Market Pulse – Live UpdatesBased on the information gathered, I’ll now write the requested article about today’s stock market.
Major Indexes Show Signs of Recovery After Wednesday’s Sell-Off
The stock market is showing modest signs of recovery today after Wednesday’s significant sell-off that saw the Dow Jones Industrial Average plummet more than 800 points. As of early trading on Thursday, May 22, 2025, futures for the S&P 500 and Nasdaq Composite are up 0.14% and 0.18% respectively, while Dow futures remain relatively flat.
The major indexes are attempting to rebound from yesterday’s losses, which were triggered by concerns over rising Treasury yields and worries about the U.S. budget deficit. On Wednesday, the S&P 500 fell 1.6%, ending at 5,844.61, breaking what had been a six-day winning streak for the index.
Treasury Yields and Budget Concerns Remain Key Market Drivers
Investors continue to closely monitor the situation in Washington as Republican leaders work to finalize a budget bill that would lower taxes. The legislation has faced opposition from GOP members seeking higher deductions on state and local taxes (SALT), creating uncertainty in the markets.
The 30-year Treasury bond yield jumped again on Wednesday, reaching 5.09% – the highest level since October 2023. Meanwhile, the benchmark 10-year Treasury note yield traded at 4.59%.
“I think it really speaks to the impact from the rate of change of yields versus just that drift higher,” Kevin Gordon, Charles Schwab senior investment strategist, said on CNBC. “It’s driven by inflation concerns that are tied to the budget deficit that are then tied to the potential path of the dollar.”
Key Earnings Reports Impacting Today’s Market
Several major companies are reporting earnings today, which could significantly influence market movement. Before the opening bell, Toronto-Dominion Bank (TD), Analog Devices (ADI), Williams-Sonoma (WSM), and BJ’s Wholesale Club (BJ) are among the notable companies releasing their quarterly results.
Analog Devices (ADI) is expected to report earnings per share of $1.69, representing a 20.71% increase compared to the same quarter last year. The semiconductor company has consistently beaten expectations in recent quarters.
Meanwhile, Advance Auto Parts (AAP) is projected to report a quarterly loss of $0.82 per share, representing a significant decrease compared to the same period last year.
After the closing bell, investors will be watching for reports from Deckers Outdoor (DECK), Ross Stores (ROST), Autodesk (ADSK), Intuit (INTU), and Workday (WDAY), among others.
Notable Stock Movements and Corporate News
Several stocks are making significant moves in pre-market trading based on recent developments:
Lumen Technologies shares surged 15% after AT&T agreed to acquire substantially all of Lumen’s Mass Markets fiber internet connectivity business.
Snowflake’s stock jumped more than 7% in after-hours trading following a stronger-than-expected first quarter report.
Urban Outfitters saw its shares soar more than 14% in extended trading after releasing quarterly results that exceeded analyst expectations.
Economic Data and Future Market Catalysts
Investors will be closely monitoring today’s release of weekly jobless claims data for insights into the labor market’s health.
The market is also keeping a close eye on developments related to President Trump’s proposed tariffs. While concerns have somewhat subsided in recent weeks, any new announcements could reintroduce volatility to the markets.
Market Outlook and Expert Analysis
Despite Wednesday’s significant sell-off, the major indexes remain above where they traded on April 2, when President Trump unveiled his import tax policy. The S&P 500 is still up for the year, representing a remarkable recovery after at one point falling into bear market territory on an intraday basis.
Market analysts note that the equity market’s recovery over the past month has been extraordinary in terms of both speed and scale. However, investors should remain cautious as concerns about inflation, rising yields, and budget deficits continue to create potential headwinds.
As the Memorial Day weekend approaches, market participants will be watching closely to see if Congress can pass the tax legislation before the holiday, which could provide more clarity on the fiscal outlook and potentially stabilize market conditions.