US stocks retreat on tech- and tariff-fueled sell-off

Major indexes moved lower in a topsy-turvy session that saw the S&P 500 rebound from early losses only to stumble into the close. The benchmark US stock index fell 0.3%, the Russell 2000 gave back 0.5%, and the Nasdaq 100 slumped 0.6%.

Despite all the tariff headlines swirling, it was energy stocks and tech that performed the worst among S&P 500 sector ETFs.

Old-school US automakers tumbled on the imposition of tariffs, with those that sell a relatively elevated share of imported cars stateside (like General Motors) doing far worse than those with more final assembly completed domestically (like Ford). Some automakers with elevated domestic production and less exposure to imported parts, like Rivian and Tesla, even benefited from their rivals’ woes. And rental car companies Hertz and Avis boomed on the presumption that tariffs would hit auto production or raise prices (perhaps both!), lifting demand for rental cars that can be resold by these firms.

Airlines like American Airlines, Delta Air Lines, and United Airlines all hit the skids amid fresh data showing a precipitous drop-off in cross-border flight bookings between Canada and the US.

GameStop had its worst day since the June livestream hosted by Keith Gill (aka Roaring Kitty) after investors reacted poorly to its convertible note issuance, either facing massive dilution or a destruction in the option value that was assigned to its massive cash pile.

Meanwhile, Dollar Tree’s divestment of Family Dollar continues to be enthusiastically well received by traders, with the stock up double digits to be the S&P 500’s best performer on the day.

SoFi Technologies, a stock beloved by retail traders as of late, slumped.

AMD was a laggard in the semi space after Jefferies flagged a widening performance gap between it and Nvidia.