US stocks showed mixed movement on Wednesday as
Wall Street
saw more subdued trading following recent swings in both directions. While most stocks were on the rise, several key tech stocks, including
Nvidia
and
Tesla
, faced continued challenges, dragging the
Nasdaq
toward a 1.2% drop.
The S&P 500 slipped 0.4% in morning trading, possibly heading for a second quiet day in a row. The Dow Jones Industrial Average gained 201 points, or 0.5%, as of 10:45 a.m. Eastern Time. Meanwhile, the Nasdaq composite struggled due to further declines in Nvidia and Tesla, which weighed heavily on the index, according to news agency AP reports.
Big Tech
stocks, which had been central to the
US stock market
’s recent sell-off, are facing increased volatility.
Earlier this month, the S&P 500 dropped 10% from its all-time high, marking its first “correction” since 2023. Big Tech’s meteoric rise, particularly in the wake of the AI boom, led to concerns that their valuations had outpaced profits, contributing to the recent downturn.
Nvidia took a 4.7% hit, bringing its loss for the year to 14.4%, making it the biggest drag on the S&P 500. Tesla, also facing headwinds, fell 4.1%, extending its loss for 2025 to 31.6%. The electric-vehicle maker is grappling with both internal issues and external challenges, including political backlash against CEO Elon Musk.
Despite the setbacks, the US stock market has steadied somewhat after its correction. The S&P 500 is now within 6.5% of its record high, but Wall Street strategists caution that volatility may persist, especially with a set of US tariffs set to take effect next month. Even if the tariffs don’t significantly harm the global economy, the uncertainty surrounding them has already dampened consumer and business confidence.
While the US economy and job market have shown resilience, economists are watching closely for signs that the hit to confidence is affecting broader economic activity. A report released Wednesday morning showed unexpected growth in orders for machinery, airplanes, and other durable goods last month, defying expectations of a contraction. However, a key subset of the data, which excludes aircraft and defence products, shifted from growth to contraction, signalling that businesses may be holding back on investments amid tariff concerns.
In the bond market, Treasury yields fluctuated following the data, with the 10-year Treasury yield rising slightly to 4.34%, up from 4.31% on Tuesday.
There were some bright spots on Wall Street, including GameStop, which surged 13.1% after reporting better-than-expected quarterly results. The video game retailer also announced plans to invest part of its treasury in bitcoin. Dollar Tree also saw a 7.6% increase after announcing it would sell Family Dollar to two private equity firms for $1 billion, following a decade of struggling to integrate the bargain chain. Additionally, Dollar Tree posted stronger-than-expected profits for the latest quarter.
Cintas rose 8.1% after the work uniform supplier reported better-than-expected profits.
Overseas, stock markets in Europe and Asia were mixed. The FTSE 100 in London rose 0.3% following a report showing that U.K. inflation improved slightly more than expected.
