U.S. stocks moved lower on Thursday as investors continued rotating out of high-priced technology shares, even after the end of the longest government shutdown in U.S. history.
By 09:35 ET (14:35 GMT), the Dow Jones Industrial Average had fallen 73 points, or 0.2%, pulling back from Wednesday’s record close. The S&P 500 dropped 30 points, or 0.4%, while the tech-heavy Nasdaq Composite underperformed with a decline of 170 points, or 0.7%.
Government Shutdown Ends
President Donald Trump signed a bill late Wednesday to restore government funding and officially end the 43-day shutdown. The legislation, which keeps the government funded through January 30, passed the House in a 222–209 vote largely along party lines after gaining Senate approval earlier in the week.
The shutdown disrupted federal services nationwide. Air traffic and travel safety personnel were hit especially hard, contributing to thousands of flight cancellations. These disruptions may weigh on broader economic growth.
With the government reopening, key economic reports are expected to resume. These data releases are crucial for investors and policymakers assessing the health of the U.S. economy. ING analysts said job numbers could return as early as next week.
However, administration officials warned that October employment and inflation data may never be published, which could leave the Federal Reserve without important information ahead of its December rate decision.
Cisco Lifts Annual Outlook
Despite recent weakness in the tech sector, Cisco Systems offered some good news. The company raised its annual guidance, sending its stock higher.
Cisco expects fiscal 2026 revenue between $60.2 billion and $61 billion, up from earlier projections of $59 billion to $60 billion. The networking company is betting on strong demand for data center equipment driven by the AI boom.
Adjusted full-year earnings are now estimated at $4.08 to $4.14 per share, compared to the prior forecast of $4.00 to $4.06. Cisco also reported strong fiscal first-quarter results and expects to generate $3 billion in AI infrastructure revenue this year.
Elsewhere, Walt Disney shares fell after the company reported lower fourth-quarter revenue. Weak performance from its latest film releases weighed on its entertainment division.
Flutter Entertainment’s stock also declined after the world’s largest betting company cut its full-year guidance due to a streak of customer winnings.
Starbucks shares slipped after the company’s workers union launched a strike in at least 40 cities on Red Cup Day, one of the coffee chain’s biggest promotional events.
Oil Prices Rebound After Sharp Losses
Oil prices climbed Thursday following steep declines in the previous session. Rising U.S. crude inventories had renewed concerns about weak demand.
Brent crude rose 0.9% to $63.28 a barrel, while West Texas Intermediate gained 0.9% to $59.01. Both benchmarks fell about 4% on Wednesday after the American Petroleum Institute reported a 1.3 million-barrel increase in U.S. crude stockpiles for the week ending November 7.
Additional pressure came from OPEC’s latest outlook, which said global oil supply is expected to slightly exceed demand in 2026.
