S&P 500 and Nasdaq Reach New Highs Amid Strong Earnings and Trade Developments

U.S. stock futures were little changed Thursday evening after the S&P 500 and Nasdaq Composite closed at new record highs earlier in the day. S&P 500 futures rose 0.16%, Nasdaq 100 futures gained 0.12%, and Dow Jones Industrial Average futures increased by 0.17%.

The S&P 500 marked its 13th record close of 2025, finishing above 6,300 for the first time on Monday, while the Nasdaq surpassed 21,000 on Wednesday. Despite a decline for the Dow Jones Industrial Average on Thursday, all three major indexes are on track to end the week with gains, with the Dow and Nasdaq each up nearly 1% and the S&P 500 up about 1.1% for the week.

Market gains have been supported by a strong earnings season, with nearly 83% of the 155 S&P 500 companies that have reported so far beating analysts' expectations. Keith Buchanan, senior portfolio manager at Globalt Investments, said on CNBC's "Power Lunch" that the rally needs to broaden to maintain momentum.

Recent trade agreements have also contributed to market optimism. Earlier in the week, President Donald Trump announced a trade deal with Japan involving 15% reciprocal tariffs and said the U.S. and Indonesia had reached a framework for a trade agreement. Investors are awaiting further trade developments ahead of the administration's August 1 tariff deadline.

The Federal Reserve is scheduled to meet next week, with policymakers widely expected to keep interest rates steady at 4.25% to 4.5%. President Trump, who has previously pressured Fed Chairman Jerome Powell to lower rates, visited the central bank's headquarters on Thursday and discussed renovation costs with Powell. After the visit, Trump indicated he does not plan to remove Powell, stating, "To do that is a big move, and I just don't think it's necessary. And I believe that he's going to do the right thing."