Strong Earnings and Trade Deal Optimism Bolster Stocks

The S&P 500 ($ Spy) (SPY) has increased today +0.21 %, as the Dow Jones Industries ($ DOI) (DIA) (DIA)) has a rate of -0.02 %, and the NASDAQ 100 ($ IUXX) (QQQ) +0.56 % is transmitted. Futures increased in September (ESU25) +0.15 %, and the future NQU25 increased in September (NQU25).

The stock indicators are often moving, as the S&P 500 and NASDAQ has published 100 new standards. The results of the profits of the quarterly companies and the positive commercial news support the gains in stocks. Trade Minister Lootnick said a 90 -day extension of the commercial truce with China was a possible result with negotiations between the two countries ongoing in Stockholm. The stocks also found some support from the American economic news today, which showed an unexpectedly -to -Jun Advance merchandise deficit to -86.0 billion dollars for the widening expectations to $ 98.0 billion, a positive factor for G2 Q2.

The M&A activity also supports the shares as Union Pacific have agreed to get Norfolk South Circle for about $ 85 billion, or about $ 320 per share. Also, Baker Hughes acquired the chart industries for $ 9.6 billion, or about $ 210 per share.

The budget on Dow Jones Industries is a 6 % decrease in Merck & Co after she said it will extend its shipment from the Gardasil vaccine to China until the end of the year, noting the gentle demand. Also, the UNITEDHELTH GROUP group decreased by more than -5 % after reporting the weakest EPS than the modified Q2 of the Q2 and the prediction of the modified quarter of EPS throughout the year with less than the consensus.

The home price index in the United States in the United States increased by 2.79 % on an annual basis, weakest expectations +2.91 % and the smallest rate of increase in 1.75 years.

The markets will focus this week on any news about new trade deals before the deadline on Friday. Later on today, Jun Jolts job opportunities are expected to decrease by 269,000 to 7.50 million. Also, the US Consumer confidence index at the Conference Council is expected to climb by +3.0 to 96.0. In addition, the FOMC meeting begins for two days on Tuesday, and the Federal Reserve is expected to maintain the target of the funds in the Federal Reserve at 4.25 % to 4.50 % when the meeting ends on Wednesday. Also on Wednesday, the JUL ADP employment change is expected to fade by +80,000. Finally, on Wednesday, the GDS is expected to expand +2.4 % (annual Q/Q) and is expected to facilitate the basic PCE price index Q2 +2.3 % of +3.5 % in Q1. On Thursday, the first weekly unemployment claims are expected to increase by 6000 to 223,000, and the Q2 employment index is expected to increase by 0.8 %. Also, it is expected that personal spending in Jun +0.4 % m/m, and the personal income of June +0.3 % m/m. In addition, the PCE CORE price index is expected to climb, which is the preferred inflation scale of the Federal Reserve, 0.3 % m/m and +2.7 % on an annual basis. Finally, on Thursday, Jul Mni Chicago PMI is expected to increase by +1.6 to 42.0. Friday, Jul Non -Farm is expected to increase by +109,000, and the unemployment rate in July is expected to increase by +0.1 to 4.2 %. Also, it is expected average profits per hour July +0.3 % m/m and +3.8 % on an annual basis. In addition, the Jul ISM index for manufacturing is expected to increase by +0.2 to 49.5. Finally, the consumer morale at the University of Michigan Gul is expected to be unpredictable in 61.8.

The markets are waiting for the deadline of President Trump on August 1 for commercial deals to avoid high definitions. On July 16, Mr. Trump announced that he intends to send a tariff letter to more than 150 countries, to notify them that customs tariff rates may be 10 % or 15 %, as of August 1. As a update, Mr. Trump said last Wednesday, “We will have a straight and simple tariff ranging between 15 % and 50 %,” which indicates that the floor of the tariffs rises and indicates that it will not be less than 15 %.

Future prices in federal funds make 3-25 basis rates of 3 % at the Tue/Wed Fomc meeting and 66 % at the next meeting on 16-17 September.

This week begins in the most crowded week in the profit season, with 38 % of the S&P 500 shares reported the quarterly profits, which was twice the amount reported last week. The results of the wonderful seven members ’profits will be in the forefront and the center, with reports of Microsoft and Meta platforms on Wednesday and Apple and Amazon.com on Thursday. Early results showed that the S&P 500 profits are on the right path to an increase of +4.5 % for the second quarter, better than the pre -season expectations by +2.8 % on an annual basis, according to Bloomberg. With reporting about a third of the S&P 500 company, about 82 % exceeded the profit estimates.

Foreign stock markets today are mixed. EURO Stoxx 50 +1.16 % rises. The Chinese Shanghai +0.33 % closed. Nikkei’s share in Japan closed 225 by -0.79 %.

Useful interest rates

September 10 from T-Notes (Znu25) today rose +4. The T -Note returns for 10 years -1.4 BP decreased to 4.396 %. T-Notes move today above the day in some short cap before the start of the FOMC meeting for two days. Reducing the gains in T-Notes are the pressure of the offer, as the Treasury will make a auction of $ 30 billion in floating notes for two years and $ 44 billion from T-Notes 7 years later today. Also, the strength of the stocks today reduces the demand for safe calm on T-Notes.

