U.S. Stocks Slip on Mixed Data and Walmart Outlook
U.S. stocks edged lower on Thursday after mixed economic data and a weaker-than-expected forecast from Walmart weighed on investor sentiment. At the same time, signs of a resilient labor market helped the U.S. dollar extend its gains.
All three major U.S. stock indexes declined modestly, following losses in European markets. The pullback puts Wall Street on track to break a three-session winning streak.
Investors are assessing whether the recent market rotation away from mega-cap technology stocks has further momentum or is beginning to lose steam.
Economic Data and Corporate Earnings in Focus
Fresh data showed a decline in weekly jobless claims, signaling continued strength in the U.S. labor market. Meanwhile, U.S. trade figures revealed the widest goods deficit on record, as imports rebounded despite tariffs imposed by President Donald Trump.
According to Chuck Carlson, CEO of Horizon Investment Services, investors are weighing economic signals alongside Walmart’s earnings outlook to better understand the health of the U.S. consumer.
The Dow Jones Industrial Average fell 0.24% to 49,542.26. The S&P 500 dropped 0.19% to 6,868.52, while the Nasdaq Composite declined 0.18% to 22,712.95.
European markets also retreated from record highs reached the previous session. The pan-European STOXX 600 fell 0.62%, while the FTSEurofirst 300 declined 0.65%. Global stocks, as measured by MSCI’s index, slipped 0.21%.
In Asia, markets were more positive. Japan’s Nikkei gained 0.57%, and MSCI’s Asia-Pacific index excluding Japan rose 0.35%.
U.S.-Iran Tensions Lift Oil and Gold
Oil prices continued climbing amid concerns over potential supply disruptions linked to escalating U.S.-Iran tensions.
Market participants are closely monitoring developments in the Middle East, as any military conflict could impact global energy flows.
U.S. crude rose 2.06% to $66.53 per barrel, while Brent crude advanced 1.79% to $71.58 per barrel.
Gold prices also benefited from safe-haven demand. Spot gold increased 0.69% to $5,013.54 per ounce, while U.S. gold futures edged slightly lower to $4,984.50 per ounce.
Dollar and Treasury Yields Edge Higher
The U.S. dollar strengthened after jobless claims data pointed to labor market stability. Minutes from the Federal Reserve’s latest meeting revealed divisions among policymakers over the timing of potential interest rate cuts.
The dollar index rose 0.14% to 97.84. The euro slipped 0.09% to $1.1771, while the dollar gained 0.11% against the Japanese yen to 154.99.
U.S. Treasury yields also moved higher ahead of the Treasury Department’s $9 billion auction of 30-year bonds. The benchmark 10-year yield rose to 4.09%, while the 30-year yield climbed to 4.72%. The 2-year yield, which closely tracks Fed rate expectations, increased to 3.47%.
Cryptocurrencies Under Pressure
In digital assets, bitcoin fell 0.07% to $66,274.64. Ethereum declined 1.07% to $1,920.86, reflecting broader caution across risk-sensitive markets.
