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7 hours ago
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S&P 500, Dow, Nasdaq close 0.5% lower ahead of Nvidia results
US stocks (^DJI, ^IXIC, ^GSPC) close Wednesday's session lower by over 0.5% a piece, ahead of Nvidia's (NVDA) long-awaited first quarter earnings results. Market Domination Overtime's Julie Hyman and Yahoo Finance markets and data editor Jared Blikre recap equity and bond market (^TYX, ^TNX, ^FVX) moves from Wednesday. Tune in to Yahoo Finance's special live coverage of Nvidia's first quarter earnings here, beginning at 4:15 p.m. on Wednesday, May 28. To watch more expert insights and analysis on the latest market action, check out more Market Domination Overtime here. That's the closing bell on Wall Street and now is Market Domination Overtime. We'll be joined by Jared Blickry to get you up to speed on the action from today's session. Let's start with where the major averages are as we count down to those Nvidia earnings. The Dow finishing the day in the red, in fact, near the lows of the session. Down about 245 points, about two-third or about six-tenths of 1%. The S&P 500 down by more than half a percent and the NASDAQ composite down a half a percent as well. So, all three major averages closing near the lows of the day as traders get set up for those Nvidia earnings. Interesting to see not much macro pushing markets today, really. Folks just seeming to play the waiting game. Jared's got a closer look at the action. Well, thank you, Julie. At the beginning of the day, at the opening bell, I was saying tech is on quite the roll here, but reversal of fortunes as we're seeing behind me. The NASDAQ composite ending on the red. Only down half a percent, not the end of the not the end of the uh not the end of something here. Here's a year-to-date chart. Still flagging sideways here. I was highlighting a number of stocks in previous hours that were breaking out, but the indices seem stuck in a bit of a range here and that's understandable given the magnitude of this Nvidia print that we're expecting momentarily. And let's just check tick through the other indices here. We got the S&P 500 and I'll go to the intraday. That is down a half a percent as well, similar to the NASDAQ. Dow Jones right there with it, although more of a negative day. And Russell 2000 was kind of the underperformer, down 1% and closing pretty close to the lows. And let's check out the VIX though. The VIX is not signaling anything too worrisome. It's still under 20. You take a look at the five-day, well off of the 25 level that we saw last week. So the VIX is not signaling problems in the equities market and in the bond market, we did see yields tick up a little bit. We had the um I think it was a five-year auction today, the two and the five went all right. We're also expecting the seven-year tomorrow, so that's something traders are going to keep their eye on. And what everybody's watching is the 30-year around 5%. So it's still under that mark, but climbed up a little bit, three basis points today. And also yields in the dollar moving in the same direction. That's something I like to see. That's indicative that the world is not trying to sell all US dollars. Now here's the sector action. Looks like communication services is green, but guess what? So little that it registers at 0.00%. We're going to call that break even. For the most part, it was a down day in the sectors. And utilities was leading the way down, down 1.4%, materials in second, energy third, consumer discretionary fourth. And we'll take a peek at the NASDAQ and we can see a lot more red than green. And especially if we put that on an equal weighted basis and leading to the downside, it looks like Cadence design systems down about 10.67% there. Also seeing some weakness in Chinese stocks and let's take a look there. Pindo had a rough couple days. Big disaster in earnings yesterday. Here's a two-day down about 18% there. You can see a lot of red on the board for Chinese stocks. And I'll just leave us on the Dow here. Another mixed day, but more red than green and sending it back to you, Josh. Thank you, Jerry. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
7 hours ago
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Stock market today: Dow, S&P 500, Nasdaq slipped as Wall Street braced for Nvidia's earnings
US stocks moved lower Wednesday as investors cautiously counted down to Nvidia's (NVDA) earnings report, seen as a crucial test of hopes for Big Tech amid tariff uncertainty. The Dow Jones Industrial Average (^DJI) fell around 0.6%, or around 250 points, on the heels of Tuesday's tariff reprieve-driven rebound. The S&P 500 (^GSPC) declined 0.5%, while the tech-heavy Nasdaq Composite (^IXIC) ticked lower by 0.5%. After the bell on Wednesday, Nvidia reported better-than-expected first quarter revenue while adding it expects an additional $8 billion charge on losses tied to its H20 chip in the second quarter. Its stock rose in after-hours trading. On the economic front, minutes from the Federal Reserve's meeting earlier in May revealed officials acknowledged they could face "difficult tradeoffs" as tariffs potentially threaten their dual mandates for price stability and maximum employment. In trade news, nations are now racing to cut deals with the Trump administration to avoid the planned US tariff hikes, with India reportedly the latest to offer to lower its own tariffs on some American products. Meanwhile, President Trump rejected an emerging notion on Wall Street that he is "chickening out" with his on-again, off-again tariff moves. Read more: The latest updates on Nvidia's earnings report Nvidia (NVDA) reported fiscal first quarter earnings and revenue that topped Wall Street's expectations after the bell on Wednesday. The chipmaker reported adjusted earnings per share of $0.96, just above analyst estimates for $0.93. The adjusted earnings number excludes a $4.5 billion charge related a one-time charge attributed to Nvidia's H20 chips. Meanwhile revenue for the AI giant hit $44.1 billion in the first quarter, above estimates for $43.29 billion. Nvidia's key data center business, which includes its AI chips, produced revenue of $39.1 billion, just short of Wall Street's $39.22 billion estimate. Nvidia shares were up about 3% after hours. Read the breakdown of Nvidia's earnings here. The computing and printing industry has long relied on China to produce various components. That has worked well in the past, but is unlikely to work well in the era of Trump tariffs. Investors just got a taste of the tariff impact from computing giant HP. The company missed earnings estimates by a country mile and cut guidance after the close, blaming tariff impacts. I just hopped off the phone with HP CEO Enrique Lores. Here are three comments from him that stood out: Lores added that HP has been raising prices to offset the tariffs. He declined to share a percentage amount. But if you are in the market soon for a PC, expect a dose of sticker shock. US stocks moved lower Wednesday as investors cautiously counted down to Nvidia's (NVDA) earnings report, seen as a crucial test of hopes for Big Tech amid tariff uncertainty. The Dow Jones Industrial Average (^DJI) fell around 0.6%, or around 250 points, on the heels of Tuesday's tariff reprieve-driven rebound. The S&P 500 (^GSPC) declined 0.5%, while the tech-heavy Nasdaq Composite (^IXIC) ticked lower by 0.5%. The Financial Times reported the Trump administration has told US chip designers to cease sales to Chinese groups. Shares of Cadence (CDNS) and Synopsys (SNPS), which were named in the Financial Times report, quickly sold off on the news. Read more from the Financial Times here. Given the outsized weighting in the S&P 500, large swings in shares of Nvidia have become a feature of how even broad market investors are thinking about the direction of stocks. In June 2024, three Wall Street strategists boosted their year-end S&P 500 targets, citing better-than-expected consistent performance among key AI players. As of May 19, the Magnificent Seven had accounted for about 52% of the S&P 500's gain since Nov. 30, 2022. Nvidia alone had contributed 17.21%, by far the most among the group. The next closest stock, Microsoft, had added about 8.8%. See more charts that help explain Nvidia's meteoric rise since the launch of ChatGPT in November 2022 here. Minutes from the Federal Reserve's May meeting released on Tuesday revealed officials are growing concerned that President Trump's tariffs could challenge both the maximum employment and stable price mandates for the central bank. "Participants noted that the (Federal Open Market) Committee might face difficult tradeoffs if inflation proves to be more persistent while the outlooks for growth and employment weaken," the minutes said. "Participants agreed that uncertainty about the economic outlook had increased further, making it appropriate to take a cautious approach until the net economic effects of the array of changes to government policies become clearer." Read more from Reuters here. Investors have been instantly rewarded for buying the dip in 2025 at a level not seen in more than 30 years. Research from Bespoke Investment Group shows that the S&P 500 is rising an average of 0.36% in the next trading session following a down day for the index. In Bespoke's data back to 1993, the only other time stocks rebounded even close to as aggressively was the 0.32% rise seen after down days during 2020. As Bespoke wrote on X, the data is proof that the buy-the-dip mentality has been at the forefront of the market narrative in 2025. This played out as recently as Tuesday, when the S&P 500 rose more than 2% in the next session after falling 0.7% to end last week's trading before the holiday weekend. Crude oil prices rose on Wednesday as concerns over supply disruptions outweighed a looming decision over the possibility of increased production from OPEC+ in July. West Texas Intermediate (CL=F) futures rallied 2% to hover above $62 per barrel. Brent crude (BZ=F), the international benchmark, also traded above $64 per barrel. Supply concerns intensified after peace talks between Russia and Ukraine stalled, raising the likelihood of new sanctions on Moscow that could involve restricting Russian oil exports. Meanwhile, the US granted Chevron (CVX) a new license to maintain minimal operations in Venezuela. However, the company remains barred from exporting oil or expanding its operations in the sanctioned country. The Organization of the Petroleum Exporting Countries and its allies (OPEC+) ratified production quotas for 2025 and 2026 ahead of a key meeting this Saturday, where the group will decide whether to raise output in July following increases already set for May and June. BOK Financial senior vice president Dennis Kissler wrote in a note that 'most analysts feel another hike in output is likely, which will be a fundamental headwind for crude.' The Utilities (XLU) sector fell more than 1.3%, leading the losses among the 11 S&P 500 (^GSPC) sectors. Utilities are considered one of the more interest rate-sensitive sectors and have lagged amid the recent rise in Treasury yields. The 10-year Treasury yield (^TNX) was up about 6 basis points and hovered just below 4.5% on Wednesday while the 30-year Treasury yield (^TYX) once again crossed above 5%. The interest rate-sensitive Russell 2000 Index (^RUT) was also among the laggards on Thursday, falling about 0.8%, far outpacing the 0.2% loss of the S&P 500. Yahoo Finance's Ines Ferre reports: Read more here. Nvidia's (NVDA) earnings and revenue beat Wall Street's expectations nearly every quarter over the past two years. Over the past eight quarters, Nvidia's earnings per share exceeded Wall Street's projections by an average of 9.8%. Over that same time frame, Nvidia's quarterly revenue beat the Street by an average of 8.9%. Meanwhile, S&P 500 companies reported earnings and sales roughly 5% and 1.3% above Wall Street's expectations in that time frame, according to Bloomberg data. Only once in that period — during the second quarter of its fiscal year 2025 — did Nvidia's earnings miss forecasts. Its revenue has exceeded forecasts during each of the past eight quarters. Read more here. US stocks moved higher early on Wednesday as investors awaited a critical earnings report from AI bellwether Nvidia (NVDA). The Dow Jones Industrial Average (^DJI) rose around 0.1% on the heels of Tuesday's tariff reprieve-driven rebound. The S&P 500 (^GSPC) and tech-heavy Nasdaq Composite (^IXIC) each inched up about 0.2%. Yahoo Finance's Brian Sozzi reports: Read more here. Here's a look at some top movers trending ahead of the opening bell: Abercrombie & Fitch (ANF) stock rocketed 27% higher in premarket trading after the retailer reported better-than-expected first quarter results and forecast strong annual sales. Adjusted earnings came in at $1.59 per share, beating expectations for $1.39 per share, as the company's Hollister brand has been resonating more with younger consumers, Reuters reported. Trump Media & Technology Group (DJT) shares rose 2% after unveiling plans Tuesday to raise $2.5 billion to create a bitcoin (BTC-USD) treasury. The move will place bitcoin directly on the balance sheet of Trump Media, which owns the Truth Social platform. Bitcoin is hovering near all-time highs. Okta (OKTA) stock tumbled 12% despite reporting better-than-expected earnings on Wednesday. The identity software company announced it would take a "prudent approach" to its financial outlook and reiterated its guidance, alluding to economic uncertainty. Macy's (M) stock rose 4% after surpassing Wall Street's earnings expectations. But the company still faces questions about its future as management aims to turn the retailer around. Joby Aviation (JOBY) shares surged 11% after Toyota (TM) invested $250 million in the electric vertical take-off and landing (eVTOL) aircraft maker, becoming its largest shareholder. Joby expects a second tranche of funding from Toyota, completing its $500 million commitment, will land later this year. Nvidia (NVDA) stock traded slightly higher on Wednesday morning ahead of its earnings report after the closing bell, considered to be the most highly anticipated of the season. You can follow along with our live updates of Nvidia's results here. Check out more trending tickers on the Yahoo Finance platform here. GameStop (GME) stock rose early Wednesday as the company revealed