Most US stocks rise, but drops for tech pull Wall Street lower
[July 02, 2026] By
STAN CHOE
NEW YORK (AP) — Most of Wall Street rose Wednesday, but drops for some
influential technology stocks pulled the market lower.
The S&P 500 slipped 0.2% for its eighth loss in 11 days. The Dow Jones
Industrial Average dipped 13 points, or less than 0.1%, and the Nasdaq
composite fell 0.7%.
General Mills helped lead the market and climbed 8.5% after the company
behind the Cheerios and Progresso brands reported better results for the
latest quarter than analysts expected. It also announced a plan to cut
$3 billion in costs over four years.
Three out of every five stocks within the S&P 500 likewise climbed, and
the index trimmed an early drop of 0.7% after a report said U.S.
manufacturing grew last month at a slightly slower speed than economists
expected. The survey from the Institute for Supply Management also said
prices were increasing at a slower pace.
The data could take some upward pressure off inflation, which in turn
could make the Federal Reserve less likely to raise interest rates
multiple times this year. Following the report, the yield on the 10-year
Treasury pulled back from a peak near 4.50% in the morning and fell to
4.47%.
That offered some relief because higher yields make it more expensive
for businesses and households to borrow money and in turn can slow the
economy. Higher yields also tend to undercut prices for stocks and other
investments. Yields have been on the rise since the war with Iran began
because of worries about high inflation caused by expensive oil.
The heaviest weights on the market were stocks that had soared earlier
in the euphoria around artificial-intelligence technology, including
drops of 10.6% for Micron Technology, 6.9% for for Advanced Micro
Devices and 1.3% for Nvidia.
Such stocks have been zigzagging in recent weeks because of worries that
they had become too expensive. They also have big influence on the S&P
500 and other indexes because they’ve grown so huge in size.
Kroger swung from an early loss to a gain of 1.3% after the grocer said
it agreed to buy Giant Eagle for $1.25 billion in cash. It will also
take on $400 million in liabilities to buy the food and pharmacy
retailer with stores stretching from Indiana to Maryland.
Nike also flipped an initial loss and rose 4.9% after reporting stronger
results for the latest quarter than analysts expected. The athletic-gear
giant is in the midst of a turnaround attempt by CEO Elliott Hill, and
he said it’s still facing headwinds dragging on its revenue.
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Specialist Patrick King, left, and trader Mark Puetzer work on the
floor of the New York Stock Exchange, Friday, June 26, 2026. (AP
Photo/Richard Drew)
 All told, the S&P 500 slipped 16.13
points to 7,483.23. The Dow Jones Industrial Average dropped 13.96
to 52,305.24, and the Nasdaq composite fell 173.69 to 26,040.03.
Gold’s price recovered from an early to rise. It briefly sank below
$3,980 per ounce overnight, down from more than $5,300 per ounce
early this year. When Treasurys pay more in interest, investors
become less willing to pay high prices for investments. That
includes gold, which pays its holders nothing.
But the weaker-than-expected manufacturing report and ensuing easing
of Treasury yields sent gold back up 1.1% to settle at $4,082.40 per
ounce.
In the oil market, prices sank as hope remains that the United
States and Iran may ultimately end their war and reopen the Strait
of Hormuz to oil tankers delivering crude. The price for a barrel of
Brent crude, the international standard, fell 1.9% to $71.57.
In stock markets abroad, indexes were mixed in Europe and Asia.
South Korea’s Kospi fell 2% for one of the world’s biggest moves.
It’s been one of the world’s brightest stars thanks to euphoria
around SK Hynix and other AI stocks, and the index is still up 97%
for the year so far.
In Tokyo, the Nikkei 225 rose 0.6% after the Japanese yen fell to a
40-year low against the U.S. dollar.
___
AP Business Writer Yuri Kageyama contributed to this report.
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