{"id":49489,"date":"2025-05-21T10:28:48","date_gmt":"2025-05-21T15:28:48","guid":{"rendered":"https:\/\/thestockmarketwatch.com\/stock-market-news\/midday-market-update-stocks-retreat-as-target-slumps-and-investors-eye-tax-bill-developments\/49489\/"},"modified":"2025-05-21T10:28:48","modified_gmt":"2025-05-21T15:28:48","slug":"midday-market-update-stocks-retreat-as-target-slumps-and-investors-eye-tax-bill-developments","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/midday-market-update-stocks-retreat-as-target-slumps-and-investors-eye-tax-bill-developments\/49489\/","title":{"rendered":"Midday Market Update: Stocks Retreat as Target Slumps and Investors Eye Tax Bill Developments"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/midday-market-update-stocks-retreat-as-target-slumps-and-investors-eye-tax-bill-developments\/49489\/#Major_Indexes_Pull_Back_After_Recent_Gains\" >Major Indexes Pull Back After Recent Gains<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/midday-market-update-stocks-retreat-as-target-slumps-and-investors-eye-tax-bill-developments\/49489\/#Target_Shares_Plunge_on_Disappointing_Earnings\" >Target Shares Plunge on Disappointing Earnings<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/midday-market-update-stocks-retreat-as-target-slumps-and-investors-eye-tax-bill-developments\/49489\/#Tech_Sector_Shows_Relative_Strength\" >Tech Sector Shows Relative Strength<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/midday-market-update-stocks-retreat-as-target-slumps-and-investors-eye-tax-bill-developments\/49489\/#Investors_Watching_Congressional_Tax_Bill_Developments\" >Investors Watching Congressional Tax Bill Developments<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/midday-market-update-stocks-retreat-as-target-slumps-and-investors-eye-tax-bill-developments\/49489\/#Upcoming_Market_Events\" >Upcoming Market Events<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/midday-market-update-stocks-retreat-as-target-slumps-and-investors-eye-tax-bill-developments\/49489\/#Oil_Prices_Rising\" >Oil Prices Rising<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/midday-market-update-stocks-retreat-as-target-slumps-and-investors-eye-tax-bill-developments\/49489\/#Market_Outlook\" >Market Outlook<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Major_Indexes_Pull_Back_After_Recent_Gains\"><\/span>Major Indexes Pull Back After Recent Gains<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>As of midday Wednesday, May 21, 2025, U.S. stock markets are trading lower, with all three major indexes in negative territory. The <b><a href=\"https:\/\/stockmarketwatch.com\/indices\/sp500\/today\" data-internallinksmanager029f6b8e52c=\"3\" title=\"snp500 today\">S&#038;P 500<\/a><\/b> is down 0.5%, breaking a six-day winning streak, while the <b>Nasdaq Composite<\/b> has declined 0.2%. The <b><a href=\"https:\/\/stockmarketwatch.com\/indices\/dowjones\/today\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Dow Jones Today\">Dow Jones<\/a> Industrial Average<\/b> is experiencing the steepest drop, falling 1% or approximately 400 points.<cscitation citation_id=\"task_1__1\"><\/cscitation><\/p>\n<p>Today&#8217;s market retreat comes after Tuesday&#8217;s session when the S&#038;P 500 closed lower for the first time in seven days. Despite recent volatility, the major indexes have shown resilience in 2025, with both the S&#038;P 500 and Dow Jones back in positive territory for the year as global trade tensions have eased in recent weeks.<cscitation citation_id=\"task_1__1\"><\/cscitation><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Target_Shares_Plunge_on_Disappointing_Earnings\"><\/span>Target Shares Plunge on Disappointing Earnings<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Target (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=TGT\">TGT<\/a>) shares have dropped over 5% in midday trading after the retailer missed first-quarter revenue expectations and cut its full-year sales outlook. The company reported earnings per share of $1.30 against analyst expectations of $1.61, while revenue came in at $23.85 billion versus the $24.27 billion forecast.<cscitation citation_id=\"task_2__1\"><\/cscitation><\/p>\n<p>In a concerning development for investors, Target&#8217;s comparable sales declined by 3.8% compared to the year-ago period. CEO Brian Cornell cited &#8220;ongoing pressure in discretionary business, declining consumer confidence, tariff uncertainty, and backlash to the company&#8217;s DEI program updates&#8221; as factors contributing to the disappointing results.<cscitation citation_id=\"task_2__1\"><\/cscitation><\/p>\n<p>Target&#8217;s struggles stand in contrast to competitor Walmart, which recently reaffirmed its full-year outlook. Target shares have now fallen approximately 32% since the start of the year.<cscitation citation_id=\"task_1__1\"><\/cscitation><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Tech_Sector_Shows_Relative_Strength\"><\/span>Tech Sector Shows Relative Strength<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>While the broader market is down, technology stocks are showing relative strength. Alphabet (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=GOOGL\">GOOGL<\/a>) shares are up over 5% in midday trading, providing some support to the Nasdaq.<cscitation citation_id=\"task_2__3\"><\/cscitation> Meanwhile, NVIDIA (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=NVDA\">NVDA<\/a>) is trading up 1.11%, continuing its strong performance in 2025.<cscitation citation_id=\"task_2__3\"><\/cscitation><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Investors_Watching_Congressional_Tax_Bill_Developments\"><\/span>Investors Watching Congressional Tax Bill Developments<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Market participants are closely monitoring deliberations in Congress regarding a sweeping bill that would extend significant tax cuts and boost spending. The legislation has become a focal point for investors assessing potential impacts on corporate earnings and economic growth.<cscitation citation_id=\"task_1__1\"><\/cscitation><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Upcoming_Market_Events\"><\/span>Upcoming Market Events<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Several key events are on the horizon that could impact market direction:<\/p>\n<p>1. <b>FOMC Minutes Release<\/b>: The Federal Reserve will release minutes from its May 6-7 meeting on May 28, providing insights into the central bank&#8217;s thinking on interest rates and inflation.<cscitation citation_id=\"task_3__2\"><\/cscitation><\/p>\n<p>2. <b>Fed Speeches<\/b>: Multiple Federal Reserve officials are scheduled to speak this week, including Chair Jerome Powell, who will deliver remarks at Princeton University on May 25.<cscitation citation_id=\"task_3__2\"><\/cscitation><\/p>\n<p>3. <b>Economic Data<\/b>: Investors will be watching for the release of consumer credit data and the weekly jobless claims report tomorrow.<cscitation citation_id=\"task_3__3\"><\/cscitation><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Oil_Prices_Rising\"><\/span>Oil Prices Rising<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Adding to market concerns, oil prices are trending higher today, potentially putting additional pressure on inflation metrics that the Federal Reserve closely monitors.<cscitation citation_id=\"task_1__3\"><\/cscitation><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Market_Outlook\"><\/span>Market Outlook<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Despite today&#8217;s pullback, market sentiment has improved in recent weeks as global trade tensions have eased. However, concerns about corporate earnings, inflation, and the impact of potential tax legislation continue to create uncertainty.<\/p>\n<p>The VIX, often referred to as Wall Street&#8217;s &#8220;fear gauge,&#8221; is up slightly at 18.20, indicating moderate market anxiety.<cscitation citation_id=\"task_2__3\"><\/cscitation><\/p>\n<p>As we move through the remainder of the week, investors will be watching for additional earnings reports, economic data releases, and further developments on the tax bill to gauge the market&#8217;s next direction.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Major Indexes Pull Back After Recent Gains As of midday Wednesday, May 21, 2025, U.S. stock markets are trading lower, [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":50312,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center 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