a sizable bitcoin (BTC-USD) purchase. Reuters reports: As the report notes, the bitcoin play is the latest unorthodox move to draw investor interest to a brick-and-mortar video game seller that vaulted into the public consciousness during the 2021 meme-stock craze. GameStop's stock has been rallying in recent days amid bitcoin's surge to new highs. GameStop's reveal comes a day after President Trump's media company, Trump Media & Technology Group (DJT), said it is looking to raise some $2.5 billion to buy bitcoin. Read more here. Macy's (M) stock gained 3% in premarket trading after the beleaguered retailer cleared a low bar for earnings expectations set by Wall Street. Revenue fell 5.1% compared to the same period last year, and adjusted earnings per share dropped 40.7%, but both measures topped analyst estimates for the quarter. Yahoo Finance's Brooke DiPalma reports: Read more here. Yahoo Finance's Hamza Shaban reports: Read more here from today's Morning Brief. Economic data: MBA Mortgage Applications (week ending May 23); Richmond Fed manufacturing index (May); FOMC meeting minutes (May meeting) Earnings: Nvidia (NVDA), Abercrombie & Fitch (ANF), BMO (BMO), (AI), Dick's Sporting Goods (DKS), e.l.f. Beauty (ELF), Macy's (M), Salesforce (CRM) Investors are nervously awaiting Nvidia's (NVDA) earnings report on Wednesday, seeing it as an important sign for Big Tech amid unclear times with Trump tariffs. Here are some of the biggest stories you may have missed overnight and early this morning: Nvidia suppliers fix Blackwell rack issues in boost to sales Wall Street braces for Nvidia earnings Trade truces are clearly bullish — but have a crucial flaw Tariffs latest: Nations race to cut deals with Trump Trump: Fannie Mae to keep US guarantee as public firm YF Senior columnist Rick Newman: Why Trump is waging war on colleges SpaceX Starship rocket fails to deploy satellites and explodes Musk criticizes Trump's 'big, beautiful' spending bill China deflation worries deepen even amid US trade truce Bloomberg reports: Read more here. Okta (OKTA) stock dropped by 12% on Wednesday in premarket trading after the tech company reported its first-quarter earnings the day before. Despite beating Q1 earnings and revenue estimates, the company reiterated its full-year revenue outlook, factoring in a potential risk related to the uncertain economic environment. CEO, Todd McKinnon said: "Okta had a solid start to FY26 highlighted by record operating profit and another quarter of robust free cash flow." "The world's biggest organizations continue to turn to Okta to solve identity security across their workforces, customers, and AI use cases." McKinnon explained that they would continue a "prudent approach to forward guidance… factoring in potential risks related to the uncertain economic environment for the remainder of FY26." Nvidia (NVDA) reported fiscal first quarter earnings and revenue that topped Wall Street's expectations after the bell on Wednesday. The chipmaker reported adjusted earnings per share of $0.96, just above analyst estimates for $0.93. The adjusted earnings number excludes a $4.5 billion charge related a one-time charge attributed to Nvidia's H20 chips. Meanwhile revenue for the AI giant hit $44.1 billion in the first quarter, above estimates for $43.29 billion. Nvidia's key data center business, which includes its AI chips, produced revenue of $39.1 billion, just short of Wall Street's $39.22 billion estimate. Nvidia shares were up about 3% after hours. Read the breakdown of Nvidia's earnings here. The computing and printing industry has long relied on China to produce various components. That has worked well in the past, but is unlikely to work well in the era of Trump tariffs. Investors just got a taste of the tariff impact from computing giant HP. The company missed earnings estimates by a country mile and cut guidance after the close, blaming tariff impacts. I just hopped off the phone with HP CEO Enrique Lores. Here are three comments from him that stood out: Lores added that HP has been raising prices to offset the tariffs. He declined to share a percentage amount. But if you are in the market soon for a PC, expect a dose of sticker shock. US stocks moved lower Wednesday as investors cautiously counted down to Nvidia's (NVDA) earnings report, seen as a crucial test of hopes for Big Tech amid tariff uncertainty. The Dow Jones Industrial Average (^DJI) fell around 0.6%, or around 250 points, on the heels of Tuesday's tariff reprieve-driven rebound. The S&P 500 (^GSPC) declined 0.5%, while the tech-heavy Nasdaq Composite (^IXIC) ticked lower by 0.5%. The Financial Times reported the Trump administration has told US chip designers to cease sales to Chinese groups. Shares of Cadence (CDNS) and Synopsys (SNPS), which were named in the Financial Times report, quickly sold off on the news. Read more from the Financial Times here. Given the outsized weighting in the S&P 500, large swings in shares of Nvidia have become a feature of how even broad market investors are thinking about the direction of stocks. In June 2024, three Wall Street strategists boosted their year-end S&P 500 targets, citing better-than-expected consistent performance among key AI players. As of May 19, the Magnificent Seven had accounted for about 52% of the S&P 500's gain since Nov. 30, 2022. Nvidia alone had contributed 17.21%, by far the most among the group. The next closest stock, Microsoft, had added about 8.8%. See more charts that help explain Nvidia's meteoric rise since the launch of ChatGPT in November 2022 here. Minutes from the Federal Reserve's May meeting released on Tuesday revealed officials are growing concerned that President Trump's tariffs could challenge both the maximum employment and stable price mandates for the central bank. "Participants noted that the (Federal Open Market) Committee might face difficult tradeoffs if inflation proves to be more persistent while the outlooks for growth and employment weaken," the minutes said. "Participants agreed that uncertainty about the economic outlook had increased further, making it appropriate to take a cautious approach until the net economic effects of the array of changes to government policies become clearer." Read more from Reuters here. Investors have been instantly rewarded for buying the dip in 2025 at a level not seen in more than 30 years. Research from Bespoke Investment Group shows that the S&P 500 is rising an average of 0.36% in the next trading session following a down day for the index. In Bespoke's data back to 1993, the only other time stocks rebounded even close to as aggressively was the 0.32% rise seen after down days during 2020. As Bespoke wrote on X, the data is proof that the buy-the-dip mentality has been at the forefront of the market narrative in 2025. This played out as recently as Tuesday, when the S&P 500 rose more than 2% in the next session after falling 0.7% to end last week's trading before the holiday weekend. Crude oil prices rose on Wednesday as concerns over supply disruptions outweighed a looming decision over the possibility of increased production from OPEC+ in July. West Texas Intermediate (CL=F) futures rallied 2% to hover above $62 per barrel. Brent crude (BZ=F), the