U.S. stock indexes were moving lower on Tuesday after the release of another disappointing economic report.
The S&P 500 slipped 0.4% in afternoon trading, following a sharp rebound the previous day that came after its steepest drop since May. As of 12:16 p.m. Eastern, the Dow Jones Industrial Average was down 49 points, or 0.1%, while the Nasdaq composite declined 0.4%.
Investors grew more concerned after a report showed weaker-than-expected activity in key U.S. service sectors like transportation and retail, renewing fears that President Donald Trump’s tariffs could be weighing on economic growth. However, optimism over potential interest rate cuts by the Federal Reserve and a string of stronger-than-anticipated corporate earnings helped limit broader market losses.
Edgewell Personal Care — the maker of Schick razors, Playtex products, and Banana Boat sunscreen — dropped 21.3% after missing earnings and revenue expectations. CEO Rod Little pointed to a disappointing sun care season in North America and tariff-related pressure on margins.
Caterpillar also edged down 0.5% after reporting earnings that came in below forecasts, with operating profit down 18% year-over-year, largely due to higher manufacturing costs tied to tariffs.
