Weekly Market Insights | Upbeat Q2, Trade News Cheer Investors

Expectation-beating Q2 results from several companies, trade updates, and investor optimism for more trade agreements pushed market averages to solid gains and record closings last week.  This week the focus is on Big Tech (Mag 7) earnings reports. 

Earnings, Trade Lift Markets

The S&P 500 index rose 1.5% this week to another closing record in a broad advance led by the health care sector. The Nasdaq Composite Index added 1.02 percent. The Dow Jones Industrial Average rose 1.26 percent. The MSCI EAFE Index, which tracks developed overseas stock markets, gained 2.16 percent.^1,2

The index ended Friday's session at 6,388.64, its highest closing level ever. That marks the benchmark's fifth consecutive session closing at a record high. The S&P 500 also recorded a fresh intraday high on Friday at 6,395.82 and is now up 3% for the month and 8.6% this year.

The US announced trade deals with Japan and the Philippines this week. The US also has "a 50-50 chance of making a deal with the EU," President Donald Trump said Friday, ahead of a meeting on Sunday with European Commission President Ursula von der Leyen.

A number of stocks were also boosted by better-than-expected quarterly results.

All of the S&P 500's sectors rose. In the lead, health care climbed 3.4%, followed by materials, up 2.4%, and industrials, up 2.3%. Real estate and communication services added 2.2% each. Financials, energy and consumer discretionary added more than 1% each while utilities, technology and consumer staples also edged higher.

The best performer in health care was West Pharmaceutical Services (WST). Shares jumped 25% on the week as the company reported Q2 results that topped analysts' mean estimates and boosted 2025 guidance.

In materials, Newmont (NEM) shares climbed 13% as the company reported Q2 adjusted earnings per share and sales above analysts' mean estimates.

GE Vernova (GEV) had the largest percentage gain in industrials, up 12% as the company reported Q2 earnings per share and revenue above analysts' mean estimates. GE Vernova also said it now sees the year's revenue toward the higher end of its guidance range.

A Tale of Two Houses, Times Two

When fresh housing data emerged this week, one number stood out: new homes are now nearly 8 percent cheaper than existing homes.

The median sales price of a new home in June was $401,800, compared with $435,300 for an existing home—an all-time high. Homebuilders have been reducing prices in an attempt to attract potential buyers.⁷

But there’s another tale of two houses: national versus regional.

Existing home prices rose 2.7 percent last month over May. In the Northeast, where inventory is still constrained, prices rose 4.2 percent in June. However, the market is softening in many other regions of the country. In the South, for example, prices only rose 0.3 percent. Homes stay on the market for longer, and inventory rises, leading some to conclude that it’s a buyer’s market.⁸

This Week: Key Economic Data

Economic data will include Q2 gross domestic product, the June personal consumption expenditures index and July employment data.

Tuesday: Trade Balance in Goods. Consumer Confidence. Case-Shiller Home Price Index. Retail Inventories. Wholesale Inventories. Job Openings. Federal Open Market Committee (FOMC) July meeting—Day 1.

Wednesday: ADP Employment Report. Gross Domestic Product (GDP). Treasury Refunding Announcement. Pending Home Sales. FOMC July meeting—Day 2. FOMC Interest Rate Decision. Fed Chair Powell Press Conference.

Thursday: Jobless Claims. Personal Consumption and Expenditures (PCE) Index. Employment Cost Index. Fed Balance Sheet.

Friday: July Employment Report. ISM Manufacturing Index. Construction Spending. Consumer Sentiment.

