Market Recap (8/3/25)
Market Recap of the Week of Jul 28, 2025 - Aug 1, 2025
Source: Apple Stocks Application
Overall Market Trends:
The market fell last week, with all four major indices ending the week in the red. The New York Stock Exchange Composite (NYSE) fell 679 points (-3.24%), the S&P 500 sank 152 points (-2.37%), the NASDAQ Composite slipped 460 points (-2.18%), and the Dow Jones Industrial Average posted a weekly loss of 1,319 points (-2.94%).
Stocks finished Monday's trading session relatively even. Investors chose to overlook a trade deal that Trump struck with the European Union over the weekend as they prepare for an abundance of data reports and earnings set to be released throughout the week, as well as the Fed’s interest rate decision during Wednesday’s session.
The market retreated on Tuesday as trade negotiations slowed with China. U.S. officials ceased talks with their Beijing counterparts while a possible extension on the pause looms, pending Trump’s sign-off. In addition, there were mixed responses to earnings reports. Boeing (NYSE: BA) fell nearly 4% despite releasing a solid earnings report, selling the most planes since 2018. UPS (NYSE: UPS) and Whirlpool (NYSE: WHR) followed suit, tanking over 10% and 13%, respectively. This was due to both UPS and Whirlpool missing their earnings. However, UPS also did not issue guidance, and Whirlpool slashed its future dividends.
Stocks continued to fall throughout the day on Wednesday after the Federal Reserve decided to hold interest rates steady. Fed Chair Jerome Powell stated that the Fed has made no decision on whether it will cut or hold rates steady at the September meeting and is instead solely focused on long-term inflation and assessing the effects of Trump’s tariffs on the economy and inflation. Yields rose as Powell remarked that it could take an extended time to assess the tariff’s effects on consumer prices more specifically. His comments sparked concerns in investors who were hoping for a rate cut at the September meeting or at least one before the end of the year. It is important to note that this meeting was the first time since 1993 that two governors dissented- this time in favor of a quarter-point rate cut.
The broad market fell for a third straight day despite strong earnings from Meta (NASDAQ: META) and Microsoft (NASDAQ: MSFT). Meta rose over 11% after the company released better-than-expected earnings as well as a good outlook for Q3. Microsoft also finished up 4%, bringing the company’s market cap over the $4 trillion mark, after posting a greater-than-expected earnings report. Azure, Microsoft’s cloud computing service, brought in over $75 billion in revenue for the tech giant. However, these robust results were not enough to keep the market in the green. On the other hand, UnitedHealth (NYSE: UHG) fell 6% while Merck (NYSE: MRK) declined 4%.
Stocks tumbled on Friday after a poor jobs report suggested a weakening economy. According to the July jobs report, nonfarm payrolls increased by only 73,000 last month, far less than the consensus forecast of 100,000. Bank stocks such as JP Morgan Chase (NYSE: JPM), Bank of America (NYSE: BAC), and Wells Fargo (NYSE: WFC) all fell due to fears of a slowing economy.
Past Earnings Report:
Looking Towards the Future
Upcoming Important Economic Events:
Monday: Factory Orders
Tuesday: U.S. trade deficit; S&P final U.S. services PMI; ISM services
Wednesday: Fed. Gov. Lisa Cook and Boston Fed President Susan Collins on panel
Thursday: Initial jobless claims; U.S. productivity; Wholesale inventories; Atlanta Fed President Raphael Bostic speech
Friday: Nothing Scheduled
Saturday: Fed Vice Chair for Supervision Michelle Bowman speaks
Future Earnings Reports: