Traders work at the New York Stock Exchange on August 12, 2025.
NYSE
Futures tied to the S&P 500 and Nasdaq 100 were slightly higher Tuesday night as investors come off a record-setting session that saw encouraging news on the inflation front.
S&P futures rose 0.2%, while Nasdaq 100 futures were 0.5% higher. However, futures tied to the Dow Jones Industrial Average dropped 14 points, or less than 0.1%.
In after-hours trading, Cava shares plunged more than 22% after the Mediterranean restaurant chain reported disappointing second-quarter revenue growth and lowered its same-store sales forecast for the full year. CoreWeave shares dropped about 9% as the artificial intelligence infrastructure provider delivered a mixed quarter, despite robust revenue gains.
The major U.S. indexes are coming off of a strong trading session, which saw the S&P 500 and tech-heavy Nasdaq Composite close at fresh record highs. The S&P 500 added 1.1% to settle at 6,445.76, while the Nasdaq ended 1.4% higher at 21,681.90. The Dow Jones Industrial Average added about 483 points, or 1.1%, to close at 44,458.61.
The Russell 2000 Index jumped nearly 3% during the session as small-cap stocks are generally considered a beneficiary of lower short-term borrowing rates.
Stocks traded higher Tuesday as inflation data was tamer than expected, soothing investor fears that tariffs are not spiking prices. Traders are now pricing in a nearly 94% chance of a rate cut at the Federal Reserve’s September meeting, per trading data from the CME’s FedWatch Tool.
Thursday’s producer price index report on wholesale inflation will add another piece of the economic picture. The report comes ahead of the Fed’s Jackson Hole meeting on Aug. 21-23, which could also help shape expectations for the central bank’s next policy move.
Not all investors came away convinced by Tuesday’s strong moves. 3Fourteen Research co-founder Warren Pies said the moves in small-cap names may not be what they seem in this late-cycle environment.
“We’ve had some seasonal buying in the beginning of August, and I think people are starting to jump the gun and misinterpret that as this summer melt-up that every wants to believe in,” Pies said on CNBC’s “Closing Bell.” “I think there is some concerns in my mind about the labor market and the growth story and the market’s kind of glossing over them.”
Ether is hovering below its 2021 all-time high
Cryptocurrencies rallied on Tuesday, led by ether, which is now hovering below its record.
The market began its steady climb after the early morning release of the consumer price index, which reinstilled hope in investors that the Federal Reserve could cut interest rates next month.
Ether was last higher by about 7% at $4,578.73. Earlier, it traded as high as $4,636.30, its highest level since Dec. 3, 2021. It’s edging closer toward its November 2021 record of $4,866.01.
“With CPI data coming broadly in line, crypto markets are rapidly rediscovering the momentum that has been growing over the last week,” Jordi Alexander, CEO at crypto trading firm Selini Capital. “Ethereum flows are coming in hard and fast from traditional markets in the form of both ETFs and treasury vehicles, and the rallies are broad across the market and have reignited animal spirits more than just the Bitcoin flows from earlier in the summer.”
— Tanaya Macheel
Cava, CoreWeave sink in after-hours trading Tuesday
Cava and CoreWeave were among stocks moving after market close on the back of their latest financial results. Take a closer look:
- Cava: Shares plummeted about 21% after the Mediterranean food chain reported lower-than-expected second-quarter revenue driven by weak same-store sales growth. The company also lowered its full-year forecast for same-store sales. Cava reported earnings of 16 cents per share on revenue of $280.6 million, while analysts polled by LSEG expected earnings of 13 cents per share on $285.6 million in revenue.
- CoreWeave: The AI infrastructure stock met revenue expectations for its second quarter, but saw shares drop about 10% in extended trading. CoreWeave reported a loss of 21 cents and revenue of $1.21 billion. Analysts polled by LSEG, meanwhile, forecasted revenue of $1.08 billion. The company pointed to greater business with OpenAI, a major client and investor in CoreWeave.
Traders also watched stablecoin issuer Circle. The stock slid more than 6% after Circle said it will offer 10 million Class A shares to the public, 2 million of which will be offered by the company.
— Pia Singh
