Stocks Slip After Three-Day Rally as Tariff Concerns Linger; Intel Tumbles on Disappointing Forecast
The S&P 500 fell 0.5%, the Dow Jones Industrial Average dropped 0.8%, and the Nasdaq Composite dipped 0.1% shortly after the market opened. Markets rallied earlier in the week, buoyed by strong corporate earnings and speculation that President Trump may ease proposed tariff measures. Still, ambiguity around U.S. trade policy, especially with China, has kept investors cautious.
KEYPOINTS:
Stocks declined Friday after a strong three-day rally.
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Tariff talks, especially with China, remain a key concern.
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Intel and T-Mobile shares fell on weak outlooks.
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Alphabet, Tesla, and Nvidia saw gains after strong results.
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Gold, oil, and Bitcoin showed mixed performance amid market volatility.
U.S. stocks moved lower Friday morning, retreating after three straight days of solid gains that had pushed major indexes toward weekly advances. Investors continued monitoring global trade developments, particularly surrounding tariff negotiations, which have introduced uncertainty despite recent market optimism.
Tariff negotiations remain in focus after the U.S. paused its broad "reciprocal" tariff plans for 90 days and entered talks with multiple countries. Investors are especially wary of U.S.-China trade relations, which have seen tit-for-tat tariffs exceeding 100%. Conflicting updates on the progress of those discussions have added to market uncertainty, despite the S&P 500’s 3.8% gain this week.
Corporate earnings influenced early trading moves. Intel shares slumped 8% after the chipmaker issued a weaker-than-expected outlook. T-Mobile US fell 9% on lower wireless customer additions. On the upside, Alphabet gained 2% after strong earnings driven by AI growth, while Tesla rose 4% and other tech giants showed mixed performance.
In broader markets, the U.S. dollar index rose 0.3% to 99.58, rebounding from a recent dip. The 10-year Treasury yield slipped to 4.28%, reflecting ongoing economic uncertainty. Gold prices fell 1.7% to $3,290 after hitting record highs earlier in the week, while crude oil edged down to $62.65 per barrel. Bitcoin rebounded to $94,800 after hitting a low of $92,900 overnight.