Market Turmoil as Walmart and Palantir Lead Downturn amid Tariff Concerns

Wall Street's indexes declined as Walmart's disappointing sales forecast and Palantir's stock drop, amid looming tariff threats from President Trump, unnerved investors. The S&P 500 saw multiple sectors decrease, with financials leading the downturn. In contrast, companies like Alibaba and Hasbro reported positive earnings, lifting their stock prices.

Wall Street's main indexes took a hit on Thursday, dampened by declines in heavyweight stocks like Walmart and Palantir, as fears over fresh U.S. tariffs weighed heavily on investor sentiment.

Walmart shares dropped 6% as the company projected sales and profit below expectations for the fiscal year ending January 2026. The company cites inflation concerns as a reason for consumers tightening their spending. Michael Matousek, head trader at U.S. Global Investors, suggested this is a delayed response to the Federal Reserve's rate hikes.

Palantir's stock tumbled 9.7% following news of possible Pentagon budget cuts. With added pressure from President Trump's tariff announcements on goods from China, Mexico, and Canada, the market remains volatile. Meanwhile, Alibaba and Hasbro's earnings surpassing forecasts offered some relief, with their shares rising significantly.