The stock market closed mixed on July 24 as investors assessed new tariffs levied on more than 60 trading partners, with the Nasdaq declining 0.6% while the Dow Jones Industrial Average and S&P 500 each posted modest gains of 0.5% and 0.1%, respectively.
New U.S. tariffs of 10% to 12.5% on imports from most major trading partners took effect just after midnight ET, replacing a temporary 10% global tariff enacted in February. The duties cover more than 99% of U.S. imports and are aimed at trading partners the administration says refuse to block imports made with forced labor, according to Investopedia.
The tariff announcement came as tech stocks remained under pressure following a brutal session the day before. On July 23, the “Magnificent Seven” group of megacap technology stocks—which includes Microsoft, Amazon, Apple, Alphabet, Nvidia, Tesla, and Meta—lost roughly $797 billion in market value, their steepest one-day decline since the tariff-driven market sell-off in April 2025, according to Yahoo Finance and Bloomberg reporting.
Alphabet and Tesla led Thursday’s declines, falling 6% and 14%, respectively, after reporting quarterly results. Alphabet’s stock sank following disclosure of increased capital expenditures on AI infrastructure, while Tesla tumbled after posting disappointing earnings. Tesla alone lost roughly $200 billion in market value that day.
Semiconductor stocks extended weakness on Friday, with memory chipmakers Micron Technology and Sandisk falling about 7% and 6%, respectively, according to Investopedia. The broader PHLX Semiconductor index fell about 4.5%. However, analysts noted that memory chip stocks had jumped earlier in the week when major chip buyers announced plans to invest heavily in AI, highlighting how investors are rotating between companies spending on AI infrastructure and those supplying the equipment.
For the full week, all three major indexes posted losses. The Nasdaq fell 2.1%, the S&P 500 declined 0.6%, and the Dow dropped 0.4%—marking the second consecutive week of declines for all three indexes, according to Investopedia. Prior to last week, all three hadn’t closed lower in the same week since June 5.
The tariff uncertainty and earnings volatility underscore growing investor anxiety. JPMorgan analysts warned that “options are pricing above-average earnings volatility” this quarter, “reflecting earnings uncertainty, high investor crowding and leverage, and potentially a returning geopolitical risk premium” as tensions flare in the Middle East, according to Investopedia reporting. Oil prices had surged earlier in the week amid Middle East hostilities but retreated Friday, with Brent crude falling 3.9% to $96.78 a barrel following reports of potential U.S.-Iran peace talks.
When comparable tariff shocks have hit markets in the past, volatility has persisted. In April 2025, when the Trump administration announced sweeping tariffs, the S&P 500 fell nearly 20% by early April before recovering over subsequent months, according to U.S. Bank reporting. This time, traders are watching whether earnings can hold up under tariff pressure and whether the Federal Reserve will raise rates—traders are now pricing in a 36% likelihood of a Fed rate hike at its next meeting, up from about 13% one week ago, according to Investopedia.
Sources
- Investopedia — July 24, 2026 market close: Nasdaq down 0.6%, Dow up 0.5%, S&P 500 up 0.1%; weekly performance; chip stock declines; tariff details; Fed rate expectations
- Yahoo Finance — Magnificent Seven lost $797 billion on July 23, worst day since April 2025; Alphabet and Tesla led declines
- Bloomberg — Magnificent Seven market value loss figure and comparison to April 2025 tariff selloff
- U.S. Bank — Historical context on April 2025 tariff shock and market recovery
