U.S. Stocks End Mixed; Dow Sets Another Record
U.S. stocks finished mixed on Wednesday, Aug. 5, with the Dow Jones Industrial Average closing at another record high. The S&P 500 ended a four-session winning streak. The Dow rose 263.24 points, or 0.49%, to 54,349.12. The Nasdaq Composite fell 221.55 points, or 0.83%, to 26,363.44. The S&P 500 declined 12.97 points, or 0.17%, to 7,723.55. The S&P 500 briefly reached a record high Wednesday morning. The Dow was lifted by strong corporate earnings and a 3.4% gain in Nvidia, and the index posted its fifth consecutive daily advance. Nvidia, a Dow component, closed 3.4% higher after Elon Musk said SpaceX would use only Nvidia processors when it builds artificial-intelligence computing infrastructure in the future. During a SpaceX earnings call, Musk said Nvidia had “the best AI computers,” adding, “We only select Nvidia.” SpaceX shares, however, fell 13.6% after the rocket company released its first quarterly report since listing in June. SpaceX said its capital expenditures surged sixfold to $18.4 billion in the second quarter, above analysts’ expectations, with most of the spending directed toward artificial intelligence. Two other companies also underperformed. One unnamed company fell more than 7% after reporting adjusted earnings per share that were only slightly above Wall Street expectations. Alphabet, a member of the so-called “Magnificent Seven,” fell 4% after saying it was restructuring its AI division. Chief Scientist Jeff Dean is leaving the company after 27 years. Wall Street had posted a strong performance in the previous session, when the S&P 500 closed above 7,700 for the first time and the Dow also set a closing record. “Animal spirits seem to have really returned,” said Ross Mayfield, an investment strategist at Baird. He added that the magnitude of market volatility over the past few days was “quite rare historically.” On Tuesday, the three major indexes recorded their best four-session performance since April 2025. Markets were also supported this week by expectations that an agreement could be reached to reopen the Strait of Hormuz in the Middle East. Oil prices were steady Wednesday after Treasury Secretary Scott Bessent said Tuesday that the United States and Iran might be close to an agreement to reopen the strait. West Texas Intermediate crude futures for September delivery edged lower to about $74 a barrel. Brent crude, the international benchmark, traded at about $79 a barrel for October delivery.
The Dow rose 263.24 points, or 0.49%, to 54,349.12. The Nasdaq Composite fell 221.55 points, or 0.83%, to 26,363.44. The S&P 500 declined 12.97 points, or 0.17%, to 7,723.55.
The S&P 500 briefly reached a record high Wednesday morning. The Dow was lifted by strong corporate earnings and a 3.4% gain in Nvidia, and the index posted its fifth consecutive daily advance.
Nvidia, a Dow component, closed 3.4% higher after Elon Musk said SpaceX would use only Nvidia processors when it builds artificial-intelligence computing infrastructure in the future. During a SpaceX earnings call, Musk said Nvidia had “the best AI computers,” adding, “We only select Nvidia.”
SpaceX shares, however, fell 13.6% after the rocket company released its first quarterly report since listing in June. SpaceX said its capital expenditures surged sixfold to $18.4 billion in the second quarter, above analysts’ expectations, with most of the spending directed toward artificial intelligence.
Two other companies also underperformed. One unnamed company fell more than 7% after reporting adjusted earnings per share that were only slightly above Wall Street expectations. Alphabet, a member of the so-called “Magnificent Seven,” fell 4% after saying it was restructuring its AI division. Chief Scientist Jeff Dean is leaving the company after 27 years.
Wall Street had posted a strong performance in the previous session, when the S&P 500 closed above 7,700 for the first time and the Dow also set a closing record.
“Animal spirits seem to have really returned,” said Ross Mayfield, an investment strategist at Baird. He added that the magnitude of market volatility over the past few days was “quite rare historically.” On Tuesday, the three major indexes recorded their best four-session performance since April 2025.
Markets were also supported this week by expectations that an agreement could be reached to reopen the Strait of Hormuz in the Middle East.
Oil prices were steady Wednesday after Treasury Secretary Scott Bessent said Tuesday that the United States and Iran might be close to an agreement to reopen the strait. West Texas Intermediate crude futures for September delivery edged lower to about $74 a barrel. Brent crude, the international benchmark, traded at about $79 a barrel for October delivery.