S&P 500, Nasdaq close at records; Deckers soars on UGG demand
European Commission President Ursula von der Leyen will meet U.S. President Donald Trump on Sunday in Scotland after EU officials and diplomats said they expected to reach a framework trade deal this weekend. Trump said earlier that the odds of a U.S.-EU trade deal were "50-50".
Deckers Outdoor soared 11 per cent after results beat quarterly estimates, with strong demand in international markets.
Intel tumbled 8.5 per cent after the chipmaker forecast steeper quarterly losses than expected and announced plans to slash jobs.
Wall Street has surged to record highs in recent weeks, thanks to upbeat quarterly earnings, trade deals with Japan and the Philippines, and expectations that the White House will cement more agreements to avoid elevated tariffs threatened by Trump.
"The market has been anticipating that the deals are going to get done," said Thomas Martin, Senior Portfolio Manager at GLOBALT in Atlanta. "Personally, I have a bit more skepticism. You've got to be careful, because if they don't get done, there is more room for disappointment than there is upside."
The S&P 500 climbed 0.40 per cent to end the session at 6,388.64 points.
The Nasdaq gained 0.24 per cent to 21,108.32 points, while the Dow Jones Industrial Average rose 0.47 per cent to 44,901.92 points.
Nine of the 11 S&P 500 sector indexes rose, led by materials, up 1.17 per cent, followed by a 0.98 per cent gain in industrials.
For the week, the S&P 500 climbed 1.5 per cent, the Nasdaq added 1 per cent and the Dow rose 1.3 per cent.
The S&P 500 set a closing record every day this week. The last time the index had a "perfect week" of closing highs, Monday through Friday, was in November 2021, according to Howard Silverblatt, senior index analyst at S&P Dow Jones Indices.
Investors next week will focus on the U.S. Federal Reserve, with policymakers on Thursday expected to hold interest rates steady as the central bank weighs the impact of tariffs on inflation.
Traders see about a 60 per cent chance of a rate cut in September, according to CME's FedWatch tool.
Trump said on Friday he believed that Fed Chair Jerome Powell might be ready to lower rates. Trump made a rare visit to the Fed on Thursday after calling Powell a "numbskull" earlier in the week for failing to slash rates.
Charter Communications slumped 18 per cent after the cable giant reported a deeper-than-expected broadband subscriber loss, hurt by competition from wireless carriers bundling high-speed internet services with 5G mobile plans.
Paramount Global dipped 1.6 per cent after U.S. regulators approved its $8.4-billion merger with Skydance Media.
Health insurer Centene rose 6.1 per cent after it said it expects to deliver improved profitability in its three government-backed healthcare insurance businesses in 2026.
S&P 500 companies are expected on average to increase their second-quarter earnings by 7.7 per cent year over year, according to LSEG I/B/E/S, with most of those gains coming from heavyweight tech-related companies.
Companies reporting next week include Microsoft, Apple, Amazon and Meta Platforms.
Advancing issues outnumbered falling ones within the S&P 500 by a two-to-one ratio.
The S&P 500 posted 45 new highs and 6 new lows; the Nasdaq recorded 68 new highs and 54 new lows.
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CNA
16 minutes ago
- CNA
Trump, EU chief seek deal in transatlantic trade standoff
TURNBERRY, United Kingdom: US President Donald Trump and EU chief Ursula von der Leyen met Sunday (Jul 27) for make-or-break talks in Scotland, aimed at ending a months-long transatlantic trade standoff, as negotiations went down to the wire. Trump again told reporters he felt the two sides had a 50-50 chance of a deal with the European Union. The bloc faces an across-the-board US levy of 30 percent unless it strikes a trade pact by Aug 1. Washington warned Sunday there would be "no extensions" and Trump confirmed "the deals all start on August 1". Von der Leyen's European Commission, negotiating on behalf of EU countries, is pushing hard for a deal to salvage a trading relationship worth an annual US$1.9 trillion in goods and services. The EU chief said at the start of the talks at Trump's luxury golf resort in southwestern Turnberry that if they reached a deal "I think it would be the biggest deal each of us has ever" made. According to an EU diplomat briefed ahead of the meeting, the contours of a deal are in place, but key issues still need settling. "A political deal is on the table -- but it needs the sign-off from Trump, who wants to negotiate this down to the very last moment," the diplomat told AFP. The proposal, they said, involves a baseline levy of around 15 percent on EU exports to the United States, the level secured by Japan, with carve-outs for critical sectors including aircraft and spirits, though not for wine. Any deal will also need to be approved by EU member states, whose ambassadors, on a visit to Greenland, were updated by the commission Sunday morning. They would meet again after any accord. According to the EU diplomat, the 27 countries broadly endorsed the deal as envisaged, while recalling their negotiating red lines. Baseline 15 percent The Trump-von der Leyen meeting was taking place in the president's