Stocks Decline Ahead of Fed Meeting and Retail Earnings Reports

NEW YORK — Stocks fell on Tuesday, led by a decline in shares of major technology companies, as investors braced for upcoming retail earnings reports and a key speech from Federal Reserve Chair Jerome Powell later this week.

The benchmark S&P 500 fell 0.6%, while the tech-heavy Nasdaq Composite dropped 1.5%. However, the Dow Jones Industrial Average managed to close fractionally higher after touching an all-time high earlier in the session.

Market participants are focused on the Jackson Hole Symposium, an annual gathering of the world’s central bankers, hoping for signals regarding potential interest rate cuts. The Fed had previously decided to keep rates unchanged last month, indicating a need for more data on how tariffs are affecting inflation.

This week’s calendar is packed with earnings reports from major retailers. Home Depot‘s shares rose 3%, leading gains for the Dow, despite finishing lower than earlier highs. Lowe’s, Target, and TJX are also set to report earnings soon, with Walmart scheduled to release its results on Thursday.

Key technology stocks experienced declines. Nvidia and Broadcom each dropped approximately 3.5%, while Meta Platforms and Tesla fell more than 2%. Microsoft and Amazon lost about 1.5%, and Apple and Alphabet were each down less than 1%.

Among notable decliners, Palantir Technologies plunged 9%, marking a substantial decline within the S&P 500. Other tech-sector losers included Advanced Micro Devices and Super Micro Computer, each declining more than 5%.

In contrast, Intel shares surged by 7% following news of a $2 billion investment from Japan’s SoftBank Group, with expectations that the U.S. government may also take a stake in the chipmaker. Palo Alto Networks saw a 3% rise after reporting positive earnings and a favorable outlook.

Cryptocurrency-related stocks were under pressure as Bitcoin‘s price slipped to $113,300, down from about $117,000 in previous trading. Companies like Strategy and Coinbase Global saw significant losses amid the decline.

The yield on the 10-year Treasury note stood at 4.31%, a marginal decrease from 4.34% at yesterday’s close. The U.S. dollar index rose slightly to 98.26 after hitting a three-week low on Friday, and West Texas Intermediate crude oil slipped 1.4% to $62.50 per barrel.

Looking ahead to the week’s economic developments, investors are hoping for clarity from Jerome Powell’s upcoming speech regarding monetary policy and interest rates.