The S&P 500 Index is up +0.07% today, while the Dow Jones is down -0.10% and the Nasdaq 100 is up +0.14%. September E-mini S&P futures have risen +0.10% and Nasdaq futures are up +0.15%. This stabilization follows President Trump’s recent trade announcements, indicating room for further negotiations, despite plans to increase tariffs on countries including Japan and South Korea effective August 1.
Higher bond yields are constraining gains; the 10-year T-note yield has reached a 2-week high of 4.43%. The consensus estimate for S&P 500 Q2 earnings is a mere +2.8% year-over-year, suggesting cautious market sentiment ahead of the upcoming earnings season. This week, attention will center on new tariff developments and significant economic releases, including initial unemployment claims and the minutes from the June FOMC meeting.
Overseas markets are generally higher, with China’s Shanghai Composite closing up +0.70%, while the Euro Stoxx 50 increased +0.09%. German exports fell -1.4% month-over-month, indicating weaker-than-expected trade performance in May.
