The U.S. stock markets are enjoying a robust Friday afternoon, July 25th, 2025, with major indexes extending their impressive weekly gains and several hitting new all-time highs. Investor sentiment remains largely positive, driven by a mixed bag of corporate earnings, ongoing optimism surrounding potential trade deals, and anticipation for key economic events next week.
Current Market Indexes and Afternoon Activity
As afternoon trading progresses, the S&P 500 is up 0.4%, trading at all-time high levels and poised for its fifth consecutive record close, marking its longest such streak in over a year. The benchmark index rose to 6392 points today, gaining 0.46% from the previous session. Similarly, the tech-heavy Nasdaq Composite is also up 0.4% and trading at all-time high levels, having finished at a new high in eight of the previous nine sessions. The Nasdaq was up 0.1% at 21,057.96, another fresh high, and is on track for its fifth consecutive week of gains. The Dow Jones Industrial Average has also seen modest gains, adding 0.4% and moving closer to its first record high since December. All three major indexes are currently on pace to post weekly gains exceeding 1%.
Sector performance in afternoon trading shows a mixed picture, though mega-cap technology companies are generally higher. Major tech players like Nvidia (NVDA), Microsoft (MSFT), Apple (AAPL), Alphabet (GOOG, GOOGL), and Meta Platforms (META) are all up less than 1%, while Amazon (AMZN) has ticked slightly lower. On Thursday, the Consumer Discretionary Select Sector SPDR (XLY) and Materials Select Sector SPDR (XLB) advanced 1.7% and 1% respectively, while the Energy Select Sector SPDR (XLE) fell 0.7%.
Upcoming Market Events
The coming days are set to be significant for market participants, with a packed schedule of earnings reports, crucial economic data, and a highly anticipated Federal Reserve meeting.
The Federal Reserve's next Open Market Committee (FOMC) meeting is scheduled for July 29-30. While President Donald Trump continues to advocate for rate cuts, analysts widely expect the Fed to hold interest rates steady at their current target range of 4.25% to 4.5% for the fifth consecutive time. The central bank has indicated it is waiting to assess the economic impacts of tariffs before making any adjustments to monetary policy. Investors will be closely watching for any signals regarding potential rate cuts later in the year, with some market participants pricing in a 62% chance of a rate cut in September.
Next week will also feature a "jam-packed" earnings reporting schedule, with more than 150 S&P 500 companies set to release their quarterly results. Among the most prominent will be tech giants like Microsoft (MSFT), Apple (AAPL), Amazon (AMZN), and Meta Platforms (META). Apple (AAPL) is slated to announce its fiscal third-quarter 2025 financial results after the market closes on Thursday, July 31. Analysts anticipate revenue to increase by 3.6% to $88.9 billion and earnings per diluted share to rise by 1.4% to $1.42. J.P. Morgan projects Apple's revenue for the quarter to be even higher, at $89.6 billion. Microsoft (MSFT) is expected to report its fiscal fourth-quarter 2025 results on July 30, with revenue projected to grow 13.88% to $73.71 billion and earnings per share anticipated at $3.35. Overall, second-quarter 2025 earnings for S&P 500 companies are expected to show a 7.7% year-over-year increase, with nearly 80% of companies that have reported so far exceeding analyst estimates.
Beyond earnings, three key labor market reports are due next week, including the monthly jobs data, alongside closely watched reports on economic growth and inflation. Furthermore, President Trump's August 1 deadline for global trade agreements remains a significant focus. Hopes are high that the administration will strike deals to avert new tariffs and ease inflationary risks, with agreements already reached with Japan, Indonesia, and the Philippines.
Major Stock News
Several individual stocks are making headlines today due to recent earnings reports and analyst activity.
Tesla (TSLA) shares, after plunging on Thursday following a dismal earnings report, have rebounded 4% on Friday. The electric vehicle maker reported a third consecutive quarter of profit decline and a 12% drop in revenue to US$22.5 billion for Q2. Net income fell 16% to US$1.17 billion, and gross margins also slipped. Despite a US$284 million gain on digital assets, the company missed out on billions in additional Bitcoin gains. Tesla's stock is down 25% year-to-date. The company is reportedly looking to extend its robotaxi rollout to San Francisco as soon as this weekend.
Chipmaker Intel (INTC) saw its shares down 10% on Friday after reporting a surprising loss in the second quarter and announcing plans to cut nearly 25% of its core workforce in a major cost-cutting drive. The company has struggled to keep pace with rivals like Nvidia (NVDA) and Advanced Micro Devices (AMD) amidst surging demand for AI chips.
Conversely, Deckers Outdoor (DECK), the owner of popular footwear brands Ugg and Hoka, saw its shares jump between 12% and 16.6% on Friday, pacing S&P 500 gainers. The company surpassed Wall Street expectations with a 17% rise in its fiscal Q1 revenue to $965 million, driven by a nearly 50% surge in international sales. Deckers also raised its guidance for fiscal Q2 2026.
Alphabet (GOOGL, GOOG) reported strong second-quarter 2025 earnings of $2.31 per share, beating the Zacks Consensus Estimate by 7.44% and growing 22.2% year-over-year. Revenues increased 13.8% to $96.43 billion. Following the announcement, Alphabet's stock prices rose 1% on Thursday.
ServiceNow (NOW) also delivered impressive results, with adjusted earnings of $4.09 per share for Q2 2025, surpassing estimates by 15.54% and increasing 30.7% year-over-year. The company's revenues of $3.22 billion also beat the consensus mark, leading to a 4.2% rise in its stock on Thursday.
For Apple (AAPL), Needham analyst Laura Martin reiterated a "Hold" rating on July 25. While the stock is down 15% year-to-date, the average target price from 41 analysts is $231.35, implying an 8.23% upside from its current price of $213.76. J.P. Morgan believes Apple's upcoming earnings report could serve as a catalyst for share gains despite existing headwinds.
Microsoft (MSFT) continues to be a strong performer, with Wedbush analyst Daniel Ives reiterating an "Outperform" rating and a $600 price target. Evercore ISI also raised its price target for Microsoft from $515 to $545, maintaining an "outperform" rating. The stock recently hit an all-time high of $514.68 USD, underscoring investor confidence in the company's robust performance, particularly its AI leadership and cloud dominance through Azure.
Other notable movers include Newmont (NEM), whose shares climbed as higher gold prices helped the miner beat profit and sales forecasts and boost its share repurchase program. Boston Beer Co. (SAM) jumped 7.8% after reporting a 15% rise in its Q2 net profit. Conversely, Charter Communications (CHTR) dropped 18% on Friday, leading decliners in the S&P 500. Several other companies, including HCA Healthcare (HCA), Aon (AON), Phillips 66 (PSX), AutoNation (AN), and OneMain Holdings (OMF), are expected to report earnings today. Chipotle Mexican Grill (CMG) plunged 13.3% after missing revenue estimates, while Las Vegas Sands Corp. (LVS) and T-Mobile US, Inc. (TMUS) saw their shares climb after beating earnings expectations.
The afternoon trading session on Friday, July 25th, 2025, reflects a market that continues its upward momentum, with investors balancing strong corporate earnings and hopes for favorable trade outcomes against the backdrop of an anticipated Federal Reserve meeting next week.
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.