U.S. stock market sees gains on July 21, 2025

U.S. stocks increased as positive earnings outweighed trade concerns.

U.S. stock market rises amid strong earnings

On July 21, 2025, U.S. stocks saw an upward movement, driven by investor optimism surrounding earnings reports. The S&P 500 rose 0.14%, closing at 6,305.60, while the Nasdaq Composite jumped 0.38% to a new record of 20,974.17. Major technology companies, including Meta Platforms and Amazon, contributed to this growth. Notably, Verizon's shares surged by 4% after its strong second-quarter earnings report, along with over 85% of S&P 500 companies surpassing earnings expectations so far this season. However, the Dow Jones Industrial Average slightly fell by 19.12 points, settling at 44,323.07. With the upcoming earnings from Alphabet and Tesla, there is anticipation for further advancements in the market. Despite ongoing tariff discussions, optimism remains high among investors, with analysts suggesting potential for continued market growth.

Investor confidence appears strong as the earnings season progresses. With the majority of companies outperforming expectations, market sentiment suggests that fears regarding trade developments could ease. Market strategist Sam Stovall emphasized that low earnings expectations might lead to better-than-anticipated results. This trend reflects a broader pattern where markets often rebound significantly, hinting at a possible continued climb in stock values. If major players like Alphabet and Tesla deliver strong reports, it could further bolster the market's upward trajectory and reduce existing reservations about the economic outlook, despite ongoing concerns regarding tariffs.

Highlights

The market's resilience suggests potential for further gains despite uncertainties ahead.