Wall Street Reverses Course and Slides, Led by Nasdaq
In this context, the S&P 500 — which tracks the largest companies on the New York Stock Exchange — fell 1% to 6,875.33 points,
Quick overview
- U.S. retail inflation data is set to be released tomorrow, which is crucial for the Federal Reserve's policy decisions.
- Major Wall Street indexes experienced losses as investors reacted to a strong U.S. jobs report and political developments regarding Trump's tariffs.
- The S&P 500 fell 1%, the Nasdaq Composite dropped 1.5%, and the Dow Jones Industrial Average declined 0.7% amid these market shifts.
- In international markets, Europe's Euro Stoxx index decreased by 0.3%, while Asian markets showed mixed results with South Korea's Kospi rising significantly.
U.S. retail inflation will be released tomorrow, the other key report alongside yesterday’s employment data — a crucial figure for shaping the Federal Reserve’s future policy decisions.
Major Wall Street indexes deepened their losses on Thursday, as investors continued to digest a surprisingly strong U.S. jobs report that cooled expectations for near-term interest rate cuts. At the same time, markets are positioning ahead of the upcoming retail inflation data, reacting to a political setback for Donald Trump in Congress, and assessing a new round of corporate earnings reports.
In this context, the S&P 500 — which tracks the largest companies on the New York Stock Exchange — fell 1% to 6,875.33 points, while the tech-heavy Nasdaq Composite dropped 1.5% to 22,729.40. Meanwhile, the Dow Jones Industrial Average declined 0.7% to 49,772.23 points.
Wall Street Focused on the U.S. Agenda
On Thursday, Donald Trump’s tariff policies suffered their most significant political setback to date after the U.S. House of Representatives, controlled by Republicans, approved legislation aimed at ending the president’s tariffs on Canadian imports.
This move increases political pressure to shift the course of Trump’s signature economic policy just months ahead of the midterm elections. Among other effects, it forces Republicans in swing districts affected by tariffs to decide whether to oppose the president by voting against his agenda.
In addition, U.S. retail inflation data will be released tomorrow — the other major report alongside yesterday’s employment figures — a key input for defining the Federal Reserve’s next policy steps.
Markets in Asia and Europe
In Europe, the Euro Stoxx index fell 0.3%, moving further away from its historical high. At the local level, performance was mixed: Germany’s DAX traded flat, while France’s CAC 40 moved against the trend, rising 0.3%. Outside the eurozone, the UK’s FTSE dropped 0.7%.
In Asia, Hong Kong’s Hang Seng fell 0.85%, while Shanghai’s stock exchange edged up 0.05%. Meanwhile, South Korea’s Kospi jumped 3.13%, and Japan’s Nikkei 225 rose 0.14%.
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