luxury golf resort in Turnberry on Scotland's southwestern coast. The 79-year-old Trump said Friday he hoped to strike "the biggest deal of them all" with the EU. The EU is focused on getting a deal to avoid sweeping tariffs that would further harm its sluggish economy, while holding out retaliation as a last resort. Under the proposal described to AFP, the EU would commit to ramp up purchases of US liquefied natural gas, along with other investment pledges. Pharmaceuticals, a key export for Ireland, would also face a 15-percent levy, as would semi-conductors. The EU also appears to have secured a compromise on steel that could allow a certain quota into the United States before tariffs would apply, the diplomat said. But Trump said Sunday trade tariffs with the EU would not be lower than 15 percent. Auto sector The EU has been hit by multiple waves of tariffs since Trump reclaimed the White House. It is currently subject to a 25 percent levy on cars, 50 percent on steel and aluminium, and an across-the-board tariff of 10 percent, which Washington threatens to hike to 30 percent in a no-deal scenario. It was unclear how the proposed deal would impact tariff levels on the auto industry, crucial for France and Germany. Carmakers are already reeling from the levies imposed so far. While 15 percent would be much higher than pre-existing US tariffs on European goods, which average around 4.8 percent, it would mirror the status quo, with companies currently facing an additional flat rate of 10 percent. Should talks fail, EU states have greenlit counter tariffs on US$109 billion of US goods including aircraft and cars to take effect in stages from Aug 7. Brussels is also drawing up a list of US services to potentially target. Beyond that, countries including France say Brussels should not be afraid to deploy a so-called trade "bazooka", EU legislation designed to counter coercion that can involve restricting access to its market and public contracts. But such a step would mark a major escalation with Washington. Ratings dropping Trump has embarked on a campaign to reshape US trade with the world, and has vowed to hit dozens of countries with punitive tariffs if they do not reach a pact with Washington by Aug 1. US Commerce Secretary Howard Lutnick said Sunday the Aug 1 deadline was firm and there will be "no extensions, no more grace periods." Polls suggest however the American public is unconvinced by the White House strategy, with a recent Gallup survey showing his approval rating at 37 percent, down 10 points from January.
Straits Times
an hour ago
- Straits Times
Trump, EU's von der Leyen meet to clinch trade deal, rating chances 50-50
TURNBERRY, Scotland - European Commission President Ursula von der Leyen met US President Donald Trump on Sunday to clinch a trade deal that would likely result in a 15 per cent tariff on most EU goods, but end months of uncertainty for European Union companies. US and EU negotiators huddled in final talks on tariffs facing crucial sectors like cars, steel, aluminium and pharmaceuticals before the meeting began at Trump's golf course in Turnberry, western Scotland. Trump, who had earlier played a round with his son, told reporters as he met von der Leyen that he wanted to correct a trading arrangement he said was "very unfair to the United States" and repeated his comments from Friday that the chances of a US-EU deal were 50-50, a view echoed by von der Leyen. "We have three or four sticking points I'd rather not get into. The main sticking point is fairness," he said insisting the EU had to open up to American products. Von der Leyen acknowledged there was a need for "rebalancing" EU-US trade. "We have a surplus, the United States has a deficit and we have to rebalance it... we will make it more sustainable," she said. US Commerce Secretary Howard Lutnick, who flew to Scotland on Saturday, told "Fox News Sunday" that the EU needed to open its markets for more US exports to convince Trump to reduce a threatened 30 per cent tariff rate that is due to kick in on August 1. Top stories Swipe. Select. Stay informed. Singapore Sewage shaft failure linked to sinkhole; PUB calling safety time-out on similar works islandwide Singapore Tanjong Katong Road sinkhole did not happen overnight: Experts Singapore Workers used nylon rope to rescue driver of car that fell into Tanjong Katong Road sinkhole Asia Singapore-only car washes will get business licences revoked, says Johor govt World Food airdropped into Gaza as Israel opens aid routes Sport Arsenal beat Newcastle in five-goal thriller to bring Singapore Festival of Football to a close Singapore Benchmark barrier: Six of her homeschooled kids had to retake the PSLE Asia S'porean trainee doctor in Melbourne arrested for allegedly filming colleagues in toilets since 2021 "The question is, do they offer President Trump a good enough deal that is worth it for him to step off of the 30 per cent tariffs that he set," Lutnick said, adding that the EU clearly wanted - and needed - to reach an agreement. A separate US administration official was upbeat that a deal was possible. "We're cautiously optimistic that there will be a deal reached," the official said, speaking on condition of anonymity. "But it's not over till it's over." The EU deal would be a huge prize, given