Midday Market Update: Thursday, July 10, 2025
The stock market is showing mixed performance at midday on Thursday, with the Dow Jones Industrial Average extending its winning streak while the tech-heavy Nasdaq takes a breather after yesterday’s record-setting session. Investors are balancing optimism from strong corporate earnings against ongoing concerns about global trade tensions.
The Dow Jones Industrial Average is up 0.56% or approximately 250 points, trading at 44,458 as of midday. The S&P 500 has edged up 0.1%, reaching a new record high of 6,263, while the Nasdaq Composite has slipped 0.2% to 20,611 after hitting an all-time high in the previous session.
Historic Milestone for Nvidia as Market Cap Briefly Tops $4 Trillion
In a landmark moment for the technology sector, Nvidia Corporation (NVDA) briefly reached a market capitalization of $4 trillion during Wednesday’s session, becoming the first company in history to achieve this milestone. The semiconductor giant’s shares have continued their remarkable ascent, fueled by surging demand for AI chips and expanding applications in data centers worldwide.
“Nvidia’s unprecedented achievement reflects the market’s strong conviction in the future of artificial intelligence and the company’s dominant position in supplying the critical infrastructure,” said market analyst Sarah Chen. “This milestone has lifted investor sentiment across the broader technology sector.”
The company’s stock has pulled back slightly in today’s session but remains near its all-time high as investors digest the significance of this valuation milestone.
Delta Earnings Soar, Boosting Airline Sector
Delta Air Lines (DAL) shares have surged approximately 12% after the carrier reported better-than-expected second-quarter earnings before the market opened. The airline posted earnings per share of $2.01, which, while representing a 14.8% decrease compared to the same quarter last year, still exceeded analyst expectations.
The strong performance from Delta has lifted other airline stocks, with United Airlines (UAL) gaining 4.5% in sympathy. The positive earnings report suggests that travel demand remains robust despite economic uncertainties and higher fuel costs.
Trade Tensions Continue to Weigh on Market Sentiment
President Donald Trump’s recent tariff announcements continue to create uncertainty in the markets. After extending the deadline for implementing new tariffs to August 1, the administration has now threatened a 50% tariff on Brazilian imports and sent warning letters to 22 global trading partners.
The escalating trade rhetoric has particularly affected companies with significant international exposure. Investors remain concerned about potential retaliatory measures from trading partners and the impact on global supply chains and inflation.
Fed Minutes Signal Cautious Approach to Rate Cuts
Minutes from the Federal Reserve’s June meeting, released on Wednesday, revealed that only a few policymakers supported an immediate rate cut in July, with most preferring to hold steady and reassess later in the year. The central bank expressed concerns about inflationary risks from President Trump’s tariff policies, suggesting that the current interest rate level of 4.25-4.50% might already be close to neutral.
This cautious tone has prompted markets to push back expectations for rate cuts to September, with investors now factoring in a slower pace of monetary easing than previously anticipated.
Economic Data Points to Resilient Labor Market
The latest jobless claims data showed a drop to 227,000, indicating continued strength in the labor market despite recent economic headwinds. This resilience supports the case for a soft landing scenario, where inflation cools without triggering a significant economic downturn.
Upcoming Market Events to Watch
Investors are looking ahead to several key events that could impact market direction in the coming days:
1. Consumer Price Index (CPI) data scheduled for release next week, which will provide crucial insights into inflation trends
2. The beginning of second-quarter earnings season, with major banks set to report next week
3. Retail sales figures expected mid-month, offering a window into consumer spending patterns
4. The August 1 deadline for new tariff implementation, which could trigger significant market volatility
Notable Stock Movements
Beyond the headline-grabbing performances of Nvidia and Delta, several other stocks are making significant moves today:
– Broadcom Inc. (AVGO) has gained 2.2% following positive analyst commentary on its AI initiatives
– Tesla (TSLA) continues to face pressure, down 1.3%, as CEO Elon Musk’s announcement about launching a new political party raises concerns about his focus
– Vistra Corp. (VST) has added 3.6%, leading gains in the utilities sector
– ConAgra Brands (CAG) is down 1.2% after reporting quarterly earnings that showed a 3.28% decrease compared to the same quarter last year
Market Breadth Remains Positive
Despite the mixed performance among major indexes, overall market breadth remains positive. Advancers are outnumbering decliners by a 2.17-to-1 ratio on the NYSE and by a 1.93-to-1 ratio on the Nasdaq. Trading volume is slightly below recent averages, with approximately 18.1 billion shares changing hands.
The CBOE Volatility Index (VIX), often referred to as the “fear gauge,” has decreased 5.2% to 15.94, suggesting reduced anxiety among market participants despite ongoing trade concerns.
Sector Performance
Eight of the eleven S&P 500 sectors are trading in positive territory at midday. The Utilities Select Sector SPDR (XLU) is leading gains with a 0.9% increase, followed by the Industrials Select Sector SPDR (XLI) at 0.7% and the Technology Select Sector SPDR (XLK) at 0.6%. The Consumer Staples Select Sector SPDR (XLP) is the worst performer, down 0.7%.
As the markets navigate through this period of mixed signals, investors are maintaining a cautiously optimistic outlook, balancing strong corporate performance against macroeconomic uncertainties. The midday market update suggests that while concerns about trade policy and monetary tightening persist, strong earnings and technological innovation continue to provide support for equity markets.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.