NEW YORK, July 1, 2026, 17:02 EDT
- Regular trading closed at the dateline time, with after-hours still open.
- S&P 500 slipped 0.22%, Nasdaq dropped 0.66%, and the Dow edged down 0.03%.
- About 60% of S&P 500 stocks ended higher, but the big chipmakers tied to AI pulled the overall index down.
- Investors are waiting for Thursday’s payrolls numbers, which are up next for the rate outlook. U.S. markets will be closed Friday for the Independence Day holiday.
U.S. stocks closed a bit lower Wednesday, but after-hours action told a different story. Most S&P 500 names traded higher even as AI-linked stocks dropped. As of 17:02 EDT, the main session had wrapped and after-hours was underway. Nasdaq’s regular hours run from 9:30 a.m. to 4 p.m. ET, with after-hours from 4 p.m. to 8 p.m. ET.
The S&P 500 slipped 16.13 points, or 0.22%, closing at 7,483.23. The Nasdaq Composite dropped 173.69 points, down 0.66%, to 26,040.03. The Dow Jones Industrial Average gave up 13.96 points, or 0.03%, ending at 52,305.24, LSEG figures showed, as reported by Reuters.
| Index | Close | Point move | Percent move |
|---|---|---|---|
| S&P 500 | 7,483.23 | -16.13 | -0.22% |
| Nasdaq Composite | 26,040.03 | -173.69 | -0.66% |
| Dow Jones Industrial Average | 52,305.24 | -13.96 | -0.03% |
Market breadth looked stronger. AP said three out of five S&P 500 names moved up, even though the index itself posted its eighth decline in 11 sessions. That’s key for investors, since cap-weighted measures can drop if a handful of huge AI stocks slip, even as most shares advance.
ETF prints after the bell kept the split tone. The SPDR S&P 500 ETF Trust (NYSEARCA:SPY) slipped 0.12%. The Invesco S&P 500 Equal Weight ETF (NYSEARCA:RSP) added 0.30%. The Invesco QQQ Trust NASDAQ:QQQ dropped 1.51%. VanEck Semiconductor ETF (NASDAQ:SMH) fell 5.43%.
| After-bell mark | Last | Change vs prior close | Read |
|---|---|---|---|
| SPDR S&P 500 ETF Trust (NYSEARCA:SPY) | $745.76 | -0.12% | S&P 500 ETF edged down |
| Invesco S&P 500 Equal Weight ETF (NYSEARCA:RSP) | $213.41 | +0.30% | Equal-weight ended higher |
| Invesco QQQ Trust NASDAQ:QQQ | $725.17 | -1.51% | Losses in growth heavyweights |
| VanEck Semiconductor ETF (NASDAQ:SMH) | $620.46 | -5.43% | Semis sold off hardest |
AI stocks dropped more than the broader market. Micron Technology NASDAQ:MU slid 10.36% to $1,032.28, while Advanced Micro Devices NASDAQ:AMD fell 6.89% to $540.88 and Nvidia NASDAQ:NVDA slipped 1.27% to $197.58. Meta Platforms NASDAQ:META gained 8.83% to $612.91 after reports it is setting up a cloud business to offer extra AI computing capacity.
| Stock | Last mark | Change vs prior close | Main driver |
|---|---|---|---|
| Meta Platforms NASDAQ:META | $612.91 | up 8.83% | AI cloud report lifts shares |
| Micron Technology NASDAQ:MU | $1,032.28 | down 10.36% | chip stocks reverse |
| Advanced Micro Devices NASDAQ:AMD | $540.88 | off 6.89% | AI hardware selling |
| Nvidia NASDAQ:NVDA | $197.58 | down 1.27% | chip giant faces pressure |
| CoreWeave NASDAQ:CRWV | $85.69 | falls 13.92% | Meta’s cloud poses threat |
| Nebius Group NASDAQ:NBIS | $229.18 | sinks 17.02% | Neocloud linked risk |
| General Mills NYSE:GIS | $37.77 | up 8.68% | cost cuts and Q4 beat boost stock |
| Nike NYSE:NKE | $43.06 | rises 5.07% | turnaround talk helps |
| Kroger NYSE:KR | $56.24 | up 1.28% | Giant Eagle tie-up |
The Meta report weighed on smaller AI cloud stocks. Reuters reported that CoreWeave and Nebius dropped as traders worried Meta might cut spending with those companies and step up as a rival. Gil Luria at D.A. Davidson said, “more likely to be on neoclouds than the big hyperscalers.” Reuters
Factory numbers took some pressure off rates but weren’t enough to lift the Nasdaq on the day. The ISM manufacturing PMI slipped to 53.3 for June from 54.0 in May, and prices paid dropped to 73.0 from 82.1. “The manufacturing sector still seems to be in relatively good health,” said Oliver Allen, senior U.S. economist at Pantheon Macroeconomics. Reuters
Fed Chair Kevin Warsh left the rate hike question open. He said the Fed will hold to its 2% inflation target, warning that people looking for higher inflation tolerance “would be disappointed.” Traders priced in a 70% chance of a rate hike in September after his comments, Reuters said. Reuters
General Mills shares climbed after the company reported a 1% rise in fourth-quarter net sales to $4.6 billion, with adjusted diluted EPS up 27% in constant currency. The company is aiming for $3 billion in total cost savings through fiscal 2030. CEO Jeff Harmening said the company is “laser focused on increasing our efficiency.” Business Wire
Kroger rose after it said it would buy Giant Eagle for $1.65 billion. The deal includes $1.25 billion in cash and about $400 million in assumed debt. Kroger CEO Greg Foran called it a “strategic fit.” Consumer Edge analyst Michael Gunther said the deal lands at a “challenging time for traditional grocers,” as shoppers keep shifting to cheaper stores. Reuters
Nike gained, brushing off a 17% drop in China sales and company guidance for lower revenue in the first half of fiscal 2027. Telsey’s Cristina Fernandez said the Nike turnaround is moving slowly. Steve Sosnick at Interactive Brokers said there was “more good news in the Nike quarter than there is bad news.” Reuters
The jobs report out Thursday is in sharper focus after the split finish and Warsh’s comments. Reuters said U.S. markets will be shut Friday for the Fourth of July.
