Bank of America and Morgan Stanley exceeded analyst expectations in their latest earnings reports, leading to a positive market response with Bank of America's shares rising over 2%. The Federal Reserve embraces a flexible approach to rate cuts, focusing on inflation trends rather than waiting for a specific threshold. General Motors faces uncertainty in meeting its EV production target while Apple introduces a beta version of iOS 18, hinting at software ecosystem growth. The market shows a bullish short-term outlook with a rotation into small-cap stocks, potentially offering further upside. Investors are eagerly awaiting economic data releases, including June retail sales, import prices, and housing market indicators.