Wall Street Closes in the Red – S&P 500’s 6-Day Winning Streak Ends

Stocks declined on Tuesday, May 20, 2025, as investors assessed developments in the trade war amid earnings announcements. The industrial Dow Jones index, representing heavyweight stocks of the U.S. market, fell by 0.27%. The broader Wall Street index, S&P 500, dropped by 0.37%, while the Nasdaq slid by 0.38%. The technology sector was the worst-performing segment within the S&P 500 during the session. These movements followed a minor gain for the S&P 500, which had extended its winning streak to six days, marking its longest run since an earlier nine-day streak this month. Despite Monday’s marginal gains, they contributed to a rapid and sharp stock recovery over the past five weeks. The S&P 500 has surged over 20% from its April low due to tariff announcements by President Donald Trump, now sitting about 3% below its all-time high. Bill Northey, investment director at U.S. Bank Wealth Management, stated to CNBC that the major factor is the shock related to tariff introductions, the manic rally tied to their de-escalation, and the current wait for clarifications as these negotiations continue. Northey added that investors are stuck in a situation of ‘optimism without clarity.’