Market Insights: U.S. Equities Extend Gains, Gold Strengthens Ahead of PCE Data

Key Highlights

U.S. stocks hit another record high (19th ATH in 2025).

Nvidia’s earnings beat estimates but didn’t deliver a major surprise, leaving markets without a clear trend.

Investors await July PCE data (tonight) and the August jobs report (Sep 5) for the Fed’s next move.

Bonds, USD, and VIX showed mild moves; market still prices in a 25bp Fed cut in September.

1. Equity & Economic Markets

United States

Equities: Wall Street gained modestly, with growth stocks rebounding on strong results from Crowdstrike, HP, NetApp, and Snowflake.

Economy: Q2 GDP revised higher, jobless claims fell → showing resilience.

Notable Stocks:

• Dick’s Sporting Goods (-4.8%): EPS beat, preparing to acquire Foot Locker.
• Best Buy (-3.7%): Solid EPS but weak sales in appliances & tablets.
• Brown-Forman (-4.5%): Liquor sales dropped, pressured by wellness trends and GLP-1 drugs.
• ResMed (-2.9%): Hit by fears of cheaper GLP-1 generics boosting demand shifts.
• Nvidia (-0.8%): Strong Q2 and guidance, but not “blockbuster”; highlight was Blackwell chips with potential China sales.

Europe

• Equities: Slightly lower (FTSE -0.4%, Stoxx -0.2%) with muted momentum.
• Economy: Eurozone sentiment slipped, but July car registrations jumped +7.4% (15-month high).
• ECB: Policy seen as “well-positioned” with inflation near 2%.
• Stocks:

LVMH (+2.2%) boosted by spin-off rumors.

Pernod Ricard (+1.4%) beat EBIT & EPS expectations.

Delivery Hero (-5.9%) cut profit outlook.

2. Commodities

Oil: +0.3% as U.S. stockpiles fell and Russia–Ukraine tensions escalated.

Base metals: Copper, Nickel, Zinc all gained; Iron ore +1.4% as China curbs oversupply.

Lithium: -2.3% after Jiangxi mines cleared for potential restart.

Gold: +0.8% above $3,400/oz, as investors positioned ahead of PCE data.

3. Investor Takeaways 

U.S. Equities: Growth/Tech still in focus despite Nvidia’s muted reaction; strong prints from Crowdstrike and Snowflake keep sentiment positive.

Europe: Lacks momentum, but luxury names (LVMH, Pernod Ricard) stand out.

Commodities: Gold’s rise signals defensive positioning, fitting for cautious investors.

Strategy: Market in “wait-and-see” mode → balanced portfolios (Tech + Gold/Bonds) remain the safest bet.

Bottom line: The market is sideways ahead of key Fed signals. Investors should stay diversified - ride the tech momentum while maintaining defensive hedges.