S&P 500 and Nasdaq Turn Lower After Retail Sales Report and Walmart Earnings

Barry Adams
15 May, 2025
New York City

Wall Street indexes struggled to rise above the flatline in early trading in New York, and investors reviewed the latest batch of earnings. 

The S&P 500 index edged down 0.1%, and the Nasdaq Composite decreased 0.2%, and the tech-heavy index extended gains for the sixth session in a row as of the close of Wednesday. 

On the economic front, investors reviewed the latest update on producer price inflation and retail sales. 

 

Retail and Food Services Sales Advanced in April

Retail and food services sales adjusted for seasonal variations but not for price fluctuations increased 0.1% to $724.1 billion, the U.S. Census Bureau reported Thursday. 

On an annual basis, retail sales advanced 5.2% from a year ago, reflecting higher prices at restaurants and bars. 

However, sales excluding food services, auto dealers, building materials stores, and gasoline stations, which are used to calculate GDP, decreased 0.2%, lower than the upwardly revised 0.5% increase in March.

 

Producer Price Index In April Falls for First Time In 7 Months 

The seasonally adjusted producer price index decreased 0.5% from the previous month in April, following a revised flat reading in March, the U.S. Bureau of Labor Statistics reported Thursday. 

On an unadjusted basis, the measure of producer price inflation advanced 2.4%. 

The monthly measure of inflation declined for the first time since October and fell at the fastest pace since April 2020, during the early outbreak of the Covid-19 pandemic. 

The goods price index was unchanged, but the service price index fell 0.7%, the largest decline since record keeping began in December 2009. 

The producer prices of less food, energy, and trade services edged down 0.1% in April, the first decline since falling 0.8% in April 2020. 

For the 12 months ended April 2025, the index for final demand less foods, energy, and trade services advanced 2.9%.

 

U.S. Stock Movers 

Cisco Systems advanced 3.2% to $62.76 after the networking gear company reported better-than-expected fiscal third quarter adjusted earnings of 96 cents per share and revenue of $14.2 billion. 

Foot Locker jumped 83% to $23.56 after the specialty retailer was reportedly in merger talks with Dick's Sporting Goods for $2.3 billion, or about $24 per share. 

Boot Barn Holdings jumped 12% to $150.12 after the apparel and accessories retailer reported strong sales and earnings growth. 

Same-store sales in the quarter increased 6%, driven by an in-store sales rise of 5.5% and an e-commerce sales increase of 9.8%. 

Walmart decreased 0.03% to $96.79 after the retailer reported a decline in earnings in the fiscal first quarter and the company reiterated its annual sales and earnings outlook. 

I’m concerned that consumers are going to start seeing higher prices. You’ll begin to see that, likely towards the tail end of this month, and then certainly much more in June,” Chief Financial Officer John David Rainey said in an interview with CNBC. 

The company estimated fiscal second quarter sales to increase between 3.5% and 4.5% and did not provide any indication of earnings and earnings per share because of constantly changing U.S. tariff rates. 

Revenue increased 2.5% to $161.51 billion, net income decreased to $4.49 billion from $5.1 billion, and diluted earnings per share fell to 56 cents from 63 cents a year ago. 

Alibaba Group declined 4.4% to 128.25 after the China-based e-commerce company reported a 7% increase in revenue and earnings soared 279%, largely reflecting changes in equity valuations of its holdings.