international benchmark, also traded above $64 per barrel. Supply concerns intensified after peace talks between Russia and Ukraine stalled, raising the likelihood of new sanctions on Moscow that could involve restricting Russian oil exports. Meanwhile, the US granted Chevron (CVX) a new license to maintain minimal operations in Venezuela. However, the company remains barred from exporting oil or expanding its operations in the sanctioned country. The Organization of the Petroleum Exporting Countries and its allies (OPEC+) ratified production quotas for 2025 and 2026 ahead of a key meeting this Saturday, where the group will decide whether to raise output in July following increases already set for May and June. BOK Financial senior vice president Dennis Kissler wrote in a note that 'most analysts feel another hike in output is likely, which will be a fundamental headwind for crude.' The Utilities (XLU) sector fell more than 1.3%, leading the losses among the 11 S&P 500 (^GSPC) sectors. Utilities are considered one of the more interest rate-sensitive sectors and have lagged amid the recent rise in Treasury yields. The 10-year Treasury yield (^TNX) was up about 6 basis points and hovered just below 4.5% on Wednesday while the 30-year Treasury yield (^TYX) once again crossed above 5%. The interest rate-sensitive Russell 2000 Index (^RUT) was also among the laggards on Thursday, falling about 0.8%, far outpacing the 0.2% loss of the S&P 500. Yahoo Finance's Ines Ferre reports: Read more here. Nvidia's (NVDA) earnings and revenue beat Wall Street's expectations nearly every quarter over the past two years. Over the past eight quarters, Nvidia's earnings per share exceeded Wall Street's projections by an average of 9.8%. Over that same time frame, Nvidia's quarterly revenue beat the Street by an average of 8.9%. Meanwhile, S&P 500 companies reported earnings and sales roughly 5% and 1.3% above Wall Street's expectations in that time frame, according to Bloomberg data. Only once in that period — during the second quarter of its fiscal year 2025 — did Nvidia's earnings miss forecasts. Its revenue has exceeded forecasts during each of the past eight quarters. Read more here. US stocks moved higher early on Wednesday as investors awaited a critical earnings report from AI bellwether Nvidia (NVDA). The Dow Jones Industrial Average (^DJI) rose around 0.1% on the heels of Tuesday's tariff reprieve-driven rebound. The S&P 500 (^GSPC) and tech-heavy Nasdaq Composite (^IXIC) each inched up about 0.2%. Yahoo Finance's Brian Sozzi reports: Read more here. Here's a look at some top movers trending ahead of the opening bell: Abercrombie & Fitch (ANF) stock rocketed 27% higher in premarket trading after the retailer reported better-than-expected first quarter results and forecast strong annual sales. Adjusted earnings came in at $1.59 per share, beating expectations for $1.39 per share, as the company's Hollister brand has been resonating more with younger consumers, Reuters reported. Trump Media & Technology Group (DJT) shares rose 2% after unveiling plans Tuesday to raise $2.5 billion to create a bitcoin (BTC-USD) treasury. The move will place bitcoin directly on the balance sheet of Trump Media, which owns the Truth Social platform. Bitcoin is hovering near all-time highs. Okta (OKTA) stock tumbled 12% despite reporting better-than-expected earnings on Wednesday. The identity software company announced it would take a "prudent approach" to its financial outlook and reiterated its guidance, alluding to economic uncertainty. Macy's (M) stock rose 4% after surpassing Wall Street's earnings expectations. But the company still faces questions about its future as management aims to turn the retailer around. Joby Aviation (JOBY) shares surged 11% after Toyota (TM) invested $250 million in the electric vertical take-off and landing (eVTOL) aircraft maker, becoming its largest shareholder. Joby expects a second tranche of funding from Toyota, completing its $500 million commitment, will land later this year. Nvidia (NVDA) stock traded slightly higher on Wednesday morning ahead of its earnings report after the closing bell, considered to be the most highly anticipated of the season. You can follow along with our live updates of Nvidia's results here. Check out more trending tickers on the Yahoo Finance platform here. GameStop (GME) stock rose early Wednesday as the company revealed a sizable bitcoin (BTC-USD) purchase. Reuters reports: As the report notes, the bitcoin play is the latest unorthodox move to draw investor interest to a brick-and-mortar video game seller that vaulted into the public consciousness during the 2021 meme-stock craze. GameStop's stock has been rallying in recent days amid bitcoin's surge to new highs. GameStop's reveal comes a day after President Trump's media company, Trump Media & Technology Group (DJT), said it is looking to raise some $2.5 billion to buy bitcoin. Read more here. Macy's (M) stock gained 3% in premarket trading after the beleaguered retailer cleared a low bar for earnings expectations set by Wall Street. Revenue fell 5.1% compared to the same period last year, and adjusted earnings per share dropped 40.7%, but both measures topped analyst estimates for the quarter. Yahoo Finance's Brooke DiPalma reports: Read more here. Yahoo Finance's Hamza Shaban reports: Read more here from today's Morning Brief. Economic data: MBA Mortgage Applications (week ending May 23); Richmond Fed manufacturing index (May); FOMC meeting minutes (May meeting) Earnings: Nvidia (NVDA), Abercrombie & Fitch (ANF), BMO (BMO), (AI), Dick's Sporting Goods (DKS), e.l.f. Beauty (ELF), Macy's (M), Salesforce (CRM) Investors are nervously awaiting Nvidia's (NVDA) earnings report on Wednesday, seeing it as an important sign for Big Tech amid unclear times with Trump tariffs. Here are some of the biggest stories you may have missed overnight and early this morning: Nvidia suppliers fix Blackwell rack issues in boost to sales Wall Street braces for Nvidia earnings Trade truces are clearly bullish — but have a crucial flaw Tariffs latest: Nations race to cut deals with Trump Trump: Fannie Mae to keep US guarantee as public firm YF Senior columnist Rick Newman: Why Trump is waging war on colleges SpaceX Starship rocket fails to deploy satellites and explodes Musk criticizes Trump's 'big, beautiful' spending bill China deflation worries deepen even amid US trade truce Bloomberg reports: Read more here. Okta (OKTA) stock dropped by 12% on Wednesday in premarket trading after the tech company reported its first-quarter earnings the day before. Despite beating Q1 earnings and revenue estimates, the company reiterated its full-year revenue outlook, factoring in a potential risk related to the uncertain economic environment. CEO, Todd McKinnon said: "Okta had a solid start to FY26 highlighted by record operating profit and another quarter of robust free cash flow." "The world's biggest organizations continue to turn to Okta to solve identity security across their workforces, customers, and AI use cases." McKinnon explained that they would continue a "prudent approach to forward guidance… factoring in potential risks related to the uncertain economic environment for the remainder of FY26."
