Futures up: Dow 0.12%, S&P 500 0.07% Nasdaq 0.05%
Netflix raises 2025 revenue guidance; shares down
Crypto stocks up as House passes stablecoin legislation
Updates with prices, analyst comment before the opening bell
By Pranav Kashyap and Nikhil Sharma
July 18 (Reuters) - Wall Street geared up for a subdued start on Friday, with investors weighing a week of mixed economic signals and earnings reports, while Netflix's blockbuster profit failed to spark much excitement.
At 8:15 a.m. ET, S&P 500 E-minis EScv1 were up 4.5 points, or 0.07%, Nasdaq 100 E-minis NQcv1 were up 11.75 points, or 0.05%, and Dow E-minis YMcv1 were up 52 points, or 0.12%.
Wall Street's record-setting run pressed on overnight, as the S&P 500 .SPX and the Nasdaq .IXIC crawled to new highs thanks to upbeat retail sales and jobless claims , signaling a healthy U.S. economy and giving the Federal Reserve room to pause and watch for tariff-driven inflation.
Netflix NFLX.O rode the success of "Squid Game" to trounce earnings forecasts and hike its revenue outlook for the year, but its shares slipped 2.4% in premarket trading.
Industrial heavyweight 3M MMM.N jumped 3.3% after raising its full-year profit outlook, crediting aggressive cost cuts and a sharper focus on high-margin products.
Meanwhile, American Express AXP.N outpaced second-quarter profit estimates, buoyed by strong spending from its affluent cardholders. Its shares rose 1.1%.
However, the S&P 500 and the Dow .DJI were on track to eke out only modest gains this week, as investors navigated a maze of mixed signals - robust retail sales, a spike in consumer inflation, and stagnant producer prices for June.
With the August 1 tariff deadline looming, uncertainty over President Donald Trump's trade policy lingered in the background, even as corporate earnings and economic data took center stage.
Adding to the jitters, reports of a possible ouster of Fed Chair Jerome Powell briefly rattled markets, though Trump was quick to shoot down those reports.
"It's a bit of everything. Mixed economic data, tariffs, Trump criticizing Powell creating a bit of confusion and therefore a lack of direction in markets," said Daniela Hathorn, senior market analyst at Capital.com.
Against this backdrop, traders now see a 57.9% chance of a Federal Reserve rate cut in September, while a July move is all but off the table, according to CME’s FedWatch tool.
Meanwhile, investors were also eyeing the preliminary reading for July consumer sentiment data later in the day.
Federal Reserve Governor Christopher Waller signaled on Thursday that mounting economic risks and tame inflation have him backing an interest rate cut by this month's end, downplaying concerns that tariffs will fuel lasting price hikes.
As the second-quarter earnings season gets underway, early results from 36 S&P 500 companies that reported, more than 80% have topped Wall Street's earnings expectations, according to LSEG I/B/E/S data.
Cryptocurrency stocks rose after the U.S. House of Representatives passed a bill that would develop a regulatory framework for cryptocurrencies.
Robinhood Markets HOOD.O and Coinbase Global COIN.O gained over 2.6% each, while Bitfarms BITF.O rose 1.8% and Hut 8 HUT.O edged up 1%.
Chevron CVX.N will proceed with its $53 billion acquisition of Hess HES.N, after it prevailed in a landmark legal battle against larger rival Exxon Mobil XOM.N to gain access to the largest oil discovery in decades.
Shares of Chevron and Hess were up 3.4% and 7.5%, respectively.
(Reporting by Pranav Kashyap in Bengaluru; Editing by Maju Samuel)
((pranav.kashyap@tr.com; +919886482111;))
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.