Updated: November 6, 2025
Key takeaways
- The Dow Jones Industrial Average fell 0.84% to 46,912.30, the S&P 500 slid 1.12% to 6,720.32, and the Nasdaq Composite dropped 1.90% to 23,053.99 at the close.
- Losses were led by a renewed tech sell‑off and valuation anxiety—even after a few standout earnings beats—while airlines slumped on a sweeping FAA order to cut flights by 10% at 40 major U.S. airports amid the record‑long federal shutdown.
- The Supreme Court’s scrutiny of President Trump’s tariff authority kept trade policy in focus and added to market uncertainty.
- Layoffs surged in October to 153,074 (highest October since 2003), and a Chicago Fed estimate put the unemployment rate at 4.4%—data workarounds investors are leaning on while official releases are delayed by the shutdown.
Market recap: All three indexes retreat
U.S. equities finished broadly lower Thursday with the Dow off 398.70 points (‑0.84%), the S&P 500 down 75.97 points (‑1.12%) and the Nasdaq lower by 445.80 points (‑1.90%). Tech remained the primary drag, snapping the market’s recent winning streak.
Valuation worries across mega‑cap tech overshadowed a handful of strong single‑stock stories, while the government shutdown and policy uncertainties kept risk appetite on a short leash.
What moved the market today
1) Tech‑led risk‑off
A renewed wobble in technology and AI‑linked shares weighed on the tape. Investors continued to debate lofty multiples after weeks of outperformance, even as Datadog (DDOG) ripped higher on results and guidance.
- Datadog topped the S&P 500 after raising its outlook; shares jumped ~22% intraday on AI‑driven demand for cloud security and observability.
2) Shutdown shock reaches the runways
With the federal government shutdown now the longest in U.S. history, the FAA said it will detail a 10% flight‑reduction plan at 40 of the busiest airports—citing safety and staffing strains—further denting sentiment and pressuring airlines.
3) Tariff showdown at the Supreme Court
The U.S. Supreme Court signaled skepticism over the legality of the administration’s sweeping tariffs under the International Emergency Economic Powers Act (IEEPA)—a case with major implications for trade policy and corporate margins. Markets hate uncertainty, and a ruling that forces re‑writes of tariff regimes could ripple through earnings and supply chains.
4) Labor‑market signals without official data
With the Labor Department’s marquee reports delayed, investors leaned on private and regional‑Fed proxies. The Chicago Fed estimated October unemployment at 4.36% (rounded to 4.4%), the highest in four years, and Challenger, Gray & Christmas tallied 153,074 announced October job cuts (up 175% y/y; >1.1 million YTD) — a combination that points to cooling momentum.
Inside the Dow: biggest drags vs. bright spots
- Laggards: Price‑weighted mechanics amplified drops in Salesforce (CRM) and Nvidia (NVDA)—together subtracting well over 100 points from the Dow—while Visa (V) and select consumer names added to the pressure.
- Gainers:IBM (IBM) and Merck (MRK) bucked the sell‑off, with IBM closing up ~1.8% and Merck up ~1.7%, offering defensive ballast inside the 30‑stock average.
Context: Nvidia joined the Dow last year, replacing Intel, and Sherwin‑Williams replaced Dow Inc.—changes that increased the index’s sensitivity to large‑ticket tech and materials names.
Rates, dollar and commodities
Bond buyers stepped in as growth jitters rose: the 10‑year Treasury yield slipped to around 4.09%, while the U.S. dollar eased against major peers. WTI crude and Brent settled fractionally lower.
The Fed: mixed signals in a data fog
Policymakers sent divergent messages. Governor Stephen Miran said he expects a rate cut in December, while Cleveland Fed President Beth Hammack warned policy may be too close to “neutral” given stubborn inflation. Chicago Fed’s Austan Goolsbee likened decision‑making amid missing government data to “driving in the fog,” arguing for caution. Reuters+2Reuters+2
Week‑to‑date and year‑to‑date
The sell‑off knocked the major indexes into weekly losses (S&P and Nasdaq leading), but the market remains up solidly YTD—with the Dow still positive double‑digits for 2025 even after today’s pullback.
What to watch next
- FAA implementation details for the 10% flight‑cut plan—timeline, airport list and duration—are due Friday, with direct read‑throughs for airlines, travel and airports.
- Tariff case developments: any additional indications from justices or the administration could swing trade‑sensitive groups.
- Labor data substitutes: With official employment and inflation prints delayed, markets will keep parsing private trackers and Fed estimates for direction.
Bottom line
A tech‑heavy risk‑off tone, deepening shutdown effects (now touching air travel), and an unusually high‑stakes tariff case combined to sap risk appetite and tug the Dow lower on November 6, 2025. Until policy clarity returns—and with data still patchy—volatility stays the base case even as underlying earnings remain mixed across sectors.
Sources: Reuters market wrap and policy coverage; Associated Press market close; Challenger, Gray & Christmas job‑cut report; Chicago Fed unemployment estimate; MarketWatch component movers; FAA/shutdown reporting.
