Wall Street Stocks Steady as Corporate Earnings Roll In/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ U.S. stocks edged lower Thursday as Wall Street weighed mixed corporate earnings and fresh economic data. The S&P 500 dipped 0.1% after hitting a record high the previous day. Investors are watching jobless claims, GDP growth, and the Fed’s potential September rate cut.
Stock Market Quick Looks
- S&P 500 slips 0.1% after record high
- Dow falls 52 points; Nasdaq flat in early trading
- Hormel drops 4.7% after weak earnings outlook
- Victoria’s Secret shares surge nearly 10% on strong results
- Nvidia falls 1% despite beating quarterly expectations
- Broadcom, AMD gain as tech helps steady markets
- Treasury yields mostly higher; 10-year at 4.23%
- Jobless claims fall, showing labor market resilience
- U.S. GDP grew 3.3% in Q2 after Q1 contraction
- Fed expected to cut rates in September; 85% odds
Deep Look: Wall Street Stocks Steady as Investors Weigh Earnings, Economic Data
NEW YORK — August 28, 2025 — Stocks on Wall Street moved cautiously lower Thursday, as investors digested a wave of corporate earnings and economic reports that provided a mixed picture of the U.S. economy.
The S&P 500 slipped 0.1% in early trading after reaching a new all-time high on Wednesday. The Dow Jones Industrial Average fell 52 points (0.1%), while the Nasdaq composite dipped less than 0.1%.
Winners and Losers in Earnings
The day’s sharpest moves were tied to corporate earnings:
- Hormel Foods plunged 4.7%, the biggest decline in the S&P 500, after reporting weaker-than-expected results and cutting its full-year outlook.
- Victoria’s Secret & Co. surged 9.7%, topping analyst forecasts with stronger-than-expected second-quarter performance.
- Broadcom gained 2.7%, and AMD rose 1.9%, lifting the tech sector.
- Nvidia, despite reporting earnings and revenue above expectations, slipped 1% as sales of its AI chips grew slower than analysts anticipated.
Nvidia remains a key barometer of investor sentiment toward artificial intelligence, as it dominates the global market for AI chipsets. Its heavy weighting also gives it significant influence over the broader indexes.
Economic Data Adds Mixed Signals
Two government reports also shaped investor mood:
- The Labor Department said jobless claims fell last week, suggesting that employers are holding onto workers even as hiring slows. Job growth has cooled considerably since spring.
- The Commerce Department reported GDP grew at a 3.3% annual pace in Q2, rebounding from a 0.5% contraction in Q1, when Trump administration trade wars weighed on output.
The figures highlight an economy that is cooling but not collapsing — steady consumer demand remains balanced against weaker hiring and business uncertainty.
Fed Policy in Focus
The reports reinforce speculation that the Federal Reserve may cut interest rates at its September 16–17 meeting. Chair Jerome Powell signaled last week that a cut is under consideration as the labor market softens.
Market traders see an 85.3% chance the Fed will trim rates by 0.25 percentage points, according to CME Group data.
- The 10-year Treasury yield slipped slightly to 4.23%.
- The 2-year Treasury yield, which tracks Fed expectations more closely, edged higher to 3.64%.
Lower rates could support stocks and make borrowing cheaper for households and businesses. But they also risk fueling inflation — a balancing act that continues to drive Fed strategy.
Global Markets
Outside the U.S., European and Asian stock markets posted mixed results, reflecting investor caution as central banks worldwide weigh growth concerns against inflation risks.
Outlook
Investors remain focused on whether the Fed’s potential rate cut next month will stabilize growth without reigniting inflation. For now, Wall Street appears to be in a holding pattern, awaiting clarity from both policymakers and corporate leaders.
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