The S&P 500 Index ($SPX) (SPY) today is up by +0.03%, the Dow Jones Industrials Index ($DOWI) (DIA) is down by -0.22%, and the Nasdaq 100 Index ($IUXX) (QQQ) is up by +0.40%. September E-mini S&P futures (ESU25) are up +0.02%, and September E-mini Nasdaq futures (NQU25) are up +0.35%.
Stock indexes are trading mostly higher today, with the S&P 500 posting a new all-time high and the Nasdaq 100 posting a 1-week high. Signs that the US economy is holding up are a supportive factor for stocks today after Q2 GDP was revised higher than expected, showing the economy expanded more than initially estimated. Also, US weekly initial unemployment claims fell as expected, easing concerns about the labor market.
Limiting gains in stocks today is some disappointing earnings news. Hormel Foods is down more than -13% after reporting weaker-than-expected Q3 adjusted EPS and forecasting Q4 adjusted EPS below consensus. Additionally, there’s some weakness in technology stocks following Nvidia’s sales forecast, which fell short of lofty expectations. Nvidia is down more than -1% after reporting weaker-than-expected Q2 data center revenue and giving a revenue forecast that was seen as underwhelming.
US Q2 GDP was revised upward to +3.3% (q/q annualized) from the previously reported +3.0%, stronger than expectations of +3.1%.
US weekly initial unemployment claims fell -5,000 to 229,000, close to expectations of 230,000.
US Jul pending home sales fell -0.4% m/m, weaker than expectations of -0.2% m/m.
Regarding tariffs, President Trump late Monday threatened to impose new tariffs and export restrictions on advanced technology and semiconductors in retaliation against other nations’ digital services taxes that hit American companies. Last week, Mr. Trump widened steel and aluminum tariffs to include more than 400 consumer items that contain the metals, such as motorcycles, auto parts, furniture components, and tableware. The change went into effect last Monday and did not exclude goods already in transit.
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