Weekly Market Update – July 21, 2025

Price Return Last Week

S&P 500 +0.6%       S&P Mid Cap 0.0% Russell 2000 +1.7%

MSCI EAFE (0.3%) MSCI EM +1.7%

10 Yr US Treasury Rate – rose from 4.42% to 4.43%

Source: Refinitiv Eikon

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Recent News

Core CPI – Jun: 0.2% (Reuters Poll est. 0.3%) May: 0.1%

Early signs of rising prices due to tariffs started to appear in the inflation data with core inflation rising 0.2% versus the previous month, which was reported at just 0.1%.  Prices for household furnishings rose 1.0% in the month, the largest increase since January 2022.  Appliance prices were up 1.9% month-over-month, the biggest increase since 2020.  Some of the increases were offset by declining hotel prices, which were reported to be down 3.6%.

Source: Thomson Reuters, Refinitiv Eikon

Retail Sales – Jun: 0.6% (Reuters Poll est. 0.1%) May: -0.9%

U.S. sales of retail items were reported stronger than expected and sharply higher than the previous month.  Since the retail sales report does not adjust for inflation, it remains unclear how much of the increase can be attributed to inflation and how much from strengthening demand.  Car sales increased in June by 1.2%, despite units sold during the month declining, indicating that higher prices were the primary reason for rising auto receipts.  On a year-over-year basis, retail sales were up 3.9%.

Source: Thomson Reuters, Refinitiv Eikon

Stablecoin Bill – On Friday, President Trump signed into law the GENIUS Act, which creates a regulatory framework for U.S. dollar-pegged cryptocurrency tokens called stablecoins.  The bill requires tokens to be backed by liquid assets, like U.S. dollars and Treasuries, and mandates that issuers disclose their reserves on a monthly basis.  In a rare show of bipartisan support, the bill passed the House of Representatives 308-122.  Two additional cryptocurrency related bills were passed by the House at the same time and are currently under review by the Senate.

Source: CBS News, Thomson Reuters

Tangled Up In Wires – Sixty years ago on July 25, Bob Dylan first performed live with an electric guitar at the Newport Folk Festival.  While Dylan’s change was a shock to the folk community at the time, it would be a sign of things to come as he would constantly be evolving his sound from one genre to another, even releasing an album of jazz crooners once sung by Frank Sinatra.

Source: Pitchfork.com

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Upcoming Events

7/21 – Notable Earnings Reports: Verizon

7/22 – Notable Earnings Reports: GM, Danaher, DR Horton, Coca-Cola, Lockheed Martin, Northrop Grumman, Pultegroup, RTX, Chubb, Texas Instruments,

7/23 – Notable Earnings Reports: Amphenol, Freeport-McMoRan, Fiserv, Nextera, Northern Trust, AT&T, Thermo Fisher, Chipotle, IBM, Tesla, ServiceNow, Alphabet

7/24 – S&P Manufacturing PMI, S&P Services PMI, Notable Earnings Reports: Dover, Union Pacific, Honeywell, Blackstone, Keurig Dr. Pepper, L3Harris, Southwest Airlines, Pool Corp, Tractor Supply, Valero, Dow, Deckers, Digital Realty Trust, Intel, Mohawk

7/25 – Durable Goods, Notable Earnings Reports: Aon

Source: Refinitiv Eikon