U.S. stocks were concluded with mixed results on Thursday, as the S&P 500 was lifted by 0.4%, marking its fourth consecutive day of gains, while the Dow Jones Industrial Average was advanced by over 250 points.A decline of 0.2% was recorded by the Nasdaq Composite, resulting in the end of its six-day winning streak.
Signs of reduced trade tensions lifted the markets, as a temporary tariff reduction was agreed upon by the U.S. and China, offering reassurance to investors worried about inflation and global economic growth.
The 10-year Treasury yield was lowered to 4.44% after an unexpected decrease of 0.5% in April’s Producer Price Index was reported on a month-over-month basis.
An increase of only 0.1% in retail sales for April was recorded, aligning with forecasts but falling significantly short of the 1.7% surge observed in March. At the same time, a slight decrease was reported in industrial production.
Walmart Plans to Hike Prices Amid Tariff Pressures
It was announced by Walmart that prices would be increased in reaction to tariffs, indicating continued strain on both retailers and consumers. A 0.5% drop in Walmart’s stock was observed after profit guidance for the current quarter was withheld by the company.
A pause was taken by tech stocks, which had been leading the markets in recent sessions. A 4% drop was experienced by Meta Platforms following reports of a postponed AI launch, while Nvidia and Tesla were kept elevated with weekly gains of approximately 15%.
Remarks from Federal Reserve Chair Jerome Powell were also taken into consideration by investors, in which a warning was issued about increased inflation volatility caused by ongoing global supply disruptions.
Possible trade agreements with India and Iran were hinted at by President Trump, raising expectations for additional economic momentum.
A surge of nearly 86% was experienced by Foot Locker following the announcement of a $2.4 billion merger with Dick’s Sporting Goods. Conversely, a decline of nearly 11% was recorded by UnitedHealth after reports emerged of a Department of Justice investigation, which the company stated it had not been formally informed about.