Inflation, labor and activity data
June core PCE held at 2.8%, above the 2.7% forecast. Weekly initial claims were 218,000 versus 224,000 expected, while Chicago PMI rose to 47.1 versus 41.9 expected.
Jul 31, 2025 · QQQ/SPY Market Review · 55 headlines
Early rally reverses: QQQ ends down 0.78% alongside inflation, policy and earnings headlines
QQQ opened 1.15% above its previous close but finished down 0.78%. SPY opened 0.79% higher and closed down 0.53%, leaving SPY ahead by 0.24 percentage point. Core PCE was 2.8% versus 2.7% expected, initial claims were 218,000 versus 224,000 expected, and Chicago PMI reached 47.1 versus 41.9 expected. Pharmaceutical pricing policy, tariff orders, and Amazon and Apple earnings added to the later headline flow.
Published
- QQQ
- -0.78%
- SPY
- -0.53%
- QQQ − SPY
- -0.24%
What shaped the session
Trade policy deadline
The U.S.-Mexico tariff agreement received a 90-day extension, while later orders raised Canada's rate to 35% and set reciprocal tariff rates ranging from 10% to 41%.
Pharmaceutical pricing policy
The White House said pharmaceutical companies were told to extend most-favored-nation pricing to Medicaid, guarantee it for new drugs, and make it available for direct purchasing.
Mega-cap earnings
Amazon reported a double beat and continued AI progress, while Apple reported revenue and EPS above estimates with stronger iPhone sales. Amazon's later weak guidance and slower AWS growth added a more cautious counterpoint.
Key news
Loading the full-day price curve…