US stocks had a mixed finish on Thursday as investors absorbed a flood of corporate earnings reports and kept a close eye on global trade discussions.
The Dow Jones Industrial Average, which tracks 30 major US companies, dropped 0.7% to close at 44,693.91 points. Meanwhile, the broader S&P 500 index inched up 0.07% to 6,363.35, and the tech-heavy Nasdaq Composite Index rose 0.18% to end at 21,057.96.
Out of the 11 major sectors in the S&P 500, eight finished lower. Sectors like consumer discretionary—which includes companies that sell non-essential goods and services—and materials saw the biggest declines, falling 1.23% and 0.75%, respectively. Energy and technology sectors bucked the trend, posting gains of 0.71% and 0.67%.
Investors are watching closely as the United States makes progress in trade talks with countries such as Japan, Indonesia, and the Philippines. Officials have also signaled advancements in discussions with the European Union and other key partners. The possibility of new trade agreements has somewhat calmed market nerves. However, analysts warn that if new tariffs are imposed, it could lead to higher prices for goods and squeeze company profits.
In the world of corporate earnings, Tesla’s shares tumbled 8.2% after the electric car maker reported quarterly earnings that fell short of expectations. On the flip side, Alphabet—the parent company of Google—saw its stock rise by 0.88% after beating profit forecasts and announcing plans to invest more in the company.
Other big tech companies had a mixed day. Giants like Nvidia, Microsoft, Amazon, and Broadcom saw their shares climb over 1%, while Apple experienced a slight dip.
Elsewhere, IBM shares declined by 7.62% despite reporting profits that surpassed estimates. American Airlines faced a sharp drop as well, with shares plummeting 9.62%.
The overall hesitation in the market reflects concerns over upcoming trade deadlines and the impact of several prominent earnings reports.
