The market saw plenty of volatility over the last five days, as investors unpacked a flood of corporate earnings reports and eyed tensions between President Donald Trump and Federal Reserve Chairman Jerome Powell. The Nasdaq Composite (IXIC) and S&P 500 Index (SPX) marked record highs throughout the week, however, and are both headed for weekly wins. At this point, the Dow Jones Industrial Average (DJI) is slightly lower for the week, struggling to recover from its sharp Tuesday losses.
Inflation data was muted, with the consumer price index (CPI) matching forecasts, while the producer price index (PPI) missed expectations by remaining unchanged. There was plenty more economic data as well, including the University of Michigan’s consumer sentiment survey, which marked its highest reading since February. This was also a big week for crypto, as lawmakers deliberated key pieces of crypto-related legislation.
Earnings To Watch
This week was chock full of bank earnings, with several big firms announcing their results throughout the week. To name a few, Citigroup (C) and Wells Fargo (WFC) moved in opposite directions after their reports, while Charles Schwab (SCHW) enjoyed a post-earnings record high.
Streaming giant Netflix (NFLX) announced a second-quarter beat-and-raise Friday, but investors weren't impressed, with the stock down over 4%. PepsiCo (PEP) nabbed its best day since 2020 after international sales boosted profits, while sector peer Coca-Cola (KO) is set to report next week.
Semiconductor Sector Updates
Nvidia (NVDA) was in the spotlight this week, after the company announced plans to resume chip sales to China. Much of the tech sector, including chip stocks Advanced Micro Devices (AMD) and Broadcom (AVGO), rallied on the news, helping boost the Nasdaq to all-time highs. The very next day, however, ASML (ASML) injected some pessimism into the semiconductor sphere with its 2026 growth warning.
More Earnings on Deck Next Week
Next week will be quieter in terms of economic data, though there are still plenty of earnings reports on deck. In the meantime, it's worth noting that Cboe Volatility Index (VIX) futures are roughly 15% above the VIX, an intriguing signal that Schaeffer's Senior Quantitative Analyst Rocky White can show you how to play using stock options. Plus, chaeffer's Senior V.P. of Research Todd Salamone discussed SPX risk and recovery.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