European government bonds revenue today rises. The German Bund return increases for 10 years +1.6 basis points to 2.705 %. The UK’s doctrine has increased for 10 years to one week increased by 4.681 % and increased +0.4 basis points to 4.651 %.

Inflation forecast for 1 June fell to +2.6 % from 2.8 % in May. Inflationes did not change for 3 years from May from May, by 2.4 %.

Perceptions fluctuate 15 % chances to reduce the interest rate by the European Central Bank at the September 11 policy meeting.

American engines

The force in chips today provides support for the broader market. Advanced advanced devices (AMD), on semiiconductor Corp (ON), and Marvell Technology (MRVL) increased more than +2 %. Also, Broadcom (AVGO), NVIDIA (NVDA), Lam Research (LRCX), Globalfoundries (GFS), KLA Corp (Klaac), and NXP SemiDuctors NV (NXPI) were closed more than +1 %.

Sarepta Therapeutics (SRPT) increased more than +27 % after the American organizers recommended allowing patients who can walk by taking the genetic treatment of the company again.

Amkor Technology (AMKR) increased by more than +21 % after reporting the net Q2 sales worth $ 1.51 billion, better than a consensus of $ 1.42 billion, and the net sales of 3.88 billion dollars-1.98 billion dollars, expected much higher than a total of $ 1.76 billion.

Chart Industries (GTLS) increased more than +16 % after Baker Hughes acquired the company for $ 13.6 billion, or about 210 dollars per share.

The rhythm design systems (CDNS) increased more than +9 % to lead the winners in the S&P 500 and NASDAQ 100 after reporting the Q2 revenues of $ 1.28 billion, higher than a consensus of $ 1.25 billion, and raised its revenues to $ 5.22 of $ 5.22 of bills of $ 5.23 of bills from 5.23 dollars, one billion.

Corning (GLW) increased by more than +7 % after reporting an easy profitability of Q2 of 60 cents, higher than 57 cents, and predicting Q3 Core Eps of 63 cents-67 cents, better than a consensus of 62 cents.

The CBRE (CBRE) group increased more than +7 % after reporting the second-quarter revenues worth $ 9.75 billion, stronger than a consensus of 9.43 billion dollars, and raising the basic share profitability of the entire year to 6.10-6.20 dollars from a previous estimate of 5.80 dollars -6.10 dollars.

Brown & Brown (BRO) decreased to more than -9 % to lead the losers in the S&P 500 after reporting the organic revenues Q2 rose +3.60 %, weaker than the consensus +5.63 %.

Whirlpool (WHR) decreased by more than -8 % after reporting the net Q2 sales of $ 3.77 billion, less than a consensus of $ 3.85 billion, and reducing the share profitability of the entire year to $ 6.00 -8.00 dollars from a previous estimate of $ 10, much less than the consensus of $ 8.78.

SWK (SWK) has decreased by more than -8 % after reporting the net Q2 sales worth $ 3.95 billion, weaker than a consensus of $ 4.00 billion.

Carrier Global (Carr) decreased by more than -8 % after predicting the free cash flow for the entire year from $ 2.4 billion to $ 2.6 billion, which is the point of the middle without a consensus of $ 2.55 billion.

Royal Caribbean Cruises Ltd (RCL) decreased by more than -8 % after predicting the modified Q3 from $ 5.55 to $ 5.65, that is, weaker than $ 5.84.

Service United Parcel Service (UPS) decreased after more than 7 % after its withdrawal for this year, noting “the current total economic uncertainty.”

Merck & Co. (MRK) for more than -6 % to lead the losers in Dow Jones, after she said it would extend the charge of the Gardiasel vaccine to China until the end of the year, noting the soft demand.

UNITEDHELHELH GROUP (UN) decreased by more than -5 % after reporting the profitability of the amended arrow in the $ 4.08, and more than $ 4.59 consensus, predicting a quarter of a modified arrow profit over the entire year at least $ 16, much less than a consensus of $ 20.40.

Profit reports (7/29/2025)

American Tower Corp (AMT), Arch Capital Group Ltd (Acgl), Boeing Co/The (Ba), Booking Holdings Inc (BKng), BXP Inc (BXP), Caesars Entertainment Inc (CZR), Carrier Global Corp (CARR), Essex Property Trust Inc (ESS), Expection Energy Corp (EXE), Hubble Inc (Hubb), IncyTe Corp (Incy), Johnson Controls International (JCI), Merck & Co Inc (MRK), Mondelez International, PPG Inct INC (MDLZ), Norfolk South Corp (NSC) (PG), Regency Center Corp (REG), Republic Services Inc (RSG), Royal Caribbean Cructions Ltd (RCL), Seagate Technology Holdings PL (STX), Stanley Black & Decker Inc (SWK), UNITED UNTIN (Fifth).

On the date of publication, Rich Asplund did not have positions (either directly or indirectly) in any of the securities mentioned in this article. All information and data in this article are only for media purposes. This article was originally published on Barchart.com