Major Index Performance
Today’s trading underscored the market’s fragile equilibrium heading into the Jackson Hole event. Selling in tech intensified, while defensive plays and selected value names attracted inflows. Central bank guidance and pending tariff announcements are poised to dictate market tone for the rest of August. Yes indeed, the Markets extended their technology-led pullback as investors continued to rotate out of high-valuation names, bracing for central bank commentary at Jackson Hole. The S&P 500 declined 15.59 points, or 0.24%, to 6,395.78, marking its fourth consecutive daily loss. The Nasdaq Composite fell 142.09 points, or 0.67%, to 21,172.86, suffering another sharp decline as profit-taking gripped big tech and AI. The Dow Jones Industrial Average inched up 16.04 points to close at 44,938.31, notching a back-to-back gain and reflecting sector rotation into defensive and value names. The Russell 2000 closed lower 2,269.35, -.32%.
Macroeconomic Reports
No major U.S. economic releases landed today. However, sector flows reflected shifting risk appetite in the run-up to remarks from Fed Chair Powell and other policymakers. Broader consumer and housing data the previous week continued to underpin caution, and new MIT research suggested many technology companies are struggling to translate AI advances into profits, adding to the tech selloff.
Federal Reserve, Yield Curve & Interest Rates
Treasury yields held within a narrow range, and the curve remained generally flat but not inverted, mirroring the market’s wait-and-see attitude. The 2-yr. closed at 3.767% and the 10-yr. closed at 4.299%.
Tariff and Trade News
Markets closely monitored President Trump’s threats to escalate tariffs on semiconductor imports as high as 300%, adding new uncertainty for global tech and manufacturing. While no immediate implementation was confirmed, negotiators suggested exemptions for firms pledging new U.S. production, but the details and timing remain ambiguous. Investors remained wary, mindful that retroactive tariffs could be imposed if commitments are unfulfilled.
Corporate Headlines & Share Price Movements
NVIDIA edged lower by .14% as the chip and AI sector faced broad-based profit-taking and ongoing anxiety over the last couple of days regarding export curbs and looming semiconductor tariffs.
Tesla (TSLA) lost 1.64%, under pressure from sector rotation out of high-growth names, despite continuing progress in energy storage and autonomy.
Meta Platforms (META) closed at 747.72, off .50%, in line with tech peers. Long-term optimism around AI and data centers persists, but short-term valuation concerns and risk-off flows drove selling.
McDonald’s (MCD) gained 0.69% to close at $310.93, benefiting from defensive rotation; the company also announced plans for a BTS K-pop Happy Meal tie-in for September, adding a fresh catalyst.
Intel (INTC) pulled back 6.99% to $23.54, joining tech slide even amid reports of strategic government investment talks, including potential U.S. Treasury equity participation to bolster domestic chipmaking.
Oracle edged .19% higher extending YTD run fueled by AI hype and robust cloud results.
Palantir Technologies dropped another 1.10% to close at $156.01 as high-growth analytics and cloud stocks bore the brunt of the rotation and macro nervousness, though its contract pipeline remains active.
Rio Tinto Group (RIO) rose 0.05% to $60.62, stabilizing as commodity markets adjusted to uncertainty surrounding global trade and tariffs.
Commodities & Cryptocurrencies Closing Prices
- Gold: Closed up .21% $3.392.60/oz with demand steady amid heightened trade tension.
- Silver: Little changed at $37.90/oz, moving in tandem with gold.
- Oil (WTI): Closed up .33% at $62.92/barrel as traders weighed the impact of tariffs and shifting global demand.
- Bitcoin: Consolidated just above $114,590, continuing to exhibit range-bound volatility.
