Stocks signaled an upbeat outlook on Tuesday amid largely encouraging earnings results, with major indices edging higher at the open ahead of the Federal Reserve’s meeting, key jobs data, and a looming tariffs deadline.
Summary
- S&P 500 and Nasdaq edged higher with 0.3% and 0.5% respectively as stocks opened positive.
- Key things investors are watching amid a bullish Wall Street include corporate earnings and U.S. economic data.
- Tariffs and the Federal Reserve’s meeting is also on the agenda.
The S&P 500 and Nasdaq opened higher, gaining 0.3% and 0.5%, respectively, as investors maintained a bullish outlook. The Dow Jones Industrial Average added 20 points, with the benchmark indices hovering near record highs.
Corporate earnings
Wall Street exuded confidence as investors looked forward to more corporate earnings. In this case, attention will be on the eagerly awaited reports from Big Tech giants Apple (AAPL), Amazon (AMZN), Microsoft (MSFT) and Meta (META).
Boeing (BA) has already reported its second-quarter earnings, posting a revenue beat. The planemaker’s revenue of $22.7 billion topped the $21.68 billion forecast by Wall Street analysts.
You might also like: S&P 500, Nasdaq edge higher amid U.S.-EU trade deal
Fed, Economic data in focus
U.S. stocks are trending higher ahead of the Federal Reserve’s two-day policy meeting beginning July 29, 2025. Market participants will focus on any changes to the Fed’s policy stance amid ongoing economic strength. Alongside earnings and the Aug. 1 tariffs deadline, investor attention is centered on several key data releases.
The Bureau of Labor Statistics has released the Job Openings and Labor Turnover Survey (JOLTS) report for June, offering fresh insight into labor market conditions. In addition, the nonfarm payrolls report, scheduled for release Friday, will be closely watched.
What’s new on the tariffs front?
The tariffs front has President Donald Trump’s deadline of Aug. 1 tinged with optimism that the U.S.-China trade truce could see an extension beyond the Aug. 12 deadline.
S&P 500 and Nasdaq gained in the previous session as investors welcomed the trade deal between the United States and European Union. A U.S.-Japan deal earlier also buoyed traders.
U.S. goods trade deficit
Per details by the Commerce Department’s Census Bureau, the U.S. trade deficit in goods shrank sharply in June as imports declined. The report aligns with economists’ expectations around impact of trade on the economic rebound witnessed in the second quarter, with the goods trade deficit narrowing 10.8% to $86.0 billion over the month.
Meanwhile imports fell $11.5 billion to $264.2 billion while exports dropped $1.1 billion to $178.2 billion.
You might also like: Bitcoin faces pullback risk as U.S. investor demand slows
