{"id":19490,"date":"2025-07-24T21:35:07","date_gmt":"2025-07-24T21:35:07","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/19490\/"},"modified":"2025-07-24T21:35:07","modified_gmt":"2025-07-24T21:35:07","slug":"a-rally-for-alphabet-helps-offset-teslas-tumble-and-nudges-wall-street-to-more-records","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/19490\/","title":{"rendered":"A rally for Alphabet helps offset Tesla’s tumble and nudges Wall Street to more records"},"content":{"rendered":"

NEW YORK (AP) \u2014 Wall Street inched to more records<\/a> on Thursday as gains for Alphabet<\/a> and artificial-intelligence stocks helped make up for Tesla<\/a> \u2019s steep tumble.<\/p>\n

The S&P 500 added 0.1% to its all-time high set the day before. The Dow Jones Industrial Average fell 316 points, or 0.7%, while the Nasdaq composite rose 0.2% to its own record. <\/p>\n

Alphabet climbed 1% after the company behind Google and YouTube delivered a fatter profit for the latest quarter than analysts expected. It\u2019s leaning more into artificial-intelligence technology and said it\u2019s increasing its budget to spend on AI chips and other investments this year by $10 billion to $85 billion.<\/p>\n

That helped push up other stocks in the AI industry, including a 1.7% rise for Nvidia. The chip company was the strongest single force lifting the S&P 500 because it\u2019s the largest on Wall Street in terms of value.<\/p>\n

<\/p>\n

\n AP AUDIO: Tesla tumbles and Alphabet rises to keep Wall Street near its records\n <\/p>\n

The AP\u2019s Seth Sutel reports stocks are off to a mixed start.<\/p>\n

But an 8.2% drop for Tesla <\/a> kept the market in check. Elon Musk\u2019s electric-vehicle company reported results for the spring that were roughly in line with or above analysts\u2019 expectations, and Musk is trying to highlight Tesla\u2019s moves into AI and robotaxis. <\/p>\n

The focus, though, remains on how Musk\u2019s foray into politics is turning off potential customers, and he said several rough quarters may be ahead as \u201cwe\u2019re in this weird transition period where we\u2019ll lose a lot of incentives in the U.S.\u201d <\/p>\n

Stocks have broadly been rallying for weeks on hopes that President Donald Trump will reach trade deals with other countries that will lower his stiff proposed tariffs, along with the risk that they could cause a recession and drive up inflation. The record-setting gains have been so strong that criticism is rising about how expensive stock prices have become. That in turn puts pressure on companies to deliver solid growth in profits in order to justify their gains. <\/p>\n

Chipotle Mexican Grill also helped weigh on the market despite delivering a profit for the spring that topped analysts\u2019 expectations. The restaurant chain\u2019s growth in revenue came up short of expectations, and its stock fell 13.3%.<\/p>\n

IBM dropped 7.6% even though it likewise reported a stronger profit than expected. Analysts pointed to slowing growth in its software business, among other things underneath the surface.<\/p>\n

American Airlines lost 9.6% despite reporting a stronger profit than expected. The company said it expects to report a loss for the summer quarter. It also gave a forecast for full-year results that had a wide range: between a loss of 20 cents per share and a profit of 80 cents per share, depending on how the economy performs. <\/p>\n

Reactions in the stock market have generally been stronger than usual when companies beat or miss their profit targets by a wide margin, according to Julian Emanuel at Evercore. <\/p>\n

Other extreme moves have also been roaring underneath the market\u2019s surface, including huge swings for \u201cmeme stocks.\u201d Those are stocks where traders are looking to jump in amid online cheerleading and ride it higher, before a halt in momentum leaves some investors holding the bag.<\/p>\n

Opendoor Technologies rose 5.7% following a manic stretch where it swung by at least 10%, up or down, in 10 straight days.<\/p>\n

Such swings, though, haven\u2019t been showing up in overall market indexes, which have been gliding recently. The S&P 500 hasn\u2019t had a day where it moved by at least 1% in a month. <\/p>\n

All told, the S&P 500 rose 4.44 points to 6,363.35. The Dow Jones Industrial Average fell 316.38 to 44,693.91, and the Nasdaq composite rose 37.94 to 21,057.96.<\/p>\n

In the bond market, Treasury yields held relatively steady following the latest signals that the U.S. economy seems to be holding up OK despite pressures from tariffs and elsewhere. <\/p>\n

One report said that fewer U.S. workers applied for unemployment benefits <\/a> last week, a potential signal of easing layoffs. A separate report from S&P Global suggested growth in U.S. business activity accelerated in July, and the preliminary results easily topped economists\u2019 expectations.<\/p>\n

That helped solidify expectations on Wall Street that the Federal Reserve will hold interest rates steady at its next meeting next week, even though Trump has been agitating angrily for cuts. The European Central Bank, which had earlier been cutting its rates, also held steady <\/a> on Thursday as it waits to see how Trump\u2019s tariffs affect the economy. <\/p>\n

The yield on the 10-year U.S. Treasury note briefly approached 4.44% in the morning before pulling back to 4.40%, where it was late Wednesday.<\/p>\n

In stock markets abroad, indexes rose across much of Asia and Europe. Tokyo\u2019s jump of 1.6% and London\u2019s rise of 0.8% were two of the bigger gains. <\/p>\n

___<\/p>\n

AP Writer Teresa Cerojano contributed. <\/p>\n","protected":false},"excerpt":{"rendered":"NEW YORK (AP) \u2014 Wall Street inched to more records on Thursday as gains for Alphabet and artificial-intelligence…\n","protected":false},"author":2,"featured_media":19491,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12],"tags":[254,64,63,99,20397,2490,20395,164,3120,5929,5927,482,795,6147,18320,20398,171,5063,20396,5928,3122,1346],"class_list":["post-19490","post","type-post","status-publish","format-standard","has-post-thumbnail","category-markets","tag-artificial-intelligence","tag-au","tag-australia","tag-business","tag-chipotle-mexican-grill","tag-donald-trump","tag-economic-policy","tag-economy","tag-elon-musk","tag-federal-reserve-system","tag-financial-markets","tag-general-news","tag-inc","tag-information-technology","tag-international-business-machines-corp","tag-julian-emanuel","tag-markets","tag-nvidia-corp","tag-opendoor-technologies","tag-stocks-and-bonds","tag-tesla","tag-world-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/19490","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=19490"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/19490\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/19491"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=19490"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=19490"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=19490"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}