Yahoo
7 hours ago
- Business
- Yahoo
Stock market today: Dow, S&P 500, Nasdaq slipped as Wall Street braced for Nvidia's earnings
US stocks moved lower Wednesday as investors cautiously counted down to Nvidia's (NVDA) earnings report, seen as a crucial test of hopes for Big Tech amid tariff uncertainty. The Dow Jones Industrial Average (^DJI) fell around 0.6%, or around 250 points, on the heels of Tuesday's tariff reprieve-driven rebound. The S&P 500 (^GSPC) declined 0.5%, while the tech-heavy Nasdaq Composite (^IXIC) ticked lower by 0.5%. After the bell on Wednesday, Nvidia reported better-than-expected first quarter revenue while adding it expects an additional $8 billion charge on losses tied to its H20 chip in the second quarter. Its stock rose in after-hours trading. On the economic front, minutes from the Federal Reserve's meeting earlier in May revealed officials acknowledged they could face "difficult tradeoffs" as tariffs potentially threaten their dual mandates for price stability and maximum employment. In trade news, nations are now racing to cut deals with the Trump administration to avoid the planned US tariff hikes, with India reportedly the latest to offer to lower its own tariffs on some American products. Meanwhile, President Trump rejected an emerging notion on Wall Street that he is "chickening out" with his on-again, off-again tariff moves. Read more: The latest updates on Nvidia's earnings report Nvidia (NVDA) reported fiscal first quarter earnings and revenue that topped Wall Street's expectations after the bell on Wednesday. The chipmaker reported adjusted earnings per share of $0.96, just above analyst estimates for $0.93. The adjusted earnings number excludes a $4.5 billion charge related a one-time charge attributed to Nvidia's H20 chips. Meanwhile revenue for the AI giant hit $44.1 billion in the first quarter, above estimates for $43.29 billion. Nvidia's key data center business, which includes its AI chips, produced revenue of $39.1 billion, just short of Wall Street's $39.22 billion estimate. Nvidia shares were up about 3% after hours. Read the breakdown of Nvidia's earnings here. The computing and printing industry has long relied on China to produce various components. That has worked well in the past, but is unlikely to work well in the era of Trump tariffs. Investors just got a taste of the tariff impact from computing giant HP. The company missed earnings estimates by a country mile and cut guidance after the close, blaming tariff impacts. I just hopped off the phone with HP CEO Enrique Lores. Here are three comments from him that stood out: Lores added that HP has been raising prices to offset the tariffs. He declined to share a percentage amount. But if you are in the market soon for a PC, expect a dose of sticker shock. US stocks moved lower Wednesday as investors cautiously counted down to Nvidia's (NVDA) earnings report, seen as a crucial test of hopes for Big Tech amid tariff uncertainty. The Dow Jones Industrial Average (^DJI) fell around 0.6%, or around 250 points, on the heels of Tuesday's tariff reprieve-driven rebound. The S&P 500 (^GSPC) declined 0.5%, while the tech-heavy Nasdaq Composite (^IXIC) ticked lower by 0.5%. The Financial Times reported the Trump administration has told US chip designers to cease sales to Chinese groups. Shares of Cadence (CDNS) and Synopsys (SNPS), which were named in the Financial Times report, quickly sold off on the news. Read more from the Financial Times here. Given the outsized weighting in the S&P 500, large swings in shares of Nvidia have become a feature of how even broad market investors are thinking about the direction of stocks. In June 2024, three Wall Street strategists boosted their year-end S&P 500 targets, citing better-than-expected consistent performance among key AI players. As of May 19, the Magnificent Seven had accounted for about 52% of the S&P 500's gain since Nov. 30, 2022. Nvidia alone had contributed 17.21%, by far the most among the group. The next closest stock, Microsoft, had added about 8.8%. See more charts that help explain Nvidia's meteoric rise since the launch of ChatGPT in November 2022 here. Minutes from the Federal Reserve's May meeting released on Tuesday revealed officials are growing concerned that President Trump's tariffs could challenge both the maximum employment and stable price mandates for the central bank. "Participants noted that the (Federal Open Market) Committee might face difficult tradeoffs if inflation proves to be more persistent while the outlooks for growth and employment weaken," the minutes said. "Participants agreed that uncertainty about the economic outlook had increased further, making it appropriate to take a cautious approach until the net economic effects of the array of changes to government policies become clearer." Read more from Reuters here. Investors have been instantly rewarded for buying the dip in 2025 at a level not seen in more than 30 years. Research from Bespoke Investment Group shows that the S&P 500 is rising an average of 0.36% in the next trading session following a down day for the index. In Bespoke's data back to 1993, the only other time stocks rebounded even close to as aggressively was the 0.32% rise seen after down days during 2020. As Bespoke wrote on X, the data is proof that the buy-the-dip mentality has been at the forefront of the market narrative in 2025. This played out as recently as Tuesday, when the S&P 500 rose more than 2% in the next session after falling 0.7% to end last week's trading before the holiday weekend. Crude oil prices rose on Wednesday as concerns over supply disruptions outweighed a looming decision over the possibility of increased production from OPEC+ in July. West Texas Intermediate (CL=F) futures rallied 2% to hover above $62 per barrel. Brent crude (BZ=F), the international benchmark, also traded above $64 per barrel. Supply concerns intensified after peace talks between Russia and Ukraine stalled, raising the likelihood of new sanctions on Moscow that could involve restricting Russian oil exports. Meanwhile, the US granted Chevron (CVX) a new license to maintain minimal operations in Venezuela. However, the company remains barred from exporting oil or expanding its operations in the sanctioned country. The Organization of the Petroleum Exporting Countries and its allies (OPEC+) ratified production quotas for 2025 and 2026 ahead of a key meeting this Saturday, where the group will decide whether to raise output in July following increases already set for May and June. BOK Financial senior vice president Dennis Kissler wrote in a note that 'most analysts feel another hike in output is likely, which will be a fundamental headwind for crude.' The Utilities (XLU) sector fell more than 1.3%, leading the losses among the 11 S&P 500 (^GSPC) sectors. Utilities are considered one of the more interest rate-sensitive sectors and have lagged amid the recent rise in Treasury yields. The 10-year Treasury yield (^TNX) was up about 6 basis points and hovered just below 4.5% on Wednesday while the 30-year Treasury yield (^TYX) once again crossed above 5%. The interest rate-sensitive Russell 2000 