Wall Street Indexes Extend Two-Day Losses Ahead of Rate Decisions

Barry Adams
06 May, 2025
New York City

Stock market indexes in New York decreased for the second session in a row amid import tax uncertainty. 

The S&P 500 index decreased 0.1%, and the Nasdaq Composite declined 0.3%, as investors awaited the Federal Reserve's rate decisions. 

The Federal Open Market Committee started its two-day meeting on Tuesday, and policymakers are widely expected to hold rates steady on Wednesday. 

The uncertainty surrounding the U.S. trade policy weighed on the market sentiment, and the S&P 500 index halted its 9-day rally on Monday. 

The longest rally in 20 years came to a halt after the U.S. president unilaterally slapped a 100% tariff on foreign-made movies. 

The unexpected announcement shocked the industry executives and confused investors, as the Trump administration provided few details about the scope and timetable for import tax implementation. 

 

Commodities, Currencies, Indexes, Yields

The S&P 500 index decreased 1.1% to 5,588.45, the Nasdaq Composite edged down 1.3% to 17,613.27, and the Russell 2000 index was down 0.9% to 1,986.87.

The yield on 2-year Treasury notes edged lower to 3.80%, 10-year Treasury notes increased to 4.35%, and 30-year Treasury bonds advanced to 4.85%.

WTI crude oil increased $2.12 to $59.22 a barrel, and natural gas prices edged higher by $0.05 to $3.60 a thermal unit.

Gold increased by $60.84 to 3,395.30 an ounce, and silver edged up by $0.69 to $33.20.

The dollar index, which weighs the US currency against a basket of foreign currencies, decreased by 0.30 to 99.53, and it traded at the lowest level since April 2022.

 

U.S. Stock Movers 

Mattel Inc. decreased 0.6% to $16.11 after the company withdrew its 2025 full-year outlook because of tariff uncertainty. 

Meanwhile, the company's first-quarter results surpassed market expectations. 

Palantir Technologies dropped 7.4% to $114.60 after the big data analysis software company reported quarterly results that met investor expectations. 

However, the company's 2025 sales revision fell short of some  investor  expectations. 

Ferrari N.V. declined 0.5% to $464.0 despite the luxury sports vehicle maker reporting a 17% jump in first-quarter earnings. 

The company warned that U.S. tariffs on imported cars from the European Union could negatively impact the automaker's profitability in 2025. 

DoorDash Inc. fell 5.5% to $194.0 after the food delivery company reported weaker-than-anticipated revenue in the first quarter.

Revenue was $3.09 billion, net income swung to a profit of $193 million from a net loss of $23 million, and diluted earnings per share were a profit of 44 cents compared to a loss of 6 cents a year ago. 

The food delivery company also announced an acquisition of SevenRooms, a New York City-based online booking platform for hotels and restaurants.