Key Takeaways
- U.S. stock markets experienced their largest single-day drops in months, with the NASDAQ 100 (NDX) falling 2% (its biggest drop since April), the S&P 500 (SPX) dropping 1.6% (its largest since May), and the Dow Jones Industrial Average (DJI) declining 1.2% (its largest since May). This broad market decline was primarily driven by new U.S. tariffs and a weaker-than-expected jobs report.
- Amazon (AMZN) shares plummeted 8.3%, shedding over $200 billion in value, following disappointing growth in its cloud computing unit and concerns over new tariffs.
- Tesla (TSLA) was ordered by a Florida jury to pay $329 million in damages for a fatal Autopilot crash, a significant blow to the company that Elon Musk announced will be appealed.
- U.S. Treasury Secretary Scott Bessent indicated that a trade deal with China has the "makings of a deal" but is "not 100% done," amid looming tariff deadlines.
- U.S. bank deposits increased to $18.322 trillion from $18.297 trillion in the prior week, according to the Federal Reserve's H.8 release on Assets and Liabilities of Commercial Banks in the United States.
U.S. stock markets closed significantly lower on Friday, marking their steepest declines in months. The NASDAQ 100 (NDX) led the retreat, falling 2%, its biggest single-day drop since April. The S&P 500 (SPX) dropped 1.6%, its largest one-day decline since May, while the Dow Jones Industrial Average (DJI) shed 1.2%. This market downturn was largely attributed to President Trump's announcement of new tariffs and a surprisingly weak U.S. jobs report.
Amazon (AMZN) shares were hit particularly hard, closing down 8.3% and losing over $200 billion in market value. This sharp decline followed concerns over the growth of its cloud computing unit and the broader impact of new tariffs. Other technology and communication services stocks also saw significant losses.
In legal news, Tesla (TSLA) was ordered to pay $329 million in damages by a Florida jury in a fatal Autopilot crash case. The jury found Tesla partially liable for the 2019 crash that resulted in one death and serious injuries. Elon Musk has stated that Tesla plans to appeal the verdict.
Meanwhile, U.S. Treasury Secretary Scott Bessent provided an update on U.S.-China trade negotiations, stating that the two nations have the "makings of a deal" but it is "not 100% done". This comes as a deadline for a durable tariff agreement on August 12 approaches.
In banking news, U.S. bank deposits rose to $18.322 trillion from $18.297 trillion in the prior week. This data was released as part of the Federal Reserve's weekly H.8 release on Assets and Liabilities of Commercial Banks in the United States.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.