Stocks fell sharply on Thursday after Walmart issued a warning that inflation and tariffs could slow sales growth in 2024, raising concerns about consumer spending and economic uncertainty. The Dow Jones Industrial Average plunged more than 650 points before closing down 451 points (-1.5%), while the S&P 500 and Nasdaq Composite fell 0.43% and 0.47%, respectively.
Walmart’s Warning Sparks Market Selloff
- Walmart shares tumbled more than 6.5%, dragging down the broader retail sector.
- The company’s chief financial officer cited “uncertainties related to consumer behavior and global economic and geopolitical conditions.”
- Investors fear rising costs from tariffs and inflation could further strain consumer spending.
Public Concern Over Inflation and Economic Policy
A new CNN poll reveals that 62% of U.S. adults believe President Donald Trump has not done enough to reduce the price of everyday goods, underscoring growing frustration with economic challenges.
What’s Next for the Markets?
With Wall Street reacting to inflation fears and tariff uncertainty, analysts warn that consumer spending trends and upcoming economic data will be key indicators of where the market heads next. As the Federal Reserve assesses its next moves, investors remain on edge amid rising economic and geopolitical risks.
