Tonight's Highlights | U.S. Futures Edge Higher, Q2 Earnings Season Kicks Off Strong
As of this writing, Dow Jones futures rose 0.16%, S&P 500 futures gained 0.11%, and Nasdaq 100 futures climbed 0.04%, with S&P and Nasdaq futures near record highs. The previous trading day saw mixed results for the major indices, with the Nasdaq Composite up 0.05%, narrowly setting a new closing high.
The Q2 earnings season has started robustly. According to FactSet data, over 85% of the 62 S&P 500 companies reporting so far have exceeded expectations. Market analysts anticipate that large tech stocks will be the primary drivers in the coming weeks of the earnings season.
FactSet Vice President and Senior Earnings Analyst John Butters noted that the "Magnificent Seven" are expected to see a 14% profit increase in Q2, while the other 493 S&P 500 companies are projected to average just 3.4%.
Siebert Financial Chief Investment Officer Mark Malek commented: “The S&P hit an all-time high at the start of earnings season. Whether the market can sustain its upward momentum hinges on navigating this earnings period smoothly.”
European stock markets trading currently are mostly lower, with Germany’s DAX down 0.2%, the UK’s FTSE 100 off 0.07%, and France’s CAC 40 down 0.62%. Just before this report, spot silver’s intraday gain widened to 1%, reaching $38.56 per ounce.
Company News
Trump Media & Technology Group: Accumulates $2 Billion in Bitcoin and Related Securities
Trump Media & Technology Group’s stock rose 6% in pre-market trading after announcing its Bitcoin reserve purchases totaled $2 billion, converting options into spot Bitcoin.
Microsoft Server Software Exposed to Severe Security Flaw, Hackers Launch Global Attacks
A critical security vulnerability was recently discovered in Microsoft’s server software. Unidentified hackers have exploited this flaw over the past few days to launch attacks worldwide. Multiple institutions have confirmed server breaches, and authorities are rushing to implement fixes.
Microsoft’s July 20 security bulletin noted attackers are using a SharePoint vulnerability that “allows authorized attackers to execute disguised actions within the network.” U.S. media first reported that unknown hackers leveraged this previously unknown “zero-day” exploit globally.
Experts warn that tens of thousands of such servers are at risk. The U.S. government, along with partners in Canada and Australia, is investigating the SharePoint server breaches. The FBI stated on July 20 it is collaborating with federal and private-sector partners on this incident.
TSMC Plans to Expand 2nm Monthly Capacity to 100,000 Wafers by Next Year
Supply chain sources indicate TSMC will significantly ramp up 2nm production due to strong demand from early adopters like Apple, AMD, and Intel, with Qualcomm, MediaTek, and Nvidia soon to follow. Facing a tight 2nm supply, TSMC aims to increase monthly capacity from 40,000 wafers by year-end to 100,000 by next year—a 150% jump—with a potential doubling to 200,000 by 2027.
Industry estimates suggest 2nm could become TSMC’s largest advanced node below 7nm by 2027.
WeRide and Lenovo Launch First Automotive-Grade HPC 3.0 Platform, Cutting Costs by 50%
WeRide and Lenovo today unveiled the HPC 3.0 platform, first applied in WeRide’s new-generation Robotaxi GXR, making it the world’s first Robotaxi with NVIDIA DRIVE Thor X chips.
The HPC 3.0 platform, built on Lenovo’s L4-level AD1 autonomous driving domain controller and trained on NVIDIA DGX, uses dual NVIDIA DRIVE AGX Thor setups with certified DriveOS, delivering 2,000 TOPS AI power and slashing autonomous driving suite costs by 50%.
Verizon Q2 Earnings: $1.18 Per Share, Beats Expectations
Verizon reported $34.5 billion in total revenue for Q2 2025, up 5.2% year-over-year. Q2 2025 EPS was $1.18, compared to $1.09 in Q2 2024; adjusted EPS (excluding special items) was $1.22, up from $1.15. Operating cash flow for the first half of 2025 totaled $16.8 billion, exceeding $16.6 billion in 2024.
U.S. CBO: Research Funding Cuts to Slash New Drug Numbers Over 30 Years
The U.S. Congressional Budget Office (CBO) warns that the Trump administration’s planned $18 billion, 40% cut to the National Institutes of Health (NIH) budget for 2026 will reduce the number of new drugs on the market, with effects unfolding over decades. If approved by Congress, the cut takes effect October 1 this year.
Morgan Stanley Rates SAP ‘Overweight,’ Top Pick
Morgan Stanley’s latest report, based on surveys of dozens of SAP channel partners, predicts improved Q2 performance and accelerating growth for the German software giant. Positive trends around S/4HANA transformation, AI investment, and cloud readiness persist. The firm rates SAP’s German-listed stock “overweight” with a 285.00 euro target, naming it a top pick.