US stocks drift to a mixed finish as Wall Street closes another week of
modest losses
[June 21, 2025] By
STAN CHOE
NEW YORK (AP) — U.S. stocks drifted to a mixed finish on Friday in a
quiet return to trading following the Juneteenth holiday.
The S&P 500 fell 0.2% to close out a second straight week of modest
losses. The Dow Jones Industrial Average added 35 points, or 0.1%, and
the Nasdaq composite fell 0.5%.
Treasury yields also held relatively steady in the bond market after
President Donald Trump said he will decide within two weeks whether the
U.S. military will get directly involved in Israel’s fighting with Iran.
The window offers the possibility of a negotiated settlement over Iran’s
nuclear program that could avoid increased fighting.
The conflict has sent oil prices yo-yoing over the last week, which has
in turn caused see-saw moves for the U.S. stock market, because of
rising and ebbing fears that the war could disrupt the global flow of
crude. Iran is a major producer of oil and also sits on the narrow
Strait of Hormuz, through which much of the world’s crude passes.
“We’re all waiting on pins and needles to see what happens with the
Israel-Iran situation,” said Brian Jacobsen, chief economist at Annex
Wealth Management. “These types of situations can stress markets, but
often the best way to manage that stress is to just ride through it and
not try to trade it.”
On Wall Street, Kroger rose 9.8% after the grocer reported a better
profit for the latest quarter than Wall Street had forecast. It also
raised its forecast for an underlying measure of revenue for the full
year. But while Chief Financial Officer David Kennerley said it’s seeing
positive momentum, the company is also still seeing an uncertain overall
economic environment.
CarMax climbed 6.6% after the auto dealer reported a stronger profit for
the latest quarter than analysts expected. The company said it sold
nearly 6% more used autos during the quarter than it did a year earlier.
On the losing end of Wall Street was Smith & Wesson Brands, the maker of
guns. It tumbled 19.8% after reporting profit and revenue for the latest
quarter that fell just shy of analysts’ expectations.
Chief Financial Officer Deana McPherson said “persistent inflation, high
interest rates, and uncertainty caused by tariff concerns” have been
hurting sales for firearms, and the company expects demand in its
upcoming fiscal year to be similar to this past year’s, depending on how
inflation and tariffs play out.
[to top of second column] |
The "Fearless Girl" statue stands in front of the New York Stock
Exchange, Wednesday, June 18, 2025, in New York. (AP Photo/Yuki
Iwamura)
All told, the S&P 500 fell 13.03 points to 5,967.84. The Dow Jones
Industrial Average rose 35.16 to 42,206.82, and the Nasdaq composite
fell 98.86 to 19,447.41.
A spate of companies has been adjusting or even withdrawing their
financial forecasts for 2025 because of all the uncertainty that tariffs
are creating for customers and for suppliers. Everyone is waiting to see
whether Trump will reach trade deals with other countries that could
lower his tariffs on imports, many of which are currently on pause.
It’s not just corporate America that’s waiting. The Federal Reserve has
been keeping its main interest rate on hold this year, with its latest
such decision coming earlier this week, because it wants to see more
data about how much tariffs will grind down on the economy and push up
inflation.
In the bond market, Treasury yields held relatively stable. The yield on
the 10-year Treasury edged down to 4.37% from 4.38% late Wednesday. The
two-year yield, which more closely tracks expectations for what the Fed
will do, fell to 3.90% from 3.94%.
In stock markets abroad, indexes were mixed across Europe and Asia.
Tokyo’s Nikkei 225 index slipped 0.2% after Japan reported that its core
inflation rate, excluding volatile food prices, rose to 3.7% in May,
adding to challenges for Prime Minister Shigeru Ishiba’s government and
the central bank.
___
AP Writer Teresa Cerojano contributed.
All contents © copyright 2025 Associated Press. All rights reserved
 |
