The S&P 500 reached an intra-day record high but leveled off later in the day, while the Nasdaq saw a 0.2% decrease. This followed news that President Trump advocated for increased tariffs on the European Union. Investors found themselves weighing robust economic data against corporate earnings reports. Meanwhile, the Dow Jones Industrial Average dipped by over 200 points, primarily due to a nearly 3% decline in American Express stock. President Trump is reportedly seeking to impose a minimum 15-20% tariff in any forthcoming deal with the EU, with the European Union looking to finalize a trade agreement prior to the August 1 deadline set by Trump.
On the corporate scene, Netflix shares dropped by 4.8%, despite surpassing both revenue and earnings forecasts. Conversely, Charles Schwab saw a rise of 2.1%, buoyed by strong earnings results, and Chevron's shares increased by 1.5% following the completion of its $53 billion acquisition of Hess. Additionally, the University of Michigan's July survey indicated an increase in consumer confidence, coupled with a reduction in one-year inflation expectations, now at 4.4%, marking the lowest level since February.
For the week, the S&P 500 has registered a 0.8% gain, while the Nasdaq has risen by 1.8%, and the Dow Jones is up by 0.2%.
