Wall Street opened August with mixed performance. At 13:16 ET the S&P 500 inched up 0.1% to 7,740.30 points, the Dow Jones Industrial Average added 0.8% to 54,529.69 points, while the Nasdaq Composite fell 0.4% to 26,480.25 points after earlier gains of up to 0.6%.
The market’s resilience was underpinned by a strong earnings season and a rotation into non‑technology sectors, but was tempered by a muted reaction to SpaceX and Advanced Micro Devices (AMD) results. SpaceX, Elon Musk’s rocket company, reported its first quarterly earnings as a listed entity, posting revenue that exceeded expectations and a narrower loss than analysts had forecast. Despite the beat, the stock slipped 10.3% as analysts highlighted heavy AI‑infrastructure spending that pressured free‑cash‑flow. Musk announced on the earnings call an ambition to reach $1 trillion in revenue by 2030 and hinted that SpaceX could begin launching data‑center modules into orbit as early as next year.
AMD delivered a top‑ and bottom‑line beat and issued current‑quarter revenue guidance above consensus, yet the shares fell 6.3% as investors had anticipated a larger catalyst to justify the stock’s more than 140% year‑to‑date advance. The chip maker also faced headwinds after Musk indicated that SpaceX would cease purchasing AMD processors, opting instead for Nvidia’s architecture, which helped Nvidia’s shares rise 4.5%.
In other earnings, Amgen’s quarterly product sales grew 9% year‑over‑year, driven by strong demand for its cholesterol drug Repatha, lifting the stock 3.5% and making it one of the top gainers on the Dow. The Walt Disney Company missed revenue estimates but posted a profit beat and announced an increased share‑buyback target, resulting in a 2.4% rise on the Dow.
Macro data showed U.S. private payrolls adding 44,000 jobs in July, well below the 68,000 estimate and down from the 95,000 jobs added in June. The Institute for Supply Management’s services PMI edged up to 54.1 in July from 54.0 in June, slightly under the 54.5 forecast, while the services‑sector prices index stayed above 70 for the fourth time in five months, indicating persistent inflationary pressure.
Oil prices fell amid a volatile session following reports of attacks on Saudi vessels by Iran‑backed Houthis in Yemen and optimism surrounding a possible diplomatic resolution to the Strait of Hormuz dispute. U.S. President Donald Trump said a deal to reopen the strait could be known within 48 hours, while Iran’s foreign ministry confirmed ongoing talks with Oman and a joint statement pending final review.
The artificial‑intelligence trade rebounded after a two‑month slump. The Philadelphia Semiconductor Index climbed 16.6% since Microsoft’s blow‑out quarterly results, which also marked the first time the tech giant announced it would not raise its spending plans. Nvidia benefited from SpaceX’s shift away from AMD, rising 4.5%.
Overall, the market’s mixed direction reflects strong earnings fundamentals, a rotation into broader sectors, and lingering uncertainty around geopolitical developments and inflation dynamics.