Markets edged higher on July 24 as investors absorbed a mix of earnings, macroeconomic data, and central bank commentary. The S&P 500 hovered near record highs while Bitcoin reclaimed ground after a brief selloff. Corporate earnings from major tech and industrial players helped buoy confidence, even as global growth concerns linger.
Market Snapshot
- Dow Jones Industrial Average: ▲ 0.32% to 40,140.12
- S&P 500: ▲ 0.17% to 5,566.89
- Nasdaq Composite: ▼ 0.11% to 17,893.44
- Bitcoin (BTC): ▲ 1.8% to $69,030
- Ethereum (ETH): ▲ 1.5% to $3,570
- Gold: ▲ 0.2% to $2,433/oz
- 10-Year US Treasury Yield: 4.24%
S&P 500 Nears Record as Earnings Season Ramps Up
The S&P 500 closed slightly higher and is within striking distance of all-time highs. Strong Q2 earnings from key financial and consumer companies helped offset caution ahead of major tech reports later this week.
Why it matters: With over 30% of S&P 500 companies reporting this week, market momentum depends heavily on earnings outlooks, especially in the tech and financial sectors.
Bitcoin Rebounds Above $69,000
Bitcoin rose 1.8%, trading above $69,000 as risk appetite returned and ETF flows remained positive. On-chain data indicates continued accumulation by long-term holders.
Why it matters: BTC’s stability above $68K reinforces investor confidence amid shifting interest rate narratives and renewed institutional attention.
Fed Officials Mixed on Timing of Cuts
Cleveland Fed President Loretta Mester said rate cuts could begin “later this year,” contingent on incoming inflation data, while others warned of premature easing. Markets now price in a 60% chance of a rate cut by November.
Why it matters: The timing of Fed cuts remains a top driver of equity, bond, and currency markets, influencing valuation models and investor positioning.
Microsoft Beats Expectations, Highlights AI Demand
Microsoft posted stronger-than-expected Q2 earnings, reporting $61.9 billion in revenue and $2.91 EPS, driven by growth in Azure and cloud AI services.
Why it matters: As one of the largest tech companies, Microsoft’s performance sets the tone for the broader sector. Its AI traction is seen as a key barometer for future innovation-driven growth.
Tesla Shares Dip Ahead of Earnings
Tesla fell 1.9% in anticipation of its Q2 earnings report, scheduled for after market close. Investors are focused on automotive margins, vehicle delivery trends, and updates on its Full Self-Driving software.
Why it matters: Tesla’s results could impact sentiment across EV and tech sectors and influence debate around growth vs. profitability strategies.
U.S. PMI Holds Steady, Suggests Resilient Expansion
The S&P Global Composite PMI came in at 52.0, showing modest expansion across services and manufacturing. Services remained the stronger segment, while manufacturing showed a slight contraction.
Why it matters: A PMI above 50 indicates economic expansion. The data supports a soft-landing narrative and reduces pressure for aggressive monetary easing.
Ethereum Gains Amid ETF Clarity Hopes
Ethereum moved above $3,570 on increased optimism surrounding the potential approval of spot ETH ETFs. A U.S. court ruling last week clarified that Ethereum is not a security, boosting sentiment.
Why it matters: Regulatory clarity could lead to significant capital inflows and strengthen ETH’s role in DeFi and institutional portfolios.
Chinese Markets Slip on Weak Property Data
Shanghai and Shenzhen indexes closed lower after fresh data showed continued declines in property investment and new home sales. The Chinese government has yet to announce significant new stimulus measures.
Why it matters: China’s economic malaise affects global supply chains, commodity prices, and emerging markets reliant on Chinese demand.
Meta Platforms Rallies Ahead of Earnings Call
Meta shares rose 1.7% as analysts expect another quarter of strong ad revenue growth and cost efficiency. Investors are also looking for updates on Meta’s AI roadmap and user engagement trends across its platforms.
Why it matters: Meta’s performance is key to understanding trends in online advertising and user engagement, both of which affect a wide range of digital economy stocks.
Oil Prices Inch Up as Geopolitical Risk Grows
WTI crude traded around $78.60 per barrel, up 0.6%, as markets digested new tensions in the Middle East and reports of falling output from Nigeria due to unrest in the Niger Delta.
Why it matters: Oil prices are critical to inflation expectations, energy equities, and geopolitical risk premiums across global markets.
Gold Holds Steady Near Record Highs
Gold edged up to $2,433/oz, buoyed by expectations of looser monetary policy and continued demand from central banks, particularly in Asia.
Why it matters: Gold serves as a hedge against inflation, currency debasement, and geopolitical instability, making it a key safe-haven asset during global uncertainty.
Visa Earnings Beat Forecast, Shows Resilient Consumer Spending
Visa reported Q2 revenue of $8.9 billion and EPS of $2.40, both ahead of analyst expectations. Strong cross-border payment growth and travel-related spending boosted results.
Why it matters: Visa’s data offers a real-time window into global consumer activity and supports bullish views on discretionary spending.
Argentina Raises Key Interest Rate to 78% to Stabilize Peso
Argentina’s central bank raised its benchmark rate by 500 basis points to 78% amid continued peso volatility and rising inflation. Currency controls remain in place.
Why it matters: Hyperinflation and currency instability in Argentina highlight risks in emerging markets and impact regional investment flows.
UK Retail Sales Slide, Inflation Still Elevated
Retail sales in the UK fell by 0.3% in June, while core inflation remains stubbornly above 4%. The Bank of England is expected to hold rates steady next week.
Why it matters: The UK is balancing fragile growth with high inflation — a challenge faced by several advanced economies navigating post-pandemic policy tightening.
Market Movers – 24 July
Top Gainers:
- Microsoft (MSFT): +2.1%
- Ethereum (ETH): +1.5%
- Visa (V): +1.9%
Top Losers:
- Tesla (TSLA): -1.9%
- Alibaba (BABA): -1.4%
- Rio Tinto (RIO): -1.2%
Sectors to Watch:
- Tech & AI: Major earnings reports and innovation outlooks
- Commodities: Oil and gold reacting to macro data and geopolitical risks
- Crypto: BTC and ETH showing renewed strength after ETF optimism
Investor Takeaway
Markets remain cautiously optimistic as Q2 earnings support valuations, despite underlying macro uncertainty. Investors are looking for clarity on the Fed’s rate path, geopolitical pressures, and whether tech can maintain its momentum. With major tech names reporting this week, the tone for August trading could be set in the next few days.