Nasdaq, S&P 500 hit fresh records after strong Alphabet earnings: Live updates
Traders work on the floor of the New York Stock Exchange on July 23, 2025.
NYSE
The S&P 500 and the Nasdaq Composite ticked higher on Thursday after Alphabet’s latest quarterly results came in better than expected.
The broad market index traded up by 0.3%, as did the tech-heavy Nasdaq. The Dow Jones Industrial Average fell 144 points, or 0.3%, bogged down by shares of IBM slipping 8% after its second-quarter software revenue missed expectations.
Both the S&P 500 and the Nasdaq had scored new intraday all-time highs earlier in the session, bolstered by a 1.5% move higher in Alphabet shares after the Google parent posted a second-quarter earnings and revenue beat.
“Given the size and influence of big tech and [artificial intelligence], I think the Alphabet results were a nice little tailwind for a market that’s constantly asking the question of whether all the AI spend is going to have have solid [return on investment or whether this can continue,” said Ross Mayfield, investment strategist at Baird. “At least at the beginning of earnings season here, Alphabet provided a nice data point that the answer is positive.”
Along with IBM, gains were kept in check by declines in Tesla, which fell 8% after auto revenue fell for a second straight quarter.
Investors also turned their attention to the ongoing feud between President Donald Trump and the Federal Reserve. The White House said that President Donald Trump will visit the Fed on Thursday, escalating his pressure campaign against Chairman Jerome Powell.
This is the first time in nearly two decades that an American president will make an official trip to the central bank.
Stocks are coming off a strong performance Wednesday, fueled by progress on trade talks, as the S&P 500 hit its 12th record close of the year and the Nasdaq Composite settled above 21,000 for the first time.
The market was also helped by a Financial Times report that the U.S. was inching closer to a trade deal with the European Union. Bloomberg confirmed the progress, citing diplomats briefed on the talks. This trade deal would raise tariffs to 15% on imports from the EU.
“If the administration feels emboldened to come out on Aug. 1 and raise tariffs on any country we don’t have a deal with, that’s going to be a risk-off event,” Mayfield also said. “The market is expecting this to be resolved in a way that’s not ultra anti-growth.”
“The fact that we’re trading to all time highs and sticking to them, even as some of these deals have been rolled out, I think there’s other things at play, primarily a solid, strong earnings backdrop and enthusiasm around the AI trade,” he continued.
