The S&P 500 closed above 6,300 for the first time in history on Monday 21st July 2025, while the Nasdaq Composite notched yet another record, finishing at 20,974.17.
Investor enthusiasm for upcoming tech earnings has eclipsed broader concerns over looming global tariffs, fuelling a rally in major indexes.
Despite marginal losses in the Dow Jones Industrial Average, the tech-heavy Nasdaq rose 0.38% while the S&P 500 climbed 0.14%, buoyed by gains in heavyweights like Meta Platforms, Alphabet, and Amazon.
With over 60 S&P 500 companies having reported so far this earnings season, more than 85% have exceeded expectations, according to FactSet.
S&P 500 and Nasdaq Comp at new record highs 21st July 2025
Alphabet shares advanced over 2% ahead of Wednesday’s results, and Tesla headlines the ‘Magnificent Seven’ group expected to drive the bulk of earnings growth this quarter. And not necessarily for the right reason.
Analysts reportedly expect the group to deliver 14% growth year-on-year, far outpacing the remaining S&P constituents’ average of 3.4%.
S&P 500
Despite tariff tensions simmering — with the U.S. setting a 1st August deadline for levy enforcement — investor sentiment remains bullish.
Bank of America estimates Q2 earnings are tracking a 5% annual increase, suggesting resilience amid geopolitical headwinds.
Strategists warn of potential volatility, as earnings surprises or policy shifts could spark swift market reactions.
Still, some analysts see space for further upside, projecting a potential S&P climb to 6,600 before any meaningful pullback.
As the tech titans prepare to report, all eyes are on whether optimism can keep the rally alive — or if tariffs will return to centre stage.
From FANG stocks, MAG 7 stocks to AI – the tech titans just keep giving.
But when will it overload?