Back to top

Image: Bigstock

Stock Market News for Jul 18, 2025

Read MoreHide Full Article

U.S. stocks ended higher on Thursday, with the S&P 500 and the Nasdaq closing at new record highs, as fresh economic data and solid earnings from a slew of big companies bolstered investors’ faith in the economy. All three major indexes ended in positive territory.

How Did The Benchmarks Perform?

The Dow Jones Industrial Average (DJI) jumped 0.5% or 229.71 points, to close at 44,484.49 points.   

The S&P 500 rose 0.5%, or 33.66 points, to finish at 6,297.36 points, posting a new record closing high. Financial, tech and consumer staple stocks were the biggest gainers.

The Consumer Staples Select Sector SPDR (XLP) and the Financials Select Sector SPDR (XLF) each rose 1%. The Technology Select Sector SPDR (XLK) added 0.9%. Nine of the 11 sectors of the benchmark index ended in positive territory.

The tech-heavy Nasdaq gained 0.7%, or 153.78 points, to end at 20,884.27 points, posting a new all-time closing high.

The fear-gauge CBOE Volatility Index (VIX) was down 3.73% to 16.52.

Economic Reports, Robust Earnings Drive Rally

U.S. stocks have had a solid run since taking a hit after President Donald Trump’s Liberation Day tariff announcement in April. This week so far has proved to be good, as a slew of economic reports has raised investors’ confidence in the economy.

On Thursday, stocks rallied after fresh economic data reflected strength in the nation’s economy. The Labor Department reported that initial jobless claims for the week ending July 12 decreased by 7,000 from the previous week to a total of 221,000.

Separately, the Commerce Department reported that retail sales jumped 0.6% sequentially in June, surpassing analysts’ expectations of a rise of 0.2%. The solid retail sales figures indicate that the economy is still on solid ground, as consumers are willing to spend despite inflationary pressures.

Also, earnings reports released over the week have exceeded investors’ expectations. A slew of big companies reported impressive quarterly reports on Thursday that added fuel to the Wall Street rally.

Shares of PepsiCo, Inc. ((PEP - Free Report) ) jumped 7.5% after the company reported second-quarter 2025 earnings of $2.12 per share, beating the Zacks Consensus Estimate of $2.03 per share. PepsiCo has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

However, shares of Abbott Laboratories ((ABT - Free Report) ) tumbled 8.5% despite the company beating on earnings. Abbott Laboratories reported second-quarter 2025 earnings of $1.26 per share, beating the Zacks Consensus Estimate of $1.25 per share.

The second-quarter earnings season is fast gathering steam and a large number of companies are scheduled to report on Friday, which will be closely watched by investors.

Economic Data

The Labor Department reported that jobless claims totaled 221,000 for the week ending July 12, a decrease of 7,000 from the previous week. The four-week moving average was 229,500, a decrease of 6,250 from the previous week’s revised average of 235,750.

Continuing claims came in at 1,956,000, an increase of 2,000 from the previous week’s revised level of 1,954,000. The 4-week moving average was 1,957,500, an increase of 4,750 from the previous week's revised average of 1,952,750. 


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Abbott Laboratories (ABT) - free report >>

PepsiCo, Inc. (PEP) - free report >>

Published in