that the US and EU are each other's largest trading partners by far and account for a third of global trade in goods and services. Ambassadors of EU governments, on a weekend trip to Greenland organised by the Danish presidency of the EU, held a teleconference with EU Commission officials on Sunday to agree on the amount of leeway von der Leyen would have. In case there is no deal and the US imposes 30 per cent tariffs from August 1, the EU has prepared counter-tariffs on 93 billion euros (S$139 billion) of US goods. EU diplomats have said a deal would likely include a broad 15 per cent tariff on EU goods imported into the US, mirroring the US-Japan trade deal, along with a 50 per cent tariff on European steel and aluminium for which there could be export quotas. EU officials are hopeful that a 15 per cent baseline tariff would also apply to cars, replacing the current 27.5 per cent auto tariff. Possible exemptions Some expect the 27-nation bloc may be able to secure exemptions from the 15 per cent baseline tariff for its aerospace industry and for spirits, though probably not for wine. The EU could also pledge to buy more liquefied natural gas from the US, a long-standing offer, and boost investment in the United States. Trump told reporters there was "not a lot" of wiggle room on the 50 per cent tariffs that the US has on steel and aluminium imports, adding, "because if I do it for one, I have to do it for all." The US president, in Scotland for a few days of golfing and bilateral meetings, said a deal with the EU should draw to a close discussions on tariffs, but also said pharmaceuticals, for which the United States is looking into new tariffs, would not be part of a deal. The EU now faces US tariffs on more than 70 per cent of its exports, with 50 per cent on steel and aluminium, an extra 25 per cent on cars and car parts on top of the existing 2.5 per cent and a 10 per cent levy on most other EU goods. EU officials have said a "no-deal" tariff rate of 30 per cent would wipe out whole chunks of transatlantic commerce. A 15 per cent tariff on most EU goods would remove uncertainty but would be seen by many in Europe as a poor outcome compared to the initial European ambition of a zero-for-zero tariff deal on all industrial goods. Seeking to learn from Japan, which secured a 15 per cent baseline tariff with the US in a deal almost a week ago, EU negotiators spoke to their Japanese counterparts in preparation for Sunday's meeting. For Trump, aiming to reorder the global economy and reduce decades-old US trade deficits, a deal with the EU would be the biggest trade agreement, surpassing the US$550 billion deal with Japan. So far, he has reeled in agreements with Britain, Japan, Indonesia and Vietnam, although his administration has failed to deliver on a promise of "90 deals in 90 days." REUTERS
Straits Times
2 hours ago
- Straits Times
Romanian deputy PM resigns after bribery case resurfaces
BUCHAREST - Romanian deputy prime minister Dragos Anastasiu resigned on Sunday after an old corruption scandal in which he was involved as a witness resurfaced at a time when the one-month-old coalition government is trying to enforce cost-cutting reforms. Anastasiu had been tasked by Prime Minister Ilie Bolojan with overseeing the reform of state-owned companies, part of broader efforts to reduce the largest budget deficit in the European Union and root out waste and inefficiency. Last week, an old corruption case revealed that one of Anastasiu's firms had been blackmailed by a tax authority inspector into paying bribes disguised as consultancy fees for eight years from 2009 or risk lengthy inspections. The company later denounced the inspector, who was convicted in 2023. Anastasiu and his business partner were never charged with a crime. Anastasiu said his company had paid all its taxes and the bribes were "for survival, not profit". "I encourage every entrepreneur to speak out and say under what conditions business has been done in Romania and no longer accept what we did while making mistakes," he told reporters on Sunday. The government, which will hike several taxes from August and is laying off staff and cutting bonuses, has already faced several street protests but has narrowly avoided a ratings downgrade from the lowest rung of investment grade. Top stories Swipe. Select. Stay informed. Singapore Sewage shaft failure linked to sinkhole; PUB calling safety time-out on similar works islandwide Singapore Tanjong Katong Road sinkhole did not happen overnight: Experts Singapore Workers used nylon rope to rescue driver of car that fell into Tanjong Katong Road sinkhole Asia Singapore-only car washes will get business licences revoked, says Johor govt World Food airdropped into Gaza as Israel opens aid routes Sport Arsenal beat Newcastle in five-goal thriller to bring Singapore Festival of Football to a close Singapore Benchmark barrier: Six of her homeschooled kids had to retake the PSLE Asia S'porean trainee doctor in Melbourne arrested for allegedly filming colleagues in toilets since 2021 The European Union and NATO state has been rocked by political instability in the wake of a presidential election, which was cancelled in December and re-run in May, with market turmoil boosting borrowing costs and crashing the leu currency. REUTERS
