Stock Market Today: Dow Futures, S&P 500 Futures Slump Even as Trump Says US Is Doing ‘Great’—Netflix, Co

U.S. stock futures declined on Friday, as the Dow Jones, Nasdaq 100, and S&P 500 indices fell, following Thursday’s lower close.

Meanwhile, the 10-year Treasury bond yielded 4.53%, and the two-year bond was at 4.12%. The CME Group’s FedWatch tool’s projections show markets pricing an 89.8% likelihood of the Federal Reserve leaving the current interest rates unchanged during July’s meeting.

Stocks In Focus

Netflix

• Netflix Inc. (NASDAQ:NFLX) tumbled 8.92% in premarket on Friday after reporting mixed second-quarter financial results on Thursday after the market closed and issuing weak guidance for the third quarter.

• Benzinga’s Edge Stock Rankings indicate that NFLX maintains a weak price trend in the short, long, and medium terms, with a solid quality score.

Intuitive Surgical

• Intuitive Surgical Inc. (NASDAQ:ISRG) dropped 9.28% despite posting better-than-expected second-quarter results after Thursday’s closing bell.

• Benzinga’s Edge Stock Rankings indicate that ISRG maintains a weak price trend in the short, long, and medium terms, with a good growth score.

Nebius Group

• Benzinga’s Edge Stock Rankings indicate that NBIS maintains a weak price trend in the short term, but a strong trend in the long and medium terms, with a poor value ranking.

Coca-Cola

• Coca-Cola Co. (NYSE:KO) was 0.68% higher despite disclosing a ransomware attack on its Fairlife subsidiary; however, the beverage maker also activated its response plan.

• Benzinga’s Edge Stock Rankings indicate that KO maintains a strong price trend in the long, short and medium terms, with a good growth score.

CoreWeave

• Benzinga’s Edge Stock Rankings indicate that CRWV maintains a weak price trend in the short, long, and medium terms.

Cues From Last Session

Consumer staples, health care, and real estate stocks recorded the biggest gains on Thursday as most S&P 500 sectors closed on a positive note. However, communication services and information technology stocks were among the worst performers, dragging the U.S. stock market lower.

Insights From Analysts

Scott Wren, Senior Global Market Strategist at Wells Fargo Investment Institute, highlights a positive forward outlook for the economy and corporate profits. However, he cautions that the current earnings season faces exceptionally high stakes.

While corporate profits are growing strongly, Wren notes that analyst consensus forecasts have been elevated. Consequently, he states that “the big question during this earnings reporting season is whether or not companies can outperform very high expectations.”

Because institutional investors are heavily focused on unofficial “whisper numbers,” Wren warns that “simply beating consensus estimates… may no longer be enough to result in positive near-term stock performance.”

Wren expects heightened market volatility and severe punishment for companies that disappoint. Under these stringent conditions, he emphasizes that “good results may not be good enough.”

Despite these short-term risks, Wren remains optimistic about the broader U.S. economy and advises that “downside volatility during earnings reporting season might provide attractive entry points in our favored sectors,” particularly Technology and Financials.

Upcoming Economic Data

Here’s what investors will be keeping an eye on this Friday.

• June’s Housing Starts and June’s Import Prices data will be out by 8:30 a.m. ET.
• June’s Industrial Production and Capacity Utilization data will be released by 9:15 a.m., and July’s preliminary University of Michigan Consumer Survey data will be out by 10:00 a.m. ET.

Commodities, Crypto, And Global Equity Markets

Crude Oil WTI futures were trading lower in the early New York session by 0.46% to hover around $79.31 per barrel.

Gold Spot US Dollar rose 0.40% to hover around $3,992.39 per ounce. The U.S. Dollar Index spot was 0.05% lower at the 100.7080 level.

Meanwhile, Bitcoin (CRYPTO: BTC) was trading 1.84% lower at $62,737.56 per coin over the last 24 hours.

Asian markets closed mostly lower on Friday, except India’s Nifty 50 index. Hong Kong’s Hang Seng, China’s CSI 300, Australia’s ASX 200, South Korea’s Kospi, and Japan’s Nikkei 225 indices fell. European markets were mostly lower in early trade.

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