Stocks To Watch |📊Ready, set, trade! Keep an eye on these stocks as they set the market abuzz #StockMarket pic.twitter.com/det4J9mqjQ
— ET NOW (@ETNOWlive) July 9, 2025
The Dow Jones Industrial Average rose 432 points, or 1%, but remains 1,200 points, or 2.7%, short of its all-time high. Despite this, the Dow, S&P 500, and Nasdaq all posted their biggest weekly gains in six weeks. President Trump’s statements on tariffs have created volatility in the market.
However, recent trade agreements with the United Kingdom and China have provided some relief.
BREAKING 🚨: The World
The U.S. Stock Market now has a higher market cap than Europe, China, Hong Kong, Japan, India, United Kingdom, France, Germany, Spain, Italy, Brazil, Mexico, and South Africa COMBINED 👀👀 Thought American Exceptionalism was dead? 🤔🤣 pic.twitter.com/9yh5R3aGR3
— Barchart (@Barchart) July 9, 2025
The burgeoning AI industry, boosted by surging sales for Nvidia’s chips and efforts to deregulate the sector, has been a primary catalyst propelling stocks. Additionally, hopes for a rate cut from the Federal Reserve have steadied investor confidence.
Despite these gains, the market faces several challenges. Consumer spending in the first quarter of 2025 was at its weakest rate in more than four years. Moreover, if Congress fails to address the debt ceiling and legislative stalemates persist, the US could risk defaulting on its debt, leading to further economic turbulence.
Nasdaq and S&P hit milestones
Ongoing geopolitical tensions and existing tariffs, which raise prices, could also hinder economic growth. On Friday, investors shrugged off concerns about trade that briefly stymied the market’s positive momentum earlier in the afternoon.
Gains this week were fueled by optimism about a cooling in geopolitical tensions, particularly the cease-fire agreement between Israel and Iran. Market optimism was further bolstered by Commerce Secretary Howard Lutnick’s announcement that the U.S. had signed a deal with China to implement a trade framework. The White House is also working on deals with ten other large trading partners, expected to be finalized in the coming weeks.
Nike shares surged 15% after the company posted stellar fiscal fourth-quarter results and outlined plans to mitigate the expected impact of tariffs. Shares of the world’s largest technology companies were mixed on Friday, with Amazon, Nvidia, Alphabet, and Meta Platforms gaining, while Tesla, Microsoft, and Broadcom fell slightly. The S&P 500 is just 1% away from reaching an all-time high, marking a notable turnaround considering the index’s precarious position just two months ago.
Earlier this year, the S&P 500 hit a record high on February 19 but began to tumble in March and April as President Trump unveiled his tariff policy. Since then, the market has rallied, with significant gains in May and June. As the market approaches record highs, investors are debating whether there’s more room for growth or if new obstacles could stall progress.
Despite several headwinds, including potential inflation from higher tariffs this summer, some Wall Street analysts believe the market still has room to rise.
