US Stock Market Highlights: S&P 500 posts fifth straight record close this week, powered by solid earnings

By CNBCTV18.COM Jul 26, 2025 1:47 AM IST (Updated)

US Stock Market Highlights: The S&P 500 rose 0.4% on Friday (July 25), capping a winning week fueled by strong earnings and positive trade developments. The Nasdaq Composite added 0.2%, with both indexes touching fresh all-time intraday highs during the session. The Dow Jones Industrial Average climbed 208 points, or 0.47%, inching closer to its December 4 record close of 45,014.04. All three major indexes are set to end the week higher. The Dow is tracking a 1.3% weekly gain, while the Nasdaq and S&P 500 are poised to rise 1% and 1.5%, respectively.

US Stock Market Highlights: The S&P 500 rose 0.4% on Friday (July 25), capping a winning week fueled by strong earnings and positive trade developments. The Nasdaq Composite added 0.2%, with both indexes touching fresh all-time intraday highs during the session. The Dow Jones Industrial Average climbed 208 points, or 0.47%, inching closer to its December 4 record close of 45,014.04. All three major indexes are set to end the week higher. The Dow is tracking a 1.3% weekly gain, while the Nasdaq and S&P 500 are poised to rise 1% and 1.5%, respectively.

Watch this space for all the Live updates.

Optimism about a trade deal pushed global stocks to new record highs on Thursday. This came ahead of key global economic data, a European Central Bank meeting, and an unexpected visit to the Federal Reserve by US President Donald Trump.

Reports that the EU and US were nearing a deal on 15% tariffs, with exceptions for some industries, followed a recent agreement with Japan. This boosted the MSCI world stock index for the seventh day in a row.

In Europe, the positive trend continued as Germany’s DAX index, which relies heavily on exports, rose over 1%, and the STOXX regional index gained 0.6%.

Deutsche Bank’s better-than-expected results sent its shares up more than 4%, lifting banking stocks to their highest level since the 2008 financial crisis. However, Nestle’s shares dropped 4.5% after it announced its first-half results and plans to sell one of its businesses.

The pound fell by 0.28% to 1.3544 after reaching a two-week high of 1.3588 earlier in the session.

The dollar gained slightly against the euro and yen following progress in trade talks.

The pound also weakened against the euro, which dropped 0.16% to 86.81. Last week, the euro reached 86.98, its highest level since April 11.

Currency Power Balance

Wall Street looks to begin a jam-packed week on a high note as investors cheer the U.S.-EU trade deal that was announced on Sunday.

The agreement with America’s biggest trading partner removes a key source of market uncertainty and the threat of a damaging trade war. It also adds to an increasingly bullish narrative as the S&P 500 notched five record highs last week.

Futures tied to the Dow Jones Industrial Average climbed 161 points, or 0.36%. S&P 500 futures were up 0.34%, and Nasdaq futures rose 0.46%.

The yield on the 10-year Treasury was flat at 4.386%. The U.S. dollar dipped 0.12% against the euro but was steady against the yen.

Trump’s deals with the EU and Japan set 15% tariffs rates on both trade parters, who have also vowed to invest hundreds of billions of dollars in the U.S.

Gold edged down 0.15% to $3,330.50 per ounce. U.S. oil prices rose 0.1% to $65.22 per barrel, and Brent crude climbed 0.1% to $68.51.

Investors will not be able to look away over the coming week as every single day could produce significant market-moving news.

High-stakes trade negotiations between Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng are scheduled to start on Monday in Stockholm. That comes as a tariff truce between the two sides is due to end Aug. 12, though they are reportedly going to extend the deadline by 90 days.

Tariff drama will continue throughout the week as other countries try to reach deals with the U.S. before Friday’s deadline, when a pause on aggressive “reciprocal” rates will expire.

Meanwhile, Trump’s tariffs face legal challenges, with a court hearing scheduled Thursday on whether the president has authority under the International Emergency Economic Powers Act to impose wide-ranging duties.

On Tuesday, the Federal Reserve will begin its two-day policy meeting. Analysts don’t expect the central bank to adjust rates, but Governor Christopher Waller has indicated he will dissent and call for a cut.

Chairman Jerome Powell’s press briefing on Wednesday afternoon will likely be dominated by questions related to the White House’s attacks about renovations at the Fed’s headquarters and calls from Trump allies for Powell to be ousted due to the project’s cost overruns.

Meanwhile, several closely watched datasets are due that will offer more clues on how tariffs may—or may not—be impacting the economy. On Tuesday, reports on consumer confidence, home prices, and job openings will come out.

