Earnings Season Ignites Bullish Momentum[Stocks](https://moneymorning.com/category/article/stocks/) # Earnings Season Ignites Bullish Momentum  by Chris Johnson  October 21, 2025  Share it: ## Today’s Top & Bottom Lines – October 21, 2025 | | | | --- | --- | | #### **Pre-Market Price Check** | | **S&P 500 Futures: -0.02%** | **10-Year Yield: 3.963 (-2 bps)** | | **Nasdaq 100 Futures: -0.04%** | **WTI Crude: $56.48 (-1.81%)** | | **Dow Jones Futures: UNCH** | **Gold Futures: $4,227 (-3.06%)** | | **VIX: 18.23 (-12.27%)** | **Bitcoin (BTC): $108,690 (-1.93%)** | ## What’s Driving Stocks This Morning Equity futures are tracking flat this morning following a broad-based rally on Monday that saw all three major indices rise more than 1%. Information technology led the way, but the strength was widespread, all nine S&P 500 sectors that finished in the green posted gains of at least 1.0%, highlighting expanding market breadth. This morning’s action is being shaped by a heavy wave of corporate earnings. Early reports from blue chip names like Coca-Cola, General Motors, and 3M have largely come in better than expected, helping lift futures off overnight lows. So far, the earnings narrative continues to favor the bulls. On the macro front, news is relatively light. President Trump’s more amicable tone toward China is contributing to the positive carryover from yesterday’s rally, though no major economic data releases are on the docket today. ## Stocks on the Move (Pre‑Market) **GM (GM) $50.30** **+4.9%** \- Beat Q3 earnings estimates and raised full-year guidance, with management trimming tariff exposure forecasts and highlighting resilient demand across its core auto business. **RTX (RTX) $91.75** **+3.1%** \- Reported strong revenue and earnings, lifted guidance citing strength in aerospace and defense, and downplayed long-term impact from supply chain issues. **Lockheed Martin (LMT) $436.20** **+2.8%** \- Earnings and revenue came in above expectations, driven by backlog strength and new contract wins across defense programs. **Ally Financial (ALLY) $41.60** **+3.4%** \- Upgraded to Buy by TD Cowen with a price target of $50, citing strong deposit growth and profitability rebound potential in 2026. ## Upgrades & Downgrades #### **Upgrades:** - **Ally Financial (ALLY) – Upgraded to _Buy_** from Hold at TD Cowen; PT $50. Cites attractive valuation and margin resilience. - **Rockwell Automation (ROK) – Upgraded to _Buy_** at UBS. Analysts expect margin improvement and demand rebound in second half of 2025. - **Lazard (LAZ) – Upgraded to _Overweight_** from Neutral at JPMorgan. Firm sees upside from M&A recovery and cost cuts. #### **Downgrades:** - **Intuitive Surgical (ISRG) – Downgraded to _Hold_** from Buy at Morgan Stanley. Firm points to valuation concerns after recent rally. - **Whirlpool (WHR) – Downgraded to _Underperform_** at Goldman Sachs. Analysts cite pricing pressures and macro headwinds in consumer appliances. ## Today’s Bottom Line The VIX slipping back below 20, combined with strong early earnings results, sets the stage for a market that could run higher into Friday morning’s CPI report. GM’s upside surprise and raised guidance gave bulls exactly what they were hoping for, and with tariffs no longer weighing heavily on industrials, the path looks clearer. If this tone holds through the rest of the week, particularly with “Big Tech” on deck, the breakout many investors have been waiting for may finally arrive. October’s favorable seasonal tailwinds are blowing, and for now, the market is moving with them.  **Beat the market, without relying on brokers or biased institutions.** Email(Required) Facebook This field is for validation purposes and should be left unchanged. Subscribe By submitting your email address, you will receive a free subscription to _Money Morning!_ and occasional special offers from us and our affiliates. 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