The S&P 500 Index is up 0.60%, the Dow Jones Industrials Index is up 0.30%, and the Nasdaq 100 Index is up 0.70%, with both S&P 500 and Nasdaq 100 reaching new record highs. This surge is driven by strong quarterly earnings from Microsoft and Meta Platforms, which reported revenues of $76.44 billion and $47.53 billion, respectively, both exceeding analysts’ expectations.
US weekly initial unemployment claims rose by 1,000 to 218,000, better than the expected 224,000. June personal spending increased by 0.3%, below the expected 0.4%, while the June core PCE price index rose 2.8% year-over-year, surpassing expectations of 2.7%. With Q2 employment costs rising by 0.9% and the MNI Chicago PMI climbing to a four-month high of 47.1, the markets anticipate the July nonfarm payrolls report due this Friday.
In trade news, President Trump announced a new 15% tariff on imports from South Korea and is drafting a deal with Taiwan, as markets await news on trade agreements before a looming August 1 deadline. Additionally, the ECB is facing expectations of a potential rate cut for its upcoming meeting, while the markets are closely monitoring earnings from major companies, with 38% of S&P 500 stocks set to report next week.
