The second-quarter earnings season has gotten off to a strong start on Wall Street, with more than 80% of the S&P 500 Index companies reporting earnings and revenues that beat expectations, writes Barron's. About 100 other issuers - including two members of the "Magnificent Seven" - will release their results this week.

The European Central Bank will make a decision on the interest rate. Investors will also prepare for the meeting of the U.S. Federal Reserve, which will be held on July 29-30. Wall Street estimates the probability of a rate cut at this meeting at less than 5%. However, which doesn't happen very often, a member of the Fed's Board of Governors, Christopher Waller, spoke in favor of July easing last week, noted Barron's.

On Monday, July 21, Cleveland-Cliffs, Domino's Pizza, Steel Dynamics and Verizon will release quarterly earnings.

On Tuesday, July 22, Capital One, Coca-Cola, GM, Lockheed Martin, Northrop Grumman, Philip Morris, SAP and Texas Instruments will report earnings for last quarter.

On Wednesday, July 23, Chipotle, AT&T, Fiserv, Freeport-McMoran, GE Vernova, General Dynamics, Hasbro and IBM are scheduled to release their results. But Wall Street's attention on the day will be on reports from Alphabet and Tesla.

Tesla shares have fallen 21% since the beginning of the year, despite a partial recovery after the company's CEO Ilon Musk left the White House and promised to focus on the business again. Tesla's core electric car business  Tesla is going through tough times, with sales falling and competition from other manufacturers intensifying. However, any positive statements by the company's management about robotaxi safety or fleet growth could offset the weak performance of electric cars, wrote Yahoo Finance, citing Hargreaves Lansdown analyst Matt Britzman.

Shares of Alphabet, Google's holding company, are down 3% since the start of 2025. Despite Google's strong and diversified portfolio of businesses, its traditional status as the main "gateway to the Internet" faces serious challenges, and that reinforces investors' doubts about the stock's fair valuation, noted by Britzman. 

The U.S. National Association of Realtors will release data on secondary home sales for June. The consensus forecast is for a seasonally adjusted annualized rate of 4 million homes, roughly in line with May. The index remains at 15-year lows.

On Thursday, July 24, American Airlines, Deckers Outdoor, Deutsche Bank, Honeywell, Intel, Keurig Dr Pepper, L3Harris Technologies, Newmont, Southwest Airlines, TotalEnergies and Union Pacific will report earnings.

The ECB will announce a rate decision - the market expects no change and predicts it will remain at 2%, writes The Wall Street Journal. The regulator has already cut the rate eight times since June 2024 by a total of two percentage points.

Turkey's central bank will also consider the key rate, which now stands at a record 46%. According to data from the WSJ, ING, the Netherlands' largest banking group, forecast a "moderate" cut of 250 bps -to 43.5%. 

S&P Global will release July data on business sentiment in the manufacturing and services sectors in the US. The consensus forecast is 52.7 points for the manufacturing PMI and 53.1 for the services PMI. In June, both indicators amounted to 52.9 points.

The U.S. Census Bureau will reveal statistics on new home sales in the country for June. The consensus is 650 thousand homes in annualized terms, 27 thousand more than in May.

Financial statements will be presented by Charter Communications and Phillips 66 on Friday, July 25.

The Census Bureau will release U.S. durable goods orders for June. Wall Street expects a 10.8% drop from the previous month. The figure jumped 16.4% in May, posting the biggest gain since 2014. The orders report has been highly volatile in recent months, in part because of customers' eagerness to buy before the duty hike, notes Barron's.

This article was AI-translated and verified by a human editor

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