The S&P 500 scaled to a fresh record high on Friday, adding to its weekly gains, thanks to gains in tech.
The benchmark traded 0.2% higher, while the Nasdaq Composite advanced 0.4%. The Dow Jones Industrial Average lagged, falling 59 points, or 0.2%. A 3% post-earnings slide in American Express dragged the 30-stock average lower.
Nvidia shares gained 0.4%, while Tesla advanced 1.6%. Alphabet and Amazon advanced 0.5% and 0.7%, respectively.
For the week, the S&P 500 is up 0.8%, while the Nasdaq and Dow have advanced 1.8% and 0.2%, respectively. Investors this week have been poring through the latest corporate earnings reports.
About 60 S&P 500 companies have posted second-quarter results thus far. Of those, 86% have beaten analyst expectations. On Thursday, PepsiCo and United Airlines shares both popped after the respective companies beat analyst estimates on earnings. Those follow solid results from big banks like JPMorgan and Goldman Sachs earlier in the week.
Netflix on Thursday reported better-than-expected earnings on Thursday, but shares slid 4%. Shares of 3M were also down slightly despite the company posting an earnings beat.
Data pointing to a strong U.S. economy also lifted the major stock benchmarks this week.
“I think this market deserves the benefit of the doubt, and what got you here is still the growth sectors,” Keith Lerner, co-chief investment officer and chief market strategist at Truist, said on CNBC’s “Closing Bell.” “We would stick with the underlying trend, which still seems positive in our world,” he continued.
Stocks open little changed on Friday
Shortly after 9:30 a.m. ET, the S&P 500 was 0.2% higher, while the tech-heavy Nasdaq Composite added nearly 0.4%. The Dow Jones Industrial Average edged lower by 48 points, or about 0.1%.
— Pia Singh
Netflix, American Express, Chevron among stocks moving before Fridays open
Check out the companies making headlines before the bell:
- Netflix — Shares fell 2% after Netflix warned that operating margin in the second half of 2025 will be lower than the first half because of higher content amortization, as well as sales and marketing costs, because of a larger slate of content. Otherwise, the streaming company beat on the top and bottom lines.
- Chevron, Hess — Chevron shares rose 3%, while Hess jumped more than 7%. The moves come after Chevron won against Exxon Mobil in a dispute over Hess’s offshore oil assets in the South American nation of Guyana. That clears the path for Chevron to complete its $53 billion acquisition of Hess.
- Sarepta Therapeutics — The biopharmaceutical stock fell 24% after trade news and data provider BioCentury reported that a patient died after receiving treatment during a Phase 1 study. A Sarepta spokesperson told BioCentury that the death was due to acute liver toxicity.
For the full list, read here.
— Sarah Min
Housing starts, building permits come in close to estimates for June
The latest numbers on housing starts and building permits showed some improvement and were close to expectations.
Starts in June totaled a seasonally adjusted annual rate of 1.32 million, up 4.6% from May and a bit better than the 1.3 million estimate from Dow Jones, according to Commerce Department figures released Friday. On the permits side, authorizations totaled just shy of 1.4 million, up 0.2% monthly and ahead of the 1.39 million estimate.
However, housing completions slumped, totaling 1.31 million, which was off 14.7% monthly and 21.4% from a year ago.
—Jeff Cox
American Express beats second-quarter estimates
American Express earnings results added onto a slew of positive financial reports seen this week. Shares of the payments giant edged higher by more than 1% in premarket trading.
The company reported second-quarter earnings of $4.08 per share, excluding items, while analysts polled by FactSet expected $3.89 per share. Revenue for the period came out at $17.86 billion, meanwhile, exceeding analysts’ $17.71 billion estimate.
“We saw record Card Member spending in the quarter, demand for our premium products was strong,” American Express management said.
— Pia Singh
Ether ETFs head for record-setting week
Exchange-traded funds tracking the price of ether saw daily inflows top those of bitcoin ETFs for the first time ever on Thursday.
ETH funds logged $602 million in net inflows, led by BlackRock’s iShares Ethereum Trust (ETHA). Bitcoin ETFs on the same day logged inflows of $522 million.
A day earlier, the ETH funds saw a single-day record inflow of $726.7 million.
— Tanaya Macheel
3M shares rise on earnings beat, profit forecast lift
Shares of 3M jumped more than 2.5% on the back of better-than-expected earnings results.
3M posted earnings of $2.16 per share on revenue of $6.16 billion for the second quarter, while analysts polled by LSEG expected earnings of $2.01 per share on revenue of $6.11 billion. The company also raised its full-year earnings forecast to $7.75 to $8, which reflects the expected impact of tariffs.
— Pia Singh
Chevron emerges victorious in mediation over Exxon in Guyana oil assets
FILE PHOTO: A Chevron gas station sign is shown in Encinitas, California, U.S., October 23, 2023.
Chevron shares rose more than 3% in the premarket after CNBC’s Becky Quick reported that the energy giant emerged victorious in a mediation case against Exxon over which company owned the right over certain oilfields in Guyana.
This victory lets Chevron move forward with its $53 billion acquisition of Hess, which popped 7% before the bell.
— Fred Imbert
Netflix shares slide even after earnings beat
Netflix shares were down 1% even after the streaming giant reported second-quarter earnings and revenue that beat analyst expectations. The company also raised its full-year revenue guidance.
— Fred Imbert
U.S. exceptionalism has peaked, says investor Tim Seymour
Investor Tim Seymour believes that the trend of global assets outperforming will continue going forward.
While the S&P 500 has added around 7% year to date, Seymour said that “the real money has been made overseas.”
“Some of the trends … that have made the U.S. exciting, I think some of those trends are alive and well around the world,” the founder and chief investment officer of Seymour Asset Management said on CNBC’s “Power Lunch” Thursday afternoon. “I’m not here to tell you U.S. exceptionalism is over, but I think it’s peaked.”
The investor added that as the world becomes increasingly isolationist, individual countries will begin to matter more.
— Lisa Kailai Han
Stocks moving in extended trading
Here are a few of the names that are posting big moves in after-hours action.
Norfolk Southern – Shares of the railway company jumped 4% after The Wall Street Journal, citing people familiar with the matter, reported that Union Pacific is in talks to acquire Norfolk Southern. Union Pacific shares were little changed in extended trading, but CSX climbed 2% in sympathy.
Interactive Brokers – The broker posted second-quarter results that surpassed analysts’ expectations. Adjusted earnings for the period came in at 51 cents per share on adjusted revenue of $1.48 billion. LSEG consensus estimates sought 46 cents per share and revenue of $1.36 billion. Shares jumped more than 4%.
Netflix – The streaming giant slipped almost 2%. Netflix beat analysts’ estimates on the top and bottom lines in the second quarter. Revenue for the period – coming in at $11.08 billion – only narrowly topped Wall Street’s call for $11.07 billion, per LSEG.
Bank OZK – Shares of the regional bank advanced 2%. Bank OZK posted net interest income of $396.7 million in the second quarter, topping the StreetAccount consensus call for $388.5 million. Earnings of $1.58 per share for the period also beat the Street’s estimate of $1.53 per share.
–Darla Mercado
Futures open flat on Thursday evening
U.S. stock futures were little changed shortly after 6 p.m. ET on Thursday.
Futures tied to the S&P 500 were marginally lower, as were Nasdaq 100 futures. Dow Jones Industrial Average futures added just 6 points.
The action comes after a winning day for the three major averages, in which the S&P 500 and Nasdaq Composite hit fresh records on an intraday and closing basis.
–Darla Mercado