Dow +208.01 at 44901.92, Nasdaq +50.36 at 21106.94, S&P +25.29 at 6388.64
Nasdaq Composite: +9.3% YTD
S&P 500: +8.6% YTD
DJIA: +5.5% YTD
S&P 400: +3.1% YTD
Russell 2000: +1.4% YTD
Major U.S. stock indexes hit record highs repeatedly during the week. The S&P 500 notched a new all-time high every day, closing the week up 1.5%. The Nasdaq also reached fresh records, while the Dow Jones Industrial Average came within a fraction of its December 2024 record.
Strong earnings from tech giants—particularly Alphabet, Microsoft, Nvidia, and Amazon—fueled optimism, especially regarding advances in artificial intelligence.
Some prominent companies, such as Tesla and UnitedHealth, faced significant declines after reporting disappointing results or receiving unfavorable regulatory news. The latter has Justice Dept. problems.
Progress in U.S. trade talks with the EU and Japan lifted sentiment, despite ongoing tariff uncertainties and concerns about future inflation. The Wall Street Journal reported that the Trump administration will hold trade talks with China next week.
U.S. jobless claims came in better than expected, underscoring the continued economic strength, although concerns about inflation persist due to rising import tariffs.
The market’s “fear gauge” (VIX Index) dropped close to 9% on the week, showing investor confidence remained high.
Looking ahead, all eyes turn to the July FOMC event for clues on when the Fed might move to cut rates. AMZN & AAPL will also report earnings next week.
Some breaking news from today, China and the USA will extend the tariff deadline for another 90 days. The market likes it when they kick the can down the road. Bitcoin and Ethereum are pleased with the news so far.
Setups
SERV– Earnings Aug 12, but could be setting up for a pre-earnings run. Buy the 12.00- 12.35 level.
GGLL– Google printed its first golden cross in a couple of years last week, earnings weren’t bad, and the chart looks bullish as hell. This is 2X GOOGL. Buy the 41.00-42.50 area.
TEM- This one, as you know, can be volatile, but I love it intermediate and longer term, meaning it can shake you out short term sometimes. It’s getting that look again, like it may want to make some noise. Buy the 63.50-65.50 zone. Volatile.
Breaking………………………………………………………………………………………
BREAKING: President Trump says the US has reached a trade deal with the EU.
The deal includes: 1. An agreement to open trade at 0% tariff, and 2. EU to buy up to $750B of US energy. 3. EU to purchase “vast amounts” of US autos. 4. Tariffs on automobiles reduced to 15% Trump calls this “the biggest deal ever reached.”
The EU is also reportedly set to invest $600 billion in the US as a part of the deal. This comes just days after a deal with reached with Japan. Global trade is beginning to open up again, with more to come.
It should be a good Monday. See you in the morning.