Global Indices Hit Records, Opendoor Stock Pops

Optimism ahead of Big Tech stocks this week spurred another record high for the S&P 500 on Monday, 21 July, with other global indicesfollowing suit. That includes a new record for the UK's FTSE 100 and a 3 ½ year high for the Hang Seng 50 in Hong Kong. This week sees reports from a number of major technology companies, including Google-parent Alphabet and Tesla.

Leading the charge was technology real estate company Opendoor (OPEN) which soared over 80% - entering meme stock territory - as a social media post from investor Eric Jackson prompted enthusiasm across Reddit’s WallStreetBets and on X.

TL;DR

• The S&P 500 closed at record highs as optimism builds ahead of earnings from Big Tech names like Alphabet and Tesla.

• Mining stocks boosted the FTSE 100, helped by news of a massive RMB1.2 trillion hydropower project in Tibet expected to lift demand.

• Hong Kong and China markets climbed, with the Hang Seng hitting its highest since 2021 amid improving US-China trade sentiment.

• Opendoor soared over 80%, entering meme stock territory after a bullish social media post triggered a short squeeze.

S&P 500 Hits Record Before Tech Earnings

Two of the US benchmark indices hit fresh records on Monday with the S&P 500 edging up 0.1% and the Nasdaq gaining 0.4% to reach new intraday and closing highs.

Several major companies are set to report earnings this week, starting with Philip Morris International, Coca-Cola (KO), and Lockheed Martin (LMT) on Tuesday. Then on Wednesday, all eyes will turn to Google-parent Alphabet (GOOGL) and Tesla (TSLA) as they kick off earnings season for the highly anticipated Magnificent Seven tech giants. 

These mega-cap firms are projected to be key drivers of overall earnings growth this quarter, particularly those involved in artificial intelligence, with investors likely to pay close attention to what the companies say about the impact of tariffs.

Expectations for interest rates are also a key consideration for investors as they assess the prospect for further gains in indices at all-time highs. Today (Tuesday, 22 July,  morning), Federal Reserve Chairman Jerome Powell is scheduled to speak at an event in Washington. (Source: CNBC)

Opendoor Stock Surges 80% in Historic Meme Stock Rally"

Opendoor shares surged 80.1% in the afternoon session on Monday, fuelled by a rush of retail trader enthusiasm and a viral post from investor Eric Jackson. Known for his early bullish call on Carvana (CVNA), Jackson predicted a sharp turnaround for the tech-focused real estate firm, pointing to cost cuts and improving margins. 

Jackson’s comments triggered a wave of interest across platforms like Reddit’s WallStreetBets and X, reviving Opendoor’s status as a so-called “meme stock.” The frenzy sparked a surge in trading volume and set off a classic short squeeze, as bearish investors scrambled to cover their positions, amplifying the rally even further. (Source: Tradingview)

FTSE 100 Breaks 9,000 Barrier for First Time Ever

Strength in the heavily-weighted mining sector helped lift an otherwise relatively flat FTSE 100 above the 9000 threshold for the first time on Monday. The UK’s benchmark index closed 0.2% higher at 9,009.04, taking out the prior record close of 8,998.06 set on 14 July.

Mining stocks Antofagasta (ANTO-L), Glencore (GLEN-L), Anglo American (AAL-L), Rio Tinto (RIO-L), and Fresnillo (FRES) rallied sharply. Some analysts linked the gains to the launch of a massive RMB1.2 trillion hydropower dam project in Tibet, China. The project is expected to drive demand for construction and machinery and generate huge demand for mining products. (Source: Halifax)

China Stocks Hit Multi-Year Highs on Infrastructure News

The new hydropower dam project likewise generated demand for China-related stocks on Tuesday, 22 July, with the Hang Seng Index climbing to 25,120 over the key 25K level—marking its highest level since November 2021—while the CSI 300 Index reached its strongest level since November 2024.

Chinese investors are also taking heart from the seemingly improved trade relations between the US and China, coupled with Beijing’s new push for long-term funds to invest in stocks. On Monday, US Treasury Secretary Scott Bessant said the US and China would hold more trade talks “in the very near future.” (Source: MarketScreener)

Conclusion

Markets began the week on a firm footing, with record highs in major indices reflecting optimism ahead of key earnings from Big Tech. Gains in mining and China-related stocks were supported by infrastructure developments and signs of improving trade relations. As the week unfolds, attention will remain focused on corporate earnings, macroeconomic commentary, and the outlook for interest rates.

The surge in Opendoor highlighted the strong sentiment among retail investors, who, against the backdrop of record highs in stock indices, have regained the confidence to trade meme stocks.

*Past performance does not indicate future results

FAQs:

What drives stock indices to record highs?

Historically speaking, factors like strong earnings, economic growth, and supportive policies often push indices higher. However, as mentioned above, past performance does not reflect future results.

What is a meme stock?

A meme stock gains popularity online, often leading to volatile price moves fueled by retail traders.

How do infrastructure projects affect markets?

They can boost demand for commodities and industrial stocks, lifting related sectors.

Why do tech earnings matter to the market?

Tech giants can have a large influence on indices and often drive overall earnings growth.