After a brief bout of market optimism, Wall Street has shifted back into a more cautious stance. U.S. stock futures slipped and bond prices climbed on Thursday morning, signaling investor concern that the ongoing trade tensions—particularly the Trump administration’s shifting stance on tariffs—may inflict lasting damage on the American economy.
Let’s break down the big movers and shakers driving today’s market narrative:
CarMax Takes a Hit
Used car giant CarMax saw its shares plunge by 7.7% after posting underwhelming fiscal Q4 earnings. The company reported earnings per share of 58 cents, falling short of analyst expectations of 65 cents, according to LSEG. The results disappointed investors hoping for stronger signs of momentum in the used car market.
U.S. Steel Slides on Trump Comments
U.S. Steel shares fell a steep 10.2% following President Trump’s remarks expressing opposition to the company’s acquisition by Japan’s Nippon Steel. The president’s comments cast doubt over the deal’s prospects, stirring political and investor uncertainty.
Tech Titans Tumble After a Hot Streak
The so-called “Magnificent Seven” megacap tech stocks gave back some of their recent gains after Trump paused certain reciprocal tariffs, muddying the waters for multinational revenue expectations.
- Tesla led the tech retreat, sliding over 3% after multiple Wall Street firms slashed price targets.
- Nvidia also dipped more than 3%, after a monster 18% gain in the previous session.
- Apple dropped 3%, while Meta and Microsoft both slipped more than 1%.
Legacy Automakers Reverse Course
The auto sector, which enjoyed a turbocharged rally on Wednesday, saw a sharp reversal. Given the vulnerability of their global operations to tariff risks, U.S. automakers were hit hard:
- Stellantis fell more than 8% after its impressive 18% surge a day earlier.
- Ford and General Motors both lost around 3% in premarket trading.
Bank Stocks Cool Off
The financial sector also saw a pullback as markets digested the prior session’s rally.
- Goldman Sachs and Citigroup both fell more than 2%.
- Wells Fargo, JPMorgan, and Bank of America each dropped over 1%.
Airlines Descend After Soaring
After leading Wednesday’s rally, airline stocks gave up ground:
- Delta Air Lines, which had topped the S&P 500 during the previous session, fell more than 3%.
- United Airlines followed suit with a similar decline.
- Southwest Airlines ticked slightly lower after Wednesday’s massive 15% jump.
Danaher Bucks the Trend
On a more positive note, Danaher shares rose 0.8% after Barclays upgraded the life sciences firm to “overweight” from “equal weight.” Analysts highlighted the company’s strength in diagnostics and bioprocessing, seeing it as a bright spot amid broader industry weakness.
The market’s mood swing is a reminder that geopolitical tensions and policy shifts continue to inject volatility into U.S. equities. As investors search for clarity on the trajectory of tariffs and trade, expect continued chop across sectors—especially those with heavy international exposure.
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