On Wednesday, ADP’s private-sector payroll survey, second-quarter GDP data, and pending home sales are scheduled.

On Thursday, weekly jobless claims and the personal consumption expenditures report, which includes the Fed’s preferred inflation gauge, are due.

And on Friday, the Labor Department’s monthly jobs report, the Institute for Supply Management’s manufacturing activity index, and construction spending round out the week in data.

Don’t forget earnings. Boeing announces quarterly results on Tuesday, Microsoft follows on Wednesday, while Apple and Amazon report Thursday. Oil giants Exxon Mobil and Chevron put out their numbers on Friday.

US Futures Climb After Trump, EU Reach Tariff Deal: Markets Wrap

5 minutes

(Bloomberg) — US equity-index futures climbed after the European Union struck a deal with President Donald Trump that will see the bloc face 15% tariffs on most exports, averting a potentially damaging trade war.

S&P 500 contracts rose 0.4% and those for Nasdaq 100 were up 0.5% after the index notched its fifth-straight all-time high on Friday. The euro was slightly higher against the dollar after the US-EU deal. Asian equity futures were muted. Gold edged lower and oil was flat in early trading.

Investors are bracing for a busy week of data – including meetings of the Federal Reserve and the Bank of Japan – and earnings from megacap companies that could set the tone for the rest of the year in markets and the economy. Stocks have risen from their slump in April as investors speculate the US will strike trade deals with countries and that will help avoid significant damage to company earnings and the global economy.

“A US trade deal with the EU sets the markets up for a positive start to the week, although market participants also confront one of the busiest weeks on the economic calendar for the year,” wrote Kyle Rodda, a senior market analyst at Capital.com in Melbourne.

Trump and European Commission President Ursula von der Leyen announced the EU deal on Sunday at his golf club in Turnberry, Scotland, although they didn’t disclose the full details of the pact or release any written materials.

The hard-fought deal will see the bloc face 15% tariffs on most of its exports, including automobiles, staving off a trade war that could have delivered a hammer blow to the global economy.

Markets Live Strategist Garfield Reynolds says:

The deal will be a relief for equity investors globally, though the rally in response may turn out to be a modest one as this sort of accord was probably priced in to a large extent after Japan’s pact. The ‘Sell America’ trade may not come back with these trade deals, but a move to buy other markets first is likely.

Meanwhile, the US and China are expected to extend their tariff truce by another three months, the South China Morning Post reported. The report comes ahead of trade talks between US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng in Stockholm on Monday.

Elsewhere in Asia, Japanese Prime Minister Shigeru Ishiba signaled he intended to stay in office despite a growing number of calls within the ruling party for him to step down. Later in the week, the Bank of Japan is set to keep interest rates unchanged with traders on alert for any signs of future guidance by the central bank.

This week will also bring a US jobs report, while Magnificent Seven members Apple Inc., Amazon.com Inc., Microsoft Corp. and Meta Platforms Inc. are all due to report numbers. Robust corporate earnings have bolstered investor confidence in US stocks, as companies head for their highest share of beats since the second quarter of 2021.

Progress in trade deals, positive economic data and corporate resilience have offset worries that stocks are overheating. More than 80% of S&P 500 companies have exceeded profit estimates, according to data compiled by Bloomberg Intelligence.

However, the risk of a bubble in stock markets is rising as monetary policy loosens alongside an easing in financial regulation, according to Bank of America Corp.’s Michael Hartnett.

Asian currency-watchers will be monitoring developments in Thailand and Cambodia after Trump said he called the leaders of the countries to urge them to stop the fighting that erupted earlier this week, warning he wouldn’t make a trade deal with either nation while the conflict continued.

Separately, China’s industrial earnings fell for a second straight month, with authorities set to intensify their drive to rein in excessive competition that’s dragging down prices and compounding the pain from US tariffs.

Some of the main moves in markets:

Stocks

S&P 500 futures rose 0.3% as of 8:17 a.m. Tokyo time

Hang Seng futures rose 0.1%

S&P/ASX 200 futures were little changed

Currencies

The Bloomberg Dollar Spot Index was little changed

The euro rose 0.1% to $1.1756

The Japanese yen was little changed at 147.77 per dollar

The offshore yuan was little changed at 7.1667 per dollar

Cryptocurrencies

Bitcoin rose 0.4% to $119,326.86

Ether rose 0.5% to $3,843.21

Commodities

West Texas Intermediate crude was little changed

Spot gold was little changed

This story was produced with the assistance of Bloomberg Automation.

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