U.S. Stock Market Shows Mixed Performance
NEW YORK (AP) — On Tuesday, the U.S. stock market saw a mixed day of trading, reflecting a slowdown in Wall Street’s momentum after recently achieving record highs for two consecutive days.
The S&P 500 experienced a slight dip of 0.1%, marking its first decline in four days. Conversely, the Dow Jones Industrial Average gained 400 points, or 0.9%, while the Nasdaq composite dropped by 0.8%.
Tesla impacted the market as tensions grew between its CEO, Elon Musk, and former President Donald Trump. Their once-amicable relationship has become strained, with Trump suggesting that there is “BIG MONEY TO BE SAVED” by reevaluating government funding directed towards Musk’s companies.
As a result, Tesla shares fell by 5.3%, acting as a significant drag on the S&P 500. The stock has lost over 25.5% of its value this year, partly due to the conflict between Musk and Trump. Other stocks associated with the artificial intelligence sector also contributed to the market’s struggles, with Nvidia dropping 3%.
Despite these declines, more stocks in the S&P 500 rose than fell, notably some casino-related companies. The stocks surged after a report indicated unexpected growth in gaming revenue in Macao, China’s casino center. Las Vegas Sands rose by 8.9%, Wynn Resorts increased by 8.8%, and MGM Resorts International climbed by 7.3%.
Overall, the S&P 500 fell by 6.94 points to 6,198.01. The Dow Jones increased by 400.17 to 44,494.94, while the Nasdaq composite decreased by 166.84 to 20,202.89. The U.S. stock market has shown a dramatic recovery from a spring sell-off of approximately 20%, yet ongoing challenges persist, notably the threat of Trump’s tariffs.
Although many proposed tariffs are on hold and set to take effect soon, they could potentially hinder the economy and increase inflation. Washington is currently making headway on tax cuts and other measures that could exacerbate government debt and inflation, subsequently raising interest rates, which would negatively impact various investments.
