Wall Street brightens up with an open Friday, July 18th, with the S&P 500 and Nasdaq looking to extend their profits as they hit highs in recent sessions.
The Dow Jones industrial average fell 20 points, while the S&P 500 and NASDAQ increased by 0.2% and 0.3%, respectively.
A positive start to the final trading day of the S&P 500 week came when Wall Street hit a record high as Nasdaq led in the previous session. Quarterly revenues and brighter economic data than expected helped to promote broader optimism across risk assets.
Cryptocurrency and cryptocurrency stocks were also heavily bordered in stock rallies, with investors responding positively to the US House of Representatives passing the Genius Act. The bill is currently set to land on Trump’s desk and is ready to sign the law as the first major cryptography in the United States
Bitcoin (BTC) moved to $120,000, while Ethereum (ETH) exceeded $3,600.
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Investors monitor revenue, tariffs and inflation
PepsiCo, United Airlines and Netflix announced the results on Thursday after major banks reported revenue and revenue beats. The market also maintained buoyancy amidst profits, retail sales and unemployed claims.
But investors remain wary of the outlook for global trade and tariffs, which has been slightly cooler following President Donald Trump’s announcement last week. The focus is also on the Federal Reserve and interest rate policy, with Fed Chairman Jerome Powell still under pressure from Trump.
At the previous meeting, the Fed signaled to stabilize interest rates, deviating from recent moves by the European Central Bank and other global peers. Currently, traders are expecting the Fed rate reduction to be around 56% in September.
The market is primarily priced with nearly zero chances of interest rate cuts in July, but Federal Reserve Governor Christopher Waller has once again said the Fed’s move in July is OK.
Meanwhile, attention to the Fed and Powell has escalated after the White House claimed that the Fed chairman misunderstood the Congress with details of the $2.5 billion renovation of the Fed headquarters. Trump recently said he has no plans to fire Powell, but he criticised the scale of the renovation, suggesting that it could be the basis for his termination.
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