Index (^RUT) was also among the laggards on Thursday, falling about 0.8%, far outpacing the 0.2% loss of the S&P 500. Yahoo Finance's Ines Ferre reports: Read more here. Nvidia's (NVDA) earnings and revenue beat Wall Street's expectations nearly every quarter over the past two years. Over the past eight quarters, Nvidia's earnings per share exceeded Wall Street's projections by an average of 9.8%. Over that same time frame, Nvidia's quarterly revenue beat the Street by an average of 8.9%. Meanwhile, S&P 500 companies reported earnings and sales roughly 5% and 1.3% above Wall Street's expectations in that time frame, according to Bloomberg data. Only once in that period — during the second quarter of its fiscal year 2025 — did Nvidia's earnings miss forecasts. Its revenue has exceeded forecasts during each of the past eight quarters. Read more here. US stocks moved higher early on Wednesday as investors awaited a critical earnings report from AI bellwether Nvidia (NVDA). The Dow Jones Industrial Average (^DJI) rose around 0.1% on the heels of Tuesday's tariff reprieve-driven rebound. The S&P 500 (^GSPC) and tech-heavy Nasdaq Composite (^IXIC) each inched up about 0.2%. Yahoo Finance's Brian Sozzi reports: Read more here. Here's a look at some top movers trending ahead of the opening bell: Abercrombie & Fitch (ANF) stock rocketed 27% higher in premarket trading after the retailer reported better-than-expected first quarter results and forecast strong annual sales. Adjusted earnings came in at $1.59 per share, beating expectations for $1.39 per share, as the company's Hollister brand has been resonating more with younger consumers, Reuters reported. Trump Media & Technology Group (DJT) shares rose 2% after unveiling plans Tuesday to raise $2.5 billion to create a bitcoin (BTC-USD) treasury. The move will place bitcoin directly on the balance sheet of Trump Media, which owns the Truth Social platform. Bitcoin is hovering near all-time highs. Okta (OKTA) stock tumbled 12% despite reporting better-than-expected earnings on Wednesday. The identity software company announced it would take a "prudent approach" to its financial outlook and reiterated its guidance, alluding to economic uncertainty. Macy's (M) stock rose 4% after surpassing Wall Street's earnings expectations. But the company still faces questions about its future as management aims to turn the retailer around. Joby Aviation (JOBY) shares surged 11% after Toyota (TM) invested $250 million in the electric vertical take-off and landing (eVTOL) aircraft maker, becoming its largest shareholder. Joby expects a second tranche of funding from Toyota, completing its $500 million commitment, will land later this year. Nvidia (NVDA) stock traded slightly higher on Wednesday morning ahead of its earnings report after the closing bell, considered to be the most highly anticipated of the season. You can follow along with our live updates of Nvidia's results here. Check out more trending tickers on the Yahoo Finance platform here. GameStop (GME) stock rose early Wednesday as the company revealed a sizable bitcoin (BTC-USD) purchase. Reuters reports: As the report notes, the bitcoin play is the latest unorthodox move to draw investor interest to a brick-and-mortar video game seller that vaulted into the public consciousness during the 2021 meme-stock craze. GameStop's stock has been rallying in recent days amid bitcoin's surge to new highs. GameStop's reveal comes a day after President Trump's media company, Trump Media & Technology Group (DJT), said it is looking to raise some $2.5 billion to buy bitcoin. Read more here. Macy's (M) stock gained 3% in premarket trading after the beleaguered retailer cleared a low bar for earnings expectations set by Wall Street. Revenue fell 5.1% compared to the same period last year, and adjusted earnings per share dropped 40.7%, but both measures topped analyst estimates for the quarter. Yahoo Finance's Brooke DiPalma reports: Read more here. Yahoo Finance's Hamza Shaban reports: Read more here from today's Morning Brief. Economic data: MBA Mortgage Applications (week ending May 23); Richmond Fed manufacturing index (May); FOMC meeting minutes (May meeting) Earnings: Nvidia (NVDA), Abercrombie & Fitch (ANF), BMO (BMO), (AI), Dick's Sporting Goods (DKS), e.l.f. Beauty (ELF), Macy's (M), Salesforce (CRM) Investors are nervously awaiting Nvidia's (NVDA) earnings report on Wednesday, seeing it as an important sign for Big Tech amid unclear times with Trump tariffs. Here are some of the biggest stories you may have missed overnight and early this morning: Nvidia suppliers fix Blackwell rack issues in boost to sales Wall Street braces for Nvidia earnings Trade truces are clearly bullish — but have a crucial flaw Tariffs latest: Nations race to cut deals with Trump Trump: Fannie Mae to keep US guarantee as public firm YF Senior columnist Rick Newman: Why Trump is waging war on colleges SpaceX Starship rocket fails to deploy satellites and explodes Musk criticizes Trump's 'big, beautiful' spending bill China deflation worries deepen even amid US trade truce Bloomberg reports: Read more here. Okta (OKTA) stock dropped by 12% on Wednesday in premarket trading after the tech company reported its first-quarter earnings the day before. Despite beating Q1 earnings and revenue estimates, the company reiterated its full-year revenue outlook, factoring in a potential risk related to the uncertain economic environment. CEO, Todd McKinnon said: "Okta had a solid start to FY26 highlighted by record operating profit and another quarter of robust free cash flow." "The world's biggest organizations continue to turn to Okta to solve identity security across their workforces, customers, and AI use cases." McKinnon explained that they would continue a "prudent approach to forward guidance… factoring in potential risks related to the uncertain economic environment for the remainder of FY26." Nvidia (NVDA) reported fiscal first quarter earnings and revenue that topped Wall Street's expectations after the bell on Wednesday. The chipmaker reported adjusted earnings per share of $0.96, just above analyst estimates for $0.93. The adjusted earnings number excludes a $4.5 billion charge related a one-time charge attributed to Nvidia's H20 chips. Meanwhile revenue for the AI giant hit $44.1 billion in the first quarter, above estimates for $43.29 billion. Nvidia's key data center business, which includes its AI chips, produced revenue of $39.1 billion, just short of Wall Street's $39.22 billion estimate. Nvidia shares were up about 3% after hours. Read the breakdown of Nvidia's earnings here. The computing and printing industry has long relied on China to produce various components. That has worked well in the past, but is unlikely to work well in the era of Trump tariffs. Investors just got a taste of the tariff impact from computing giant HP. The company missed earnings estimates by a country mile and cut guidance after the close, blaming tariff impacts. I just hopped off the phone with HP CEO Enrique Lores. Here are three comments from him that stood out: Lores added that HP has been raising prices to offset the tariffs. He declined to share