Major Indexes Mixed as Markets Digest Inflation Data and Corporate Earnings
The stock market opened with mixed performance Tuesday, July 15, 2025, as investors evaluated the latest inflation data and a flurry of earnings reports from major financial institutions. At the market open, the S&P 500 gained 0.53% to 6,301.28, while the tech-heavy Nasdaq Composite climbed 0.95% to 20,835.34, buoyed by strong performance in technology stocks. Meanwhile, the Dow Jones Industrial Average struggled to find direction, hovering near the flat line at 44,471.28.
The Consumer Price Index (CPI) for June showed inflation increased 0.3% month-over-month, putting the annual inflation rate at 2.7%, matching economists’ expectations. Core CPI, which excludes volatile food and energy prices, rose 0.2% for the month and 2.9% year-over-year, also in line with forecasts. This marks the fifth consecutive month that headline CPI has come in below expectations, a trend that analysts view as meaningful for the economic outlook.
“The market is more focused on this year-over-year number, but the fact that for 5 straight months the month-over-month headline CPI number has come in below expectations is meaningful,” said Scott Wren, senior global market strategist at Wells Fargo Investment Institute.
Nvidia Leads Tech Rally on China Chip Sales Approval
Nvidia (NVDA) shares surged more than 3.5% at the market open after the company announced it would resume sales of its H20 AI chips to China “soon.” The chipmaker stated, “The U.S. government has assured NVIDIA that licenses will be granted, and NVIDIA hopes to start deliveries soon,” marking a significant policy shift under the Trump administration.
This development represents a major win for Nvidia, as analysts had previously predicted the export restrictions would reduce the company’s sales in China, a key market, to “zero.” The AI chipmaker had taken a $4.5 billion charge in the fiscal first quarter associated with export curbs imposed on sales of its H20 products to China.
The news also lifted other semiconductor stocks, with Advanced Micro Devices (AMD) jumping more than 6% as investors anticipated similar approvals for its AI chips targeted at the Chinese market.
Big Banks Kick Off Earnings Season with Mixed Results
Financial heavyweights reported their second-quarter earnings on Tuesday morning, officially launching the Q2 earnings season. JPMorgan Chase (JPM), the largest U.S. bank by assets, topped analysts’ expectations with revenue of $45.68 billion against estimates of $44.06 billion. The bank reported earnings of $5.24 per share, though second-quarter profits fell 17% to $14.9 billion from the year-earlier period, which had included a $7.9 billion gain on Visa shares.
JPMorgan’s trading operations benefited from market volatility triggered by President Trump’s push to overhaul global trade agreements. Fixed income trading revenue jumped 14% to $5.7 billion, while equities trading revenue increased 15% to $3.2 billion. Investment banking fees rose 7% to $2.5 billion on higher debt underwriting and advisory activity.
CEO Jamie Dimon noted, “The U.S. economy remained resilient in the quarter. The finalization of tax reform and potential deregulation are positive for the economic outlook. However, significant risks persist – including from tariffs and trade uncertainty, worsening geopolitical conditions, high fiscal deficits and elevated asset prices.”
Wells Fargo (WFC) reported net income of $5.49 billion, or $1.60 per share, up from $1.33 per share a year ago. Adjusted earnings per share came in at $1.54, beating estimates of $1.41. However, shares dipped about 2% after the bank reduced its net interest income guidance.
Citigroup (C) shares edged higher after the bank topped second-quarter estimates, with the stock gaining nearly 1% at the market open.
The Trade Desk Set to Join S&P 500
In index news, advertising technology company The Trade Desk (TTD) will join the S&P 500 effective before trading opens on Friday, July 18, replacing software company Ansys, which is being acquired by Synopsys. The announcement sent Trade Desk shares soaring 14% in early trading.
The inclusion in the prestigious index typically boosts a company’s share price by introducing it to new investors and index funds that track the S&P 500 components. Prior to today’s jump, Trade Desk shares had lost more than 35% of their value so far this year.
Asian Markets Close Higher
Overseas, Asian markets ended Tuesday’s session on a positive note. Hong Kong’s Hang Seng Index added 1.6% to close at 24,590.12, while Japan’s Nikkei 225 gained 0.55% to finish at 39,678.02. South Korea’s Kospi increased by 0.41% to 3,215.28, and Australia’s S&P/ASX 200 closed 0.7% higher at 8,630.30.
Looking Ahead: More Earnings and Economic Data
Investors are now turning their attention to the remainder of the earnings season, with financial giants Goldman Sachs (GS), Bank of America (BAC), and Morgan Stanley (MS) scheduled to report on Wednesday.
Market participants will be closely monitoring how companies are navigating the impact of President Trump’s tariff policies and whether the second-quarter earnings season can provide further momentum to a stock market already trading at all-time highs.
As trading continues today, market sentiment appears cautiously optimistic, with technology stocks leading the way while investors digest the implications of bank earnings and inflation data for the broader economic outlook.
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.