ADDX GO Market Morning Wrap - 18th July

Stock Market  

Driven by stronger retail data and declining initial jobless claims, the S&P 500 and Nasdaq hit fresh all-time closing highs.  

 

At the close, the S&P 500, which again crossed 6,300 intraday, rose 0.54% to 6,297.36; the Nasdaq Composite gained 0.75% to 20,885.65; and the Dow Jones Industrial Average increased 0.52% to 44,484.49.  

The ongoing earnings season also boosted market sentiment, with notable companies like PepsiCo, TSMC, and United Airlines posting strong gains after beating expectations. Per FactSet, about 50 S&P 500 firms have reported, with 88% surpassing forecasts.  

 

Brett Kenwell, an investment analyst at eToro U.S., said: “Timely reassuring retail sales data kicks off earnings season well.

 

If reports exceed expectations and management signals positive consumer spending, stocks could react favorably. Ultimately, consumption is the backbone of the U.S. economy.”  

Global Hotspots  

Powell Responds to Trump Admin Criticism: Fed Renovations Under Strict Oversight  

 

On July 17 local time, Fed Chair Powell addressed allegations from Trump administration officials of lavish waste in the Fed’s headquarters renovation, responding in writing that the project, approved since 2017, has been under strict oversight.  

 

OpenAI Launches ChatGPT Agent for PPTs and Excel Tasks  

 

U.S. tech firm OpenAI unveiled a general AI agent, ChatGPT, capable of web searches or API data retrieval for in-depth financial research, creating polished slides, booking events, or planning trips.  

Germany’s Fertility Rate Hits 17-Year Low, Remains Below “Ultra-Low” Threshold  

 

Germany’s latest data shows the average number of children per woman has dropped to 1.35, the lowest in 17 years. The Federal Statistical Office reported on July 17 that the 2024 total fertility rate fell 2% from 1.38 in 2023, last below this level in 2006 at 1.33.  

Company News  

Amazon Confirms Cloud Business Layoffs  

 

Amazon confirmed on July 17 it is cutting jobs in its key cloud computing division. Two insiders earlier revealed hundreds of layoffs in AWS, with affected employees receiving emails Thursday morning notifying them of termination and system deactivation.  

 

Coca-Cola “Sugar Switch” Rumor Hits High Fructose Industry  

 

High fructose corn syrup producer Archer Daniels Midland fell 0.85% (down over 3.2% at its low), and sweetener supplier Ingredion dropped 0.61% (down nearly 5%) on Thursday.

 

This followed President Trump’s Wednesday claim on social media that Coca-Cola agreed to use real sugar in U.S. production.  

 

Uber Partners with Lucid for Robotaxi Servic

 

Uber, Lucid, and self-driving tech firm Nuro announced a “next-gen premium global Robotaxi project” tailored for Uber, with Uber investing $300 million in Lucid and planning to buy 60,000 Gravity SUVs. Lucid shares rose 36.24% on Thursday.  

 

TSMC Q2 Net Profit Surges Over 60%  

 

TSMC reported a Q2 2025 net profit of TWD 398.3 billion, up 61% year-over-year, a record high exceeding London Stock Exchange SmartEstimates of TWD 377.9 billion, with other core metrics also rising.

 

It forecasts Q3 sales at $31.8-33 billion (vs. prior $31.72 billion) and an operating margin of 45.5-47.5% (vs. prior 46.9%). Boosted by the report, TSMC’s U.S. stock rose 3.38% Thursday.  

 

Netflix Q2 Revenue $11.08B, Drops >2% After-Hours  

 

Netflix reported Q2 revenue of $11.08 billion (vs. $11.06 billion expected) and EPS of $7.19 (vs. $7.08 expected) after Thursday’s close.

 

It raised its full-year revenue outlook to $44.8-45.2 billion (vs. prior $43.5-44.5 billion, expected $44.56 billion) and operating margin to 29.5% (vs. prior 29%, expected 29.7%). Shares fell over 2% after-hours.  

Forex & Commodities  

International oil prices rose.  

 

At the close, WTI crude futures for the front month on NYMEX rose $1.04 to $66.23 per barrel, up 1.60%, while Brent crude futures gained $1.00 to $69.52 per barrel, up 1.46%.  

 

COMEX gold futures for the front month fell $13.80, or 0.41%, to $3,345.3 per ounce.  

 

In late New York trading, the U.S. Dollar Index rose 0.36% to 98.64, with most non-U.S. currencies declining.  

Key Events  

EU Imports of Russian Oil Hit 3-Month High in May  

 

EU data shows May imports of Russian oil exceeded €407 million, a 3-month high. Russia’s TASS news agency cited Eurostat on July 17, noting a 5.5% rise from April, with Slovakia buying €206 million (down 5.8%) and Hungary’s imports up 22% to over €201 million.  

Cryptocurrency  

Major digital assets rose Thursday.  

 

Bitcoin was up 0.3% to $119,390, with 24-hour trading volume down 3.2% to $68.24 billion.  

 

Ethereum (ETH-USD) rose 1.8% to $3,426.  

 

XRP (XRP-USD) jumped 10%, BNB (BNB-USD) gained 1.7%, Solana (SOL-USD) rose 0.3%, Dogecoin (DOGE-USD) gained 2.2%, and Cardano (ADA-USD) climbed 5.9%.  

 

The total market value of the cryptocurrency industry rose 1.3% in the past 24 hours to $3.85 trillion, with trading volume up 10.3% to $206.41 billion.  

Key Events  

U.S. Congress Formally Approves Stablecoin Bill, Awaiting Trump’s Signature

 

Early Friday Beijing time, the highly anticipated "Guidance and Establishment of U.S. Stablecoin National Innovation Act" (GENIUS Act) passed the House with 308 votes in favor and 122 against, needing only Trump’s signature to take effect.  

 

Trump Plans Executive Order to Allow Pension Funds to Invest in Crypto

 

Insiders told media that President Trump is set to open U.S. retirement funds to crypto, gold, and private equity investments, including digital assets, metals, and funds focused on M&A, private loans, and infrastructure. An executive order could be signed as early as this week.  

Market Events and Most Anticipated Earnings Releases