a percentage amount. But if you are in the market soon for a PC, expect a dose of sticker shock. US stocks moved lower Wednesday as investors cautiously counted down to Nvidia's (NVDA) earnings report, seen as a crucial test of hopes for Big Tech amid tariff uncertainty. The Dow Jones Industrial Average (^DJI) fell around 0.6%, or around 250 points, on the heels of Tuesday's tariff reprieve-driven rebound. The S&P 500 (^GSPC) declined 0.5%, while the tech-heavy Nasdaq Composite (^IXIC) ticked lower by 0.5%. The Financial Times reported the Trump administration has told US chip designers to cease sales to Chinese groups. Shares of Cadence (CDNS) and Synopsys (SNPS), which were named in the Financial Times report, quickly sold off on the news. Read more from the Financial Times here. Given the outsized weighting in the S&P 500, large swings in shares of Nvidia have become a feature of how even broad market investors are thinking about the direction of stocks. In June 2024, three Wall Street strategists boosted their year-end S&P 500 targets, citing better-than-expected consistent performance among key AI players. As of May 19, the Magnificent Seven had accounted for about 52% of the S&P 500's gain since Nov. 30, 2022. Nvidia alone had contributed 17.21%, by far the most among the group. The next closest stock, Microsoft, had added about 8.8%. See more charts that help explain Nvidia's meteoric rise since the launch of ChatGPT in November 2022 here. Minutes from the Federal Reserve's May meeting released on Tuesday revealed officials are growing concerned that President Trump's tariffs could challenge both the maximum employment and stable price mandates for the central bank. "Participants noted that the (Federal Open Market) Committee might face difficult tradeoffs if inflation proves to be more persistent while the outlooks for growth and employment weaken," the minutes said. "Participants agreed that uncertainty about the economic outlook had increased further, making it appropriate to take a cautious approach until the net economic effects of the array of changes to government policies become clearer." Read more from Reuters here. Investors have been instantly rewarded for buying the dip in 2025 at a level not seen in more than 30 years. Research from Bespoke Investment Group shows that the S&P 500 is rising an average of 0.36% in the next trading session following a down day for the index. In Bespoke's data back to 1993, the only other time stocks rebounded even close to as aggressively was the 0.32% rise seen after down days during 2020. As Bespoke wrote on X, the data is proof that the buy-the-dip mentality has been at the forefront of the market narrative in 2025. This played out as recently as Tuesday, when the S&P 500 rose more than 2% in the next session after falling 0.7% to end last week's trading before the holiday weekend. Crude oil prices rose on Wednesday as concerns over supply disruptions outweighed a looming decision over the possibility of increased production from OPEC+ in July. West Texas Intermediate (CL=F) futures rallied 2% to hover above $62 per barrel. Brent crude (BZ=F), the international benchmark, also traded above $64 per barrel. Supply concerns intensified after peace talks between Russia and Ukraine stalled, raising the likelihood of new sanctions on Moscow that could involve restricting Russian oil exports. Meanwhile, the US granted Chevron (CVX) a new license to maintain minimal operations in Venezuela. However, the company remains barred from exporting oil or expanding its operations in the sanctioned country. The Organization of the Petroleum Exporting Countries and its allies (OPEC+) ratified production quotas for 2025 and 2026 ahead of a key meeting this Saturday, where the group will decide whether to raise output in July following increases already set for May and June. BOK Financial senior vice president Dennis Kissler wrote in a note that 'most analysts feel another hike in output is likely, which will be a fundamental headwind for crude.' The Utilities (XLU) sector fell more than 1.3%, leading the losses among the 11 S&P 500 (^GSPC) sectors. Utilities are considered one of the more interest rate-sensitive sectors and have lagged amid the recent rise in Treasury yields. The 10-year Treasury yield (^TNX) was up about 6 basis points and hovered just below 4.5% on Wednesday while the 30-year Treasury yield (^TYX) once again crossed above 5%. The interest rate-sensitive Russell 2000 Index (^RUT) was also among the laggards on Thursday, falling about 0.8%, far outpacing the 0.2% loss of the S&P 500. Yahoo Finance's Ines Ferre reports: Read more here. Nvidia's (NVDA) earnings and revenue beat Wall Street's expectations nearly every quarter over the past two years. Over the past eight quarters, Nvidia's earnings per share exceeded Wall Street's projections by an average of 9.8%. Over that same time frame, Nvidia's quarterly revenue beat the Street by an average of 8.9%. Meanwhile, S&P 500 companies reported earnings and sales roughly 5% and 1.3% above Wall Street's expectations in that time frame, according to Bloomberg data. Only once in that period — during the second quarter of its fiscal year 2025 — did Nvidia's earnings miss forecasts. Its revenue has exceeded forecasts during each of the past eight quarters. Read more here. US stocks moved higher early on Wednesday as investors awaited a critical earnings report from AI bellwether Nvidia (NVDA). The Dow Jones Industrial Average (^DJI) rose around 0.1% on the heels of Tuesday's tariff reprieve-driven rebound. The S&P 500 (^GSPC) and tech-heavy Nasdaq Composite (^IXIC) each inched up about 0.2%. Yahoo Finance's Brian Sozzi reports: Read more here. Here's a look at some top movers trending ahead of the opening bell: Abercrombie & Fitch (ANF) stock rocketed 27% higher in premarket trading after the retailer reported better-than-expected first quarter results and forecast strong annual sales. Adjusted earnings came in at $1.59 per share, beating expectations for $1.39 per share, as the company's Hollister brand has been resonating more with younger consumers, Reuters reported. Trump Media & Technology Group (DJT) shares rose 2% after unveiling plans Tuesday to raise $2.5 billion to create a bitcoin (BTC-USD) treasury. The move will place bitcoin directly on the balance sheet of Trump Media, which owns the Truth Social platform. Bitcoin is hovering near all-time highs. Okta (OKTA) stock tumbled 12% despite reporting better-than-expected earnings on Wednesday. The identity software company announced it would take a "prudent approach" to its financial outlook and reiterated its guidance, alluding to economic uncertainty. Macy's (M) stock rose 4% after surpassing Wall Street's earnings expectations. But the company still faces questions about its future as management aims to turn the retailer around. Joby Aviation (JOBY) shares surged 11% after Toyota (TM) invested $250 million in the electric vertical take-off and landing (eVTOL) aircraft maker, becoming its largest shareholder. Joby expects a second tranche of funding from Toyota, completing its $500 million commitment, will land later this