Stock Market Update: Monday Overview
On the trading floor of the New York Stock Exchange in New York City, stock futures are showing some mild movements this Monday. S&P 500 and Nasdaq Composite futures seem to be experiencing fluctuations, although a market rally hasn’t materialized quite as hoped.
The S&P 500 and Nasdaq 100 futures are nudging up slightly, less than 0.1%. Meanwhile, futures tied to the Dow Jones Industrial Average have moved upward by about 0.1%. This occurs after both the S&P 500 and Nasdaq Composite reached new all-time and closing highs in the previous trading session. It’s worth noting, this marks the 15th record set by the Broad Market Index in 2025. Last week saw both indices achieve multiple intraday and closing highs, boosted by their latest earnings reports and trade developments.
Interestingly, while the S&P 500 ended at a stable point, the Dow Jones slipped by 0.1%. On the other hand, the Nasdaq closed 0.3% higher—an interesting contrast, right?
The market’s initial gains can be attributed to President Donald Trump’s announcement of a new trade agreement with the European Union. Under the deal, the U.S. is imposing a 15% tariff on numerous goods coming from Europe, including cars. Trump mentioned that the baseline global tariff rates would range between 15% and 20%.
Despite the new trade agreement, investor attention remains on potential future deals, especially with China, particularly as the Friday tariff deadline approaches. Notably, top officials from the U.S. and China are set for additional trade talks in Stockholm today.
This week, tariffs and inflation are key topics. The Federal Reserve is expected to finalize its interest rate decisions following a two-day policy meeting, with rates likely remaining stable in the 4.25% to 4.5% range.
Moreover, we’re in the midst of a busy earnings season, with over 150 S&P 500 companies sharing their results this week. This includes several high-profile names often referred to as the “magnificent seven,” like Meta Platforms and Microsoft, both reporting on Wednesday. Amazon and Apple will follow on Thursday. Also on the radar are companies such as UPS, Procter & Gamble, Merck, and Boeing, set to report ahead of Tuesday’s market opening.
Louis Navellier, founder of Navellier & Associates, noted in a recent memo that if revenue surprises and comments from the Fed continue, we could potentially witness new highs by the week’s end. Currently, about 170 S&P 500 companies are expected to announce their quarterly results, with more than 83% having previously exceeded expectations, according to FactSet data.
This week is pivotal for economic data, with job openings and labor turnover surveys scheduled for Tuesday. The ADP Private Payroll Report is due on Thursday, followed by July’s non-farm payroll data on Friday. Economists surveyed by Dow Jones anticipate that around 100,000 jobs were added in July, which is less than the 147,000 added in June, with an expected uptick in the unemployment rate from 4.1% to 4.2%.
