The blue-chip Dow Jones Industrial Average was up as much as 150 points in early trading on July 17 as the latest raft of second-quarter corporate earnings impressed analysts and investors.
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The benchmark S&P 500 and technology-laden Nasdaq Composite indices were also in the green to start the day as premarket prints from PepsiCo (PEP) and Taiwan Semiconductor Manufacturing Co. (TSM) came in better than expected and buoyed sentiment ahead of the opening bell.
So far, about 50 S&P 500-listed companies have reported financial results for the year’s second quarter, with 88% exceeding Wall Street’s consensus expectations, according to data from FactSet. The better-than-expected results have helped to allay concerns about tariff impacts and economic uncertainty on Corporate America.
Economic Data
U.S. markets are also getting a lift on July 17 from economic data that continues to show underlying strength in the American economy. The U.S. Labor Department reported that jobless claims for the week ended July 12 came out at 221,000, a decrease of 7,000 from the previous week.
Separately, retail sales in June rose more than expected, according to data from the U.S. Census Bureau. Retail sales were up 0.6% from May, beating the 0.2% consensus estimate among economists. The market is reversing higher after a volatile trading session on July 16 as tensions between U.S. President Donald Trump and Federal Reserve Chairman Jerome Powell seemed to reach a boiling point.
However, stocks ended July16 higher after President Trump said it was “highly unlikely” he would seek to remove Powell as Fed Chair before his current term expires in May 2026.
Is the SPDR S&P 500 ETF Trust a Buy?
The SPDR S&P 500 ETF Trust (SPY) has a consensus Moderate Buy rating among 504 Wall Street analysts. That rating is based on 427 Buy, 71 Hold, and six Sell recommendations issued in the last three months. The average SPY price target of $679.22 implies 8.62% upside from current levels.
