Stocks Surge to New Highs Amid Tariff Tensions and Earnings Season

U.S. stocks, which have been reaching record highs, are poised for a crucial week as the corporate earnings season begins amidst ongoing tariff tensions. Key economic data, particularly on inflation, will also be in focus as investors look for insights into tariff impacts.

The S&P 500 index has risen by 26% since April, despite President Trump's tariff threats on over 20 countries, slated for implementation on August 1. Analysts note that while the first quarter lifted stocks, weaker second-quarter profit growth is anticipated, with S&P 500 companies' expected profits revised downward.

The forthcoming week will see reports from leading companies like JPMorgan Chase and Netflix. Investors hope for clearer insights into business forecasts amid trade uncertainties, with an emphasis on economic data such as the consumer price index, due Tuesday, expected to reflect inflation trends.

(With inputs from agencies.)