on its full-year deliveries forecast, citing the economy and timing of the new car rollout. "Tesla's disappointing results aren't surprising given the rocky road it's traveled recently," said eMarketer analyst Jacob Bourne. "A truly affordable model will hit the bullseye in terms of boosting sales if Tesla can effectively position it right without detracting from its higher-priced models." The second straight quarterly revenue drop, with a 12% fall, comes despite the launch of a refreshed version of its best-selling Model Y SUV that investors had hoped would help revive demand. A 51% dive in sales of automotive regulatory credits, which other automakers who have difficulty complying with government emissions rules buy from Tesla, also hurt revenue and profit. Revenue fell to $22.5 billion for the April-June quarter from $25.50 billion a year earlier. Analysts on average were expecting revenue of $22.74 billion, according to data compiled by LSEG. Adjusted profit per share of 40 cents lagged the consensus of 43 cents per share. The automotive gross margin, which excludes regulatory credits, was 14.96%, above Wall Street estimates, helped in part by lower cost per vehicle. Tesla global deliveries dropped 13.5% in the second quarter, which was below Wall Street targets. The US government later this year is cutting $7,500 tax credits for EV buyers. Autonomous ride hailing Tesla had said in April it would start producing the more affordable model by the end of the first half and sources had told Reuters the vehicle, a stripped-down version of its Model Y SUV, would be delayed by at least months. Tesla on Wednesday did not disclose any details of the model, how many units it had made, or how it would be priced. Musk responded to a question of what the vehicle would look like by saying, "It's just a Model Y," joking that he "let the cat out of the bag there." Tesla did say on Wednesday that it expects volume production of the long-promised cheaper vehicle in the second half of this year, raising hopes it will rekindle demand as it battles rising competition from cheaper EVs, especially in China, and a persistent backlash against Musk's far-right political views. The company also said it continued to expect volume production of its custom-built robotaxi - called the Cybercab - and Semi Truck in 2026. Much of the company's trillion-dollar valuation hangs on its bet on its robotaxi service - a small trial of which was started in Austin, Texas, last month with about a dozen Model Y SUVs - and on its development of humanoid robots. "Autonomy is the story," Musk said on the conference call, describing plans to roll out autonomous ride hailing to about half of the US population by the end of this year. Tesla is looking for robotaxi regulatory approval in the San Francisco Bay Area, Nevada, Arizona, Florida and other places, he said, and the company is close to getting regulatory approval for supervised Full Self-Driving driver assistance software in the Netherlands. The robotaxi business was likely to have a material impact on financials around the end of next year, Musk said. Investors are concerned about whether Musk will be able to devote enough time and attention to Tesla after he locked horns with Trump by forming a new political party this month. He had promised weeks earlier that he would cut back on government work and focus on his companies. A series of high-profile executive exits, including a longtime Musk confidant who oversaw sales and manufacturing in North America and Europe, is also adding to the concerns.

Shivani Kapila on How a PC Can Transform Your Child's Learning
Shivani Kapila on How a PC Can Transform Your Child's Learning

Time of India

timean hour ago

  • Time of India

Shivani Kapila on How a PC Can Transform Your Child's Learning

'No More Indian Workers, Or China Factories': Trump's Blunt Warning To US Tech Giants Like Apple US President Donald Trump has launched a bold new 'America's AI Action Plan,' vowing to reclaim tech dominance from China, but he's also aiming directly at India. In a fiery speech, Trump criticized tech giants like Apple and Tesla for relying on Indian workers and Chinese factories. 'No more iPhones from India,' Trump warned, threatening a 25% import tax on Apple and Samsung if they don't build in the USA. The plan, detailed in a 25-page document, calls for accelerating AI innovation, building US infrastructure, and halting foreign dependence. Trump's message is clear: American AI should be made in America. But this could disrupt India's IT sector, outsourcing industry, and its growing role in global tech. Is India being unfairly targeted? Or is this the start of a global AI war? #trump #ai #india #china #trumpvsindia #apple #outsourcing #indiantech #aiwar #americaai #usachinawar #toi #toibharat #bharat #trending #breakingnews #indianews 151 views | 1 hour ago

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store