S&P 500 Extends Five-Day Decline Amid Fed Uncertainty

The S&P 500 extended its losing streak to five consecutive sessions, marking its longest decline since April 2024, amid investor caution ahead of Federal Reserve Chair Jerome Powell's upcoming speech at the Jackson Hole Economic Symposium. The index fell 0.4%, with the Nasdaq down 0.5% and the Dow declining 0.3%, pressured in part by Walmart's 4.5% drop after missing quarterly earnings expectations despite raising its full-year sales outlook. Market sentiment was also affected by mixed economic data, including a rise in jobless claims and a surge in business activity reported by S&P Global's composite PMI. Futures indicate a roughly 73-80% chance of a rate cut in September, but some Fed officials expressed skepticism about easing policy without definitive data, particularly concerning labor market conditions and inflation pressures. Other notable market moves included a surge in Paramount Skydance shares amid increased call option activity and a decline in several tech stocks, with investors closely watching Powell's speech for signals on the central bank's next monetary policy steps. Globally, Asian markets also saw declines, while oil and gold prices moved modestly.