Morning Business Report: Wall Street tumbles as Walmart warns of slowing consumer spending
Wall Street took a beating Thursday, posting its worst day in three weeks as rising oil prices, higher Treasury yields and new concerns about American consumers rattled investors.
(LILAMAX)- Wall Street took a beating Thursday, posting its worst day in three weeks as rising oil prices, higher Treasury yields and new concerns about American consumers rattled investors.
The Dow plunged 703 points, while the S&P 500 dropped 66 points and the Nasdaq lost 263.
Walmart, often viewed as a key indicator of the health of the U.S. consumer, added to those economic concerns.
The retailer reported its slowest comparable-sales growth in six years, along with decreased customer traffic and lower average spending per trip.
Walmart shares plunged about 10% following the results, marking the company’s worst trading day since 2022.
John Deere moved in the opposite direction, with shares jumping nearly 9% after the company raised its 2026 profit outlook.
Much of Deere’s strength is coming from its construction business rather than agriculture. The company reported an 18% increase in construction sales as the rapid expansion of artificial intelligence data centers across the United States drives demand for heavy equipment.
Deere now believes 2026 could represent the bottom of the agricultural equipment cycle.
Meanwhile, Starbucks is telling some corporate employees they will need to relocate to Tennessee or leave the company.
The coffee giant is cutting corporate positions for employees who decline to move from Seattle to Nashville as part of its cost-reduction efforts.
Starbucks is investing $100 million in a new Nashville corporate office expected to house about 2,000 workers.
