TheDrop Market Analysis, 07/23/25

Socks rose once again as new tariff-related victories were made by the Trump administration.

U.S. President Trump (left) and Japanese prime minister Ishiba (right).

The Dow Jones composite rose 1.14%, the S&P 500 rose 0.78%, and the Nasdaq composite rose 0.61%. Both the S&P 500 and the Nasdaq made all-time highs as they continue their record-shattering streak of constant victories over the past few weeks.

The 10-yr bond rate rose as investors felt more confident about the economy generally as a result of dramatic international news.

While gold and silver weakened, the value of the USD strengthened all across the board against the Euro and the British Pound. Cryptocurrency began to level off today as their values correct from last week's stablecoin rally, particularly Bitcoin and XRP.

Investors were delighted to hear today that the Trump administration formed a trade agreement with Japan bringing tariffs down to 15%, a large reduction from previous estimates. In reaction to this news, the Japanese ETF Nikkei 225 surged to nearly a 2% growth rate today.

Investors remained optimistic about Magnificent Seven earnings, but unfortunately in after hours the two key earnings reports from Google and Tesla saw mixed results, with Alphabet narrowly beating earnings while Tesla drastically underperformed expectations. Tesla stock specifically fell in after hours of market trading, and is expected to continue their downward trend into tomorrow. In market hours, Tesla rose and Google stagnated.