year. Nvidia (NVDA) stock traded slightly higher on Wednesday morning ahead of its earnings report after the closing bell, considered to be the most highly anticipated of the season. You can follow along with our live updates of Nvidia's results here. Check out more trending tickers on the Yahoo Finance platform here. GameStop (GME) stock rose early Wednesday as the company revealed a sizable bitcoin (BTC-USD) purchase. Reuters reports: As the report notes, the bitcoin play is the latest unorthodox move to draw investor interest to a brick-and-mortar video game seller that vaulted into the public consciousness during the 2021 meme-stock craze. GameStop's stock has been rallying in recent days amid bitcoin's surge to new highs. GameStop's reveal comes a day after President Trump's media company, Trump Media & Technology Group (DJT), said it is looking to raise some $2.5 billion to buy bitcoin. Read more here. Macy's (M) stock gained 3% in premarket trading after the beleaguered retailer cleared a low bar for earnings expectations set by Wall Street. Revenue fell 5.1% compared to the same period last year, and adjusted earnings per share dropped 40.7%, but both measures topped analyst estimates for the quarter. Yahoo Finance's Brooke DiPalma reports: Read more here. Yahoo Finance's Hamza Shaban reports: Read more here from today's Morning Brief. Economic data: MBA Mortgage Applications (week ending May 23); Richmond Fed manufacturing index (May); FOMC meeting minutes (May meeting) Earnings: Nvidia (NVDA), Abercrombie & Fitch (ANF), BMO (BMO), (AI), Dick's Sporting Goods (DKS), e.l.f. Beauty (ELF), Macy's (M), Salesforce (CRM) Investors are nervously awaiting Nvidia's (NVDA) earnings report on Wednesday, seeing it as an important sign for Big Tech amid unclear times with Trump tariffs. Here are some of the biggest stories you may have missed overnight and early this morning: Nvidia suppliers fix Blackwell rack issues in boost to sales Wall Street braces for Nvidia earnings Trade truces are clearly bullish — but have a crucial flaw Tariffs latest: Nations race to cut deals with Trump Trump: Fannie Mae to keep US guarantee as public firm YF Senior columnist Rick Newman: Why Trump is waging war on colleges SpaceX Starship rocket fails to deploy satellites and explodes Musk criticizes Trump's 'big, beautiful' spending bill China deflation worries deepen even amid US trade truce Bloomberg reports: Read more here. Okta (OKTA) stock dropped by 12% on Wednesday in premarket trading after the tech company reported its first-quarter earnings the day before. Despite beating Q1 earnings and revenue estimates, the company reiterated its full-year revenue outlook, factoring in a potential risk related to the uncertain economic environment. CEO, Todd McKinnon said: "Okta had a solid start to FY26 highlighted by record operating profit and another quarter of robust free cash flow." "The world's biggest organizations continue to turn to Okta to solve identity security across their workforces, customers, and AI use cases." McKinnon explained that they would continue a "prudent approach to forward guidance… factoring in potential risks related to the uncertain economic environment for the remainder of FY26." Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
8 hours ago
- Business
- Yahoo
S&P 500, Dow, Nasdaq close 0.5% lower ahead of Nvidia results
US stocks (^DJI, ^IXIC, ^GSPC) close Wednesday's session lower by over 0.5% a piece, ahead of Nvidia's (NVDA) long-awaited first quarter earnings results. Market Domination Overtime's Julie Hyman and Yahoo Finance markets and data editor Jared Blikre recap equity and bond market (^TYX, ^TNX, ^FVX) moves from Wednesday. Tune in to Yahoo Finance's special live coverage of Nvidia's first quarter earnings here, beginning at 4:15 p.m. on Wednesday, May 28. To watch more expert insights and analysis on the latest market action, check out more Market Domination Overtime here.
Yahoo
9 hours ago
- Business
- Yahoo
Stock Market News for May 7, 2025
Wall Street closed lower on Tuesday, pulled down by health care, tech and discretionary stocks. Investor mood was grim on the White House's continued see-sawing on global trade deals, and economic data showing a historic trade deficit. Investors also awaited the Fed's policy decision. All three benchmark indexes closed the session in the red. The Dow Jones Industrial Average (DJI) slid 1%, or 389.83 points, to close at 40,829.00. Twenty-two components of the 30-stock index ended in negative territory, while eight ended in positive. The tech-heavy Nasdaq Composite fell 154.58 points, or 0.9%, to close at 17,689.66. The S&P 500 fell 43.47 points, or 0.8%, to close at 5,606.91. Nine of the 11 broad sectors of the benchmark index closed in the red. The Health Care Select Sector SPDR (XLV), the Industrials Select Sector SPDR (XLI) and the Consumer Discretionary Select Sector SPDR (XLY) declined 2.8%, 0.9% and 0.9%, respectively, while the Utilities Select Sector SPDR (XLU) advanced 1.2%. The fear-gauge CBOE Volatility Index (VIX) increased 4.7% to 24.76. A total of 14.77 billion shares were traded on Tuesday, lower than the last 20-session average of 18.9 billion. Over the past few weeks, Wall Street has recovered from the losses arising from Donald Trump's early-April announcement of plans to impose hefty tariffs on leading trading partners, primarily targeted at China. Investors have remained optimistic that the Trump administration will negotiate trade deals soon to end this tariff war. However, during his meeting with Canadian Prime Minister Mark Carney on Tuesday afternoon, Trump retracted from the promises that trade deals were on the horizon, saying, 'We don't have to sign deals.' Earlier this week, Treasury Secretary Scott Bessent said, 'We're very close to some deals,' following up on Trump's Sunday comments that agreements could come as early as this week. What the President said on Tuesday is in direct contradiction to the earlier ones, and the markets felt the jitters. The health care sector came under pressure on Tuesday on reports that the Food and Drug Administration had named Dr. Vinay Prasad, a vocal critic of the Covid-19 response, as its top vaccine official. Consequently, shares of Moderna, Inc. MRNA and Merck & Co., Inc. MRK lost 12.3% and 4.6%, respectively. Both currently carry a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. On Tuesday, oil prices rose 3% on expectations of higher demand in Europe and China, lower production in the U.S. and tensions in the Middle East. In the previous session, prices had fallen to a four-year low. Brent crude rose $1.92, or 3.2%, to close at $62.15/barrel, WTI crude added $1.96, or 3.4%, to close at $59.09/barrel. Per a government report, the trade deficit for March came in at a historic high for the month, $140.5 billion. This is much higher than $137.5 predicted for the period. The number for February was revised up to a deficit of $123.2 billion from the previously reported $122.7 billion. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Merck & Co., Inc. (MRK) : Free Stock Analysis Report Moderna, Inc. (MRNA) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
