Based on the earnings results of companies reporting on 25 July (AMC), here’s a summary focusing on the moves made by these companies and their possible impact on the overall market indices such as SPX and NDX. The list is ordered by market cap to highlight the biggest movers and provide an average weighted move. Emphasis is placed on the most popular companies and brands likely to influence market sentiment. Companies with moves less than 2 percent are disregarded unless they are popular brands or stocks.

Highlights of most popular companies

• Norfolk Southern (NSC)
  • Move: +6.8%
  • Market Cap: $50.4B
  • Impact: Norfolk Southern’s substantial positive move adds to the bullish outlook. 😃

Other notable movers

• Baker Hughes Company (BKR)

  • Move: -36.8%
  • Market Cap: $42.9B
  • Impact: Baker Hughes‘ significant negative move suggests strong bearish sentiment. 😟

• Deckers Outdoor (DECK)

  • Move: +10.5%
  • Market Cap: $21.4B
  • Impact: A significant positive move from Deckers Outdoor indicates a bullish sentiment. 😊

• Hartford Financial Services Group (HIG)

  • Move: +1.9%
  • Market Cap: $35.5B
  • Impact: A positive move from Hartford Financial is a bullish indicator, though below 2%, it’s included due to its popularity. 😊

Overall market cap weighted trend

1. Positive influence:

   • Norfolk Southern (+6.8%): With a market cap of $50.4B, Norfolk Southern’s positive move will have a considerable bullish influence.
   • Deckers Outdoor (+10.5%): A substantial move from Deckers Outdoor, with its $21.4B market cap, significantly boosts bullish sentiment.

2. Negative influence:

   • Baker Hughes (-36.8%): The sharp decline from Baker Hughes, with its $42.9B market cap, is a significant bearish influence.

3. Overall sentiment:

   • The combined effect of these movements, weighted by their market caps, suggests a mixed outlook with a slight bullish bias. The substantial positive impacts from Norfolk Southern and Deckers Outdoor are likely to outweigh the negative impact from Baker Hughes.

Expected directional bias for 26 July

• Slightly bullish to mixed/failry tight trading range day: Given the positive impact from high market cap companies like Norfolk Southern and Deckers Outdoor, the overall market indices (SPX and NDX) are expected to trend slightly bullish on 26 July. The influence of these household names is likely to sway retail investor sentiment towards a more optimistic outlook. 📈

Investors and traders should prepare for a potentially mixed market with a slight bullish bias, adjusting their strategies accordingly based on the performance of these influential companies and the overall market sentiment derived from these earnings reports.

This article was written by Itai Levitan at www.forexlive.com.