U.S. stock futures climbed modestly on Friday as investors monitored earnings updates and awaited key economic data. Netflix (NASDAQ:NFLX) reported stronger-than-expected quarterly results but shares dipped after analysts noted the figures didn’t fully meet lofty expectations. Attention also turns to the upcoming consumer sentiment index, while Bitcoin rallied following the U.S. House’s approval of three significant bills aimed at setting clear rules for digital currencies.
Futures show modest gains
Futures on Wall Street were slightly higher Friday, pointing to a continuation of gains from the previous session fueled by robust Q2 earnings reports and ongoing signs of steady economic growth despite tariff uncertainties.
At 03:51 ET, Dow futures were up 64 points (0.1%), S&P 500 futures increased by 8 points (0.1%), and Nasdaq 100 futures added 27 points (0.1%).
The major indices posted gains Thursday, supported by positive corporate earnings and encouraging executive remarks. Economic data this week further suggested the U.S. economy is gaining momentum even as inflationary pressures tied to President Donald Trump’s trade policies remain.
Economists warn tariffs could push prices higher and slow growth, though the exact impact remains uncertain.
“[O]ur base case remains that the tariffs ultimately imposed will not cause a recession — though we expect growth to slow,” Capital Economics analysts said in a note.
Netflix earnings update
Netflix shares eased slightly in after-hours trading despite delivering solid second-quarter earnings and guidance. The company posted a diluted earnings per share of $7.19, beating the expected $7.08, boosted by the popularity of its hit show “Squid Game,” according to LSEG data cited by Reuters.
Netflix also raised its annual revenue forecast to between $44.8 billion and $45.2 billion, up from $44.5 billion.
The company noted that the stronger outlook was partly due to a weaker U.S. dollar, which Vital Knowledge analysts described as a “low-quality source.”
Thomas Monteiro of Investing.com commented that the guidance “now feels quite conservative,” adding this is “problematic for a stock priced for perfection.” Netflix shares have surged more than 43% this year on hopes the company will continue strengthening its position in streaming.
Michigan consumer sentiment report expected
Market watchers are anticipating the University of Michigan’s monthly consumer sentiment data, expected to show a slight uptick in July with inflation expectations stable.
“We’ll see whether 1-year inflation expectations have continued to drop: they are currently at 5%, though opinions diverge sharply between Democrat (very high) and Republican (very low) responders,” ING analysts said.
This release follows a week of solid retail sales and lower unemployment claims, reinforcing perceptions of a resilient economy despite tariff-related price pressures.
Fed’s Waller backs rate cut
In this context, the Federal Reserve has largely maintained a wait-and-see approach to interest rates. However, Fed Governor Christopher Waller stated Thursday that a rate cut at the upcoming meeting is warranted, citing rising risks to the economy.
He suggested the inflationary impact from tariffs is likely temporary rather than long-lasting.
“It makes sense to cut” the policy rate by 25 basis points at the Fed’s July 29-30 meeting, Waller said at an event.
Waller’s comments come amid President Trump’s growing pressure on Fed Chair Jerome Powell to lower borrowing costs swiftly. Powell, highlighting Fed independence, favors a cautious strategy to fully evaluate tariff effects.
Bitcoin jumps after U.S. House passes crypto regulation bills
Bitcoin rose above $120,000 briefly in Asian trading Friday, on pace for its fourth weekly gain following the U.S. House’s approval of three bills aimed at establishing a regulatory framework for cryptocurrencies.
As of 03:52 ET, Bitcoin was trading 1.1% higher at $119,583.3.
Earlier this week, Bitcoin hit record highs above $123,000 but profit-taking and concerns about final approval tempered further gains.
The “GENIUS Act,” passed by a bipartisan vote of 308-122, requires stablecoin issuers to maintain dollar-backed reserves and undergo regular audits, with oversight by federal and state regulators.
Two other bills passed include the CLARITY Act, clarifying SEC vs. CFTC jurisdiction over digital tokens, and the Anti-CBDC Surveillance State Act, barring the Federal Reserve from issuing a central bank digital currency without Congress’s explicit consent.
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