s&p 500 Declines 0.4% Amid Fed Uncertainty; Solar Stocks Plummet After Trump's Remarks

Major U.S. equity indexes faced a downturn as anticipation built around Federal Reserve Chair Jerome Powell's upcoming remarks, highlighting a period of prevailing uncertainty. The S&P 500 recorded a decrease of 0.4%, marking its fifth consecutive day of losses. Alongside, the Dow Jones and the Nasdaq experienced declines of 0.3%.

Within the S&P 500, First Solar witnessed a significant drop, plummeting 7%. This came after a statement from Trump regarding the disapproval of solar and wind projects due to cited high electricity costs in states utilizing these renewable technologies. Other solar companies mirrored this trend, with Sunrun, Enphase Energy, and SolarEdge also seeing declines.

Walmart experienced a notable 5% reduction in share value. The retail leader reported quarterly profits that fell short of analysts' predictions, despite a near 5% rise in revenue year-over-year and a 4.3% rise in comparable store sales. Noteworthy was an over 8% fall in operating income, although Walmart adjusted its full fiscal year outlook positively.

Allstate's shares fell by 3.3% after detailing catastrophe losses amounting to $184 million before taxes for July 2025, which were attributed to multiple wind and hail events. In contrast, Paramount Skydance saw an impressive surge of over 14%, following its recent acquisition of programming rights to the UFC, demonstrating characteristics of a "meme stock."

Packaging Corp of America and Smurfit WestRock experienced stock increases of over 6% and 4%, respectively. This movement coincided with International Paper’s announcement of strategic changes, including plant closures, anticipated to reduce paper material supply, hence potentially elevating pricing in the packaging sector. International Paper itself gained around 2%.

Hewlett Packard Enterprise rose by 3.7% following a notable upgrade by Morgan Stanley—raised to an "overweight" rating from "equal-weight" due to perceived growth prospects in the company’s AI and other product segments.

Nordson's shares increased 3% thanks to surpassing sales predictions and issuing optimistic guidance, particularly due to its medical and fluid solutions unit. The adhesives manufacturer also revealed a proposed $500 million stock buyback.

Dayforce also witnessed a positive movement, with shares climbing 2.4% in continuation of its upward trend, driven by the news of Thoma Bravo's acquisition offer, valuing the human resources software provider at $12.3 billion.

As the Federal Reserve engages in balancing economic indicators, investors remain tuned to forthcoming earnings reports from notable retailers, a shift that reflects the varied impacts on distinct sectors within the market.