Wall Street Roars to Life: Dow Jumps 85 Points as Investors Eye Big Earnings

Wall Street kicked off the week with a bang, with every major index flashing green as the Dow Jones Industrial Average surged 85 points. The market's on fire, fueled by high hopes for big-cap earnings.

The Dow's up 85, the S&P 500's up 0.23%, and the tech-heavy Nasdaq's up 0.37%—it's like the whole market's on steroids right out of the gate!

That Monday move by the Dow? It's like traders are throwing down the gauntlet, feeling a bit bullish after a wild week that saw the blue-chip index fighting off some serious downward pressure.

Meanwhile, oil's holding steady despite global tensions that have everyone sweating over supply. And over in crypto land, Bitcoin's hanging tough around $118,000, bouncing back from a dip that saw it slide from its high of over $123,000.

Investor Sentiment and Tariffs

As the new week rolls in, all eyes are locked on the earnings and outlook of Wall Street's mega caps. The early session gains? They're screaming that tariffs are still the big kahuna, even with stocks hitting record highs since the dip after Trump's "Liberation Day" tariff frenzy.

U.S. stocks clawed higher last week, juiced by killer earnings from top banks and chipmakers, pushing both the S&P 500 and Nasdaq into record territory.

Traders are betting on a killer week, but the market's watching the tariff drama like a hawk as Trump's August 1 deadline creeps closer.

Word on the street is that the U.S. is playing hardball on that deadline, with the EU scrambling to cut a deal before time runs out.

The EU's race to strike a deal comes hot on the heels of U.S. Commerce Secretary Howard Lutnick dropping the bomb that the U.S. is dead set on sealing a trade deal with the EU. But, he's not budging on that 30% tariff deadline.

Big Earnings, Including Alphabet, Tesla

Get ready for some wild rides this week, with tech giants ready to drop their earnings reports. We're talking about the "Magnificent Seven," with Alphabet and Tesla kicking things off on Wednesday, July 23.

Just like before, a killer earnings report from Big Tech could send the bulls charging, especially with everyone hyped about AI. And with nearly 86% of S&P 500 companies already dropping their quarterly results and beating expectations, the optimism's off the charts.

But don't sleep on interest rates and what the U.S. Federal Reserve's up to—that's still a big deal for investors.

Treasury Secretary Scott Bessent was on 'Squawk Box' slamming Fed Chair Jerome Powell, hinting that the central bank might need a serious look-see. The Trump administration's always on Powell's case for keeping rates where they are.

Yet, the latest inflation data's not playing nice with Trump's narrative. Inflation's up 2.7% in June, thanks to businesses passing those tariff costs straight to the consumer.