Market Analysis Summary - July 8, 2025
Author: Vladimir Zernov
Published: July 8, 2025
Key Market Insights
- The S&P 500 index settled near the 6230 level as traders reacted to recent tariff announcements.
- The NASDAQ index remained flat as market participants assessed the potential impact of these tariffs.
- The Dow Jones index experienced a decline, primarily due to a 3.5% drop in Nike's stock price.
S&P 500 Analysis
The S&P 500 index showed minimal movement as traders digested the news of a 50% tariff on copper announced by U.S. President Donald Trump. The President also indicated that there would be no extensions to the August deadline for reciprocal tariffs. In response to these developments, copper prices rallied, while Treasury yields increased, with the 2-year Treasuries surpassing 3.90% and the 10-year Treasuries settling above 4.40%. The rise in Treasury yields exerted pressure on stock prices during the trading session.
Should the S&P 500 settle below the 50-day moving average at 6216, it may decline towards the support levels of 6185-6195. A further drop below this range could lead to testing the next support at 6090-6100.
NASDAQ Analysis
The NASDAQ index remained flat as traders evaluated the implications of the tariff announcements. Current sentiment suggests that traders are optimistic about the U.S. reaching trade agreements with other countries. If the NASDAQ manages to settle above the 22,700 level, it could advance towards the nearest resistance at 22,850-22,900. The Relative Strength Index (RSI) indicates that there is potential for upward momentum in the near term.
Dow Jones Analysis
The Dow Jones index faced some losses amid volatile trading conditions, with Nike being the worst performer, down by 3.5%. The index is currently attempting to settle below the 50-day moving average at 44,214. A successful breach of this level could lead to additional downside momentum, pushing the index towards the next support level at 43,900-44,000.
Conclusion
Overall, the market is reacting cautiously to tariff announcements, with varying impacts across major indices. Traders are closely monitoring economic indicators and corporate performances, particularly in sectors sensitive to tariff changes.