^{Source: Investors Business Daily - Econoday economic calendar; July 25, 2025
The Econoday economic calendar lists upcoming U.S. economic data releases (including key economic indicators), Federal Reserve policy meetings, and speaking engagements of Federal Reserve officials. The content is developed from sources believed to be providing accurate information. The forecasts or forward-looking statements are based on assumptions and may not materialize. The forecasts also are subject to revision.}

This Week: Companies Reporting Earnings

Monday: Welltower Inc. (WELL), Waste Management, Inc. (WM)

Tuesday: Visa Inc. (V), The Proctor & Gamble Company (PNG), UnitedHealth Group Incorporated (UNH), Merck & Co., Inc. (MRK), Booking Holdings Inc. (BKNG), The Boeing Company (BA), Spotify Technology (SPOT), Starbucks Corporation (SBUX), American Tower Corporation (AMT)

Wednesday: Microsoft Corporation (MSFT), Meta Platforms, Inc. (META), QUALCOMM Incorporated (QCOM), Lam Research Corporation (LRCX), Automatic Data Processing, Inc. (ADP), Altria Group, Inc. (MO), Robinhood Markets, Inc. (HOOD)

Thursday: Apple Inc. (AAPL), Amazon.com, Inc. (AMZN), Mastercard Incorporated (MA), AbbVie Inc. (ABBV), S&P Global Inc. (SPGI), Stryker Corporation (SYK), Comcast Corporation (CMCSA), KKR & Co. Inc. (KKR), KLA Corporation (KLAC), MicroStrategy Incorporated (MSTR), The Southern Company (SO), Coinbase Global, Inc. (COIN), Bristol Myers Squibb Company (BMY)

Friday: Berkshire Hathaway Inc. (BRK.A / BRK.B), Exxon Mobil Corporation (XOM), Chevron Corporation (CVX)

^{Source: Zacks, July 25, 2025. Companies mentioned are for informational purposes only. It should not be considered a solicitation for the purchase or sale of the securities. Investing involves risks, and investment decisions should be based on your own goals, time horizon, and tolerance for risk. The return and principal value of investments will fluctuate as market conditions change. When sold, investments may be worth more or less than their original cost. Companies may reschedule when they report earnings without notice.}

“You must do the thing you think you cannot do.”

– Eleanor Roosevelt

Should You Classify Your Workers As Employees or Independent Contractors?

You might hire employees and independent contractors for similar work, but there are differences in how they are classified. Here are a few questions to consider:

• Does the company have the right to control what the worker does and how the worker does the job?
• Does the business direct or control the financial and business aspects of the worker's job?
• Are the business aspects of the worker's job controlled by the payer?
• Are there written contracts or employee-type benefits such as a pension plan, insurance, and vacation pay?
• Will the relationship continue, and is the work performed a key aspect of the business?

Correctly classifying your workers is key when managing issues with taxes or liability.

This information is not a substitute for individualized tax advice. Please discuss your specific tax issues with a qualified tax professional. 

Tip adapted from IRS⁹

Hiking for Beginners

If you’re headed out for your first hike, The American Hiking Society shares some tips to keep you safe and comfortable:

• Make sure to research your route before you go. You can use apps to study the map of a specific hike.
• Bring the correct-sized backpack for your needs. Your pack should fit your back length and be large enough to hold the essentials, such as extra clothes, snacks, and water.
• Make sure to hike in boots that are the correct size. Nothing will ruin a hike faster than ill-fitting boots. Before heading out on your hike, walk around in your boots to break them in and ensure they are the correct fit.

Tip Adapted from American Hiking Society¹⁰

They are sometimes stomped on, yet they can also be very tasty and sweet. What are they?

Last Week's Riddle: A man leaves home and makes three left turns. He comes home again and sees two masked men waiting for him, but he jogs straight toward them with a smile as others cheer. Why is this man so unafraid?
Answer: He’s a baseball player who has just hit a home run. The masked men are the umpire and the opposing team’s catcher.

Neuschwanstein Castle 
Hohenschwangau, Bavaria, Germany

Footnotes and Sources

^{1. WSJ.com, July 25, 2025}

^{2. Investing.com, July 25, 2025}

^{3. CNBC.com, July 22, 2025}

^{4. CNBC.com, July 23, 2025}

^{5. WSJ.com, July 24, 2025}

^{6. CNBC.com, July 25, 2025}

^{7. MarketWatch.com, July 24, 2025}

^{8. MarketWatch.com, July 23, 2025}

^{9. IRS.gov, July 30, 2024} 

^{10. American Hiking Society, March 18, 2025} 

^{11. Provided by MT Newswires, YCharts.com, July 21-25, 2025}