Stock Market Today: Dow, S&P 500, Nasdaq Ease Gains as Wall Street Reacts to Trump Tariff News, Nvidia Results

U.S. stocks pared earlier gains on Thursday as investors digested Nvidia’s (NVDA) latest earnings and a U.S. trade court decision striking down former President Trump’s global tariffs.

The S&P 500 (^GSPC) rose around 0.3%, while the Dow Jones Industrial Average (^DJI) hovered near the flatline. The Nasdaq Composite (^IXIC) led gains, climbing 0.5%.

Nvidia shares surged as much as 5% after the chipmaker reported first-quarter revenue that beat expectations. Despite warning that U.S. export restrictions to China could cost it $8 billion in second-quarter sales, investors appeared to look past the forecast, focusing instead on strong AI-driven performance.

Nvidia’s strong performance on Wednesday lifted investor sentiment, fueling optimism that Big Tech could remain resilient despite the sweeping trade policies tied to former President Trump.

Read more: The latest on Trump’s tariffs

Adding to the headlines, a panel of judges from the U.S. Court of International Trade ruled that Trump lacked the legal authority to impose a broad range of tariffs, effectively blocking a significant portion of them. The ruling can still be appealed by the Trump administration in federal court.

In the retail sector, Best Buy (BBY) slashed its full-year outlook, citing growing economic uncertainty tied to the trade tensions, which sent its shares lower. Market watchers are now turning to Costco’s (COST) upcoming after-hours report, as retailers grapple with increasing pressure. Trump recently told Walmart to absorb the costs of new tariffs following its earnings release.

On the economic data front, jobless claims rose more than expected last week, signaling potential labor market softness. Meanwhile, the Commerce Department revised its estimate for first-quarter GDP to show a 0.2% annualized contraction—a slight improvement from the initial reading.

Best Buy (BBY)

Best Buy shares dropped more than 7% on Thursday after the company posted mixed quarterly results and lowered its guidance, citing pressure from tariffs imposed by the Trump administration.

Comparable store sales declined 0.7% year over year, while revenue dipped 0.9% to $8.77 billion—falling short of analyst expectations. Adjusted earnings per share came in at $1.15, down 4% from the prior year but still ahead of the $1.09 consensus estimate.

Dow, S&P 500, Nasdaq Rise as Nvidia Soars and Court Blocks Trump’s Tariff Policy

U.S. stocks advanced on Thursday, boosted by strong earnings from AI chip leader Nvidia (NVDA) and a court ruling that undercut former President Trump’s tariff agenda.

The S&P 500 (^GSPC) climbed approximately 0.8%, the Dow Jones Industrial Average (^DJI) rose about 0.3%, and the Nasdaq Composite (^IXIC) jumped 1.4%, led by tech sector gains.

Nvidia shares surged over 5% after the company posted earnings that beat expectations. While it warned of a potential $8 billion revenue hit in the second quarter due to U.S. export restrictions to China, investors focused on the company’s strong overall performance.

Other members of the “Magnificent Seven” also gained, with Amazon (AMZN) rising and Tesla (TSLA) adding 2% after CEO Elon Musk teased a June debut for the company’s robotaxis and announced his departure from a role in the Trump administration.

Meanwhile, a panel from the U.S. Court of International Trade ruled that Trump overstepped his authority by imposing broad tariffs under emergency powers. The decision, which could significantly reshape trade policy, is expected to be appealed in federal court.

Tesla Stock Gains as Elon Musk Announces Early Arrival of Driverless Cars

Tesla (TSLA) shares rose 2% in premarket trading after CEO Elon Musk revealed that the company’s robotaxi rollout is coming sooner than expected and confirmed his departure from a government role.

Musk said Tesla has been testing fully driverless Model Y vehicles in Austin, Texas, over the past several days. The move comes ahead of the previously announced timeline, as Musk had indicated testing would begin by the end of June, according to Reuters. The initial rollout is expected to include 10 to 20 vehicles, based on Musk’s earlier statements.

Also boosting Tesla shares was confirmation from a White House official that Elon Musk will no longer serve on the Department of Government Efficiency (DOGE). Musk’s government role had sparked concern among some Tesla shareholders, who felt his focus was being stretched too thin.

“Back to spending 24/7 at work and sleeping in conference/server/factory rooms,” Musk said Tuesday. He added that he needs to be “super focused on 𝕏/xAI and Tesla (plus Starship launch next week), as we have critical technologies rolling out.