US equities traded mostly lower on Tuesday, driven by a decline in the Nasdaq Composite of around 100 points, even as domestic economic sentiment showed strength. The Dow Jones Industrial Average fell 0.09% to 53,927.47, while the S&P 500 dropped 0.15% to 7,741.57. The Nasdaq Composite declined 0.38% to close at 26,505.09. Amid the broader market weakness, the National Federation of Independent Business (NFIB) small business optimism index rose to 99.8 in July from 97.4 in June, beating market estimates of 97.5.

Sector performance was mixed, with energy shares leading gains by jumping 1.3%. In contrast, communication services stocks lagged, falling by 0.9%. Individual stock movements were volatile, with Quantum Corp shares surging 57% to $18.47 after reporting better-than-expected first-quarter results and issuing strong second-quarter guidance. Planet Green Holdings Corp shares also saw significant upside, rising 101% to $1.14 following an announcement regarding commercial operations for lactoferrin distribution in China. NIQ Global Intelligence PLC gained 32% to $15.40 after raising its FY26 guidance above estimates following strong second-quarter results.

Conversely, several equities faced sharp declines. Cardinal Infrastructure Group Inc shares dropped 28% to $42.99 after reporting mixed second-quarter financial results. KLX Energy Services Holdings Inc fell 33% to $1.50 due to worse-than-expected second-quarter sales and the approval of a $125 million backstopped rights offering. Life360 shares decreased 26% to $47.71 following its second-quarter earnings report.

In commodities, oil prices rose 1.3% to $83.21, while gold increased 0.5% to $4,443.30. Silver traded down 0.5% to $64.975, whereas copper rose 0.5% to $6.6475. On the housing front, U.S. existing home sales declined by 1.7% month-over-month to an annualized rate of 4.06 units in July, aligning with market estimates of 4.06 million.

International markets showed divergent trends. European shares were higher, with the eurozone’s STOXX 600 gaining 0.3%, Spain’s IBEX 35 rising 0.5%, Germany’s DAX up 0.4%, France’s CAC 40 rising 0.2%, and London’s FTSE 100 increasing 0.1%. In Asia, markets closed lower; Hong Kong’s Hang Seng index dipped 1.10%, China’s Shanghai Composite fell 0.82%, and India’s BSE Sensex declined 0.49%.

Market Movers

Economic Indicators

The divergence between equity performance and small business sentiment suggests mixed signals in the US economy. While existing home sales declined, indicating potential cooling in the housing sector, the rise in the NFIB optimism index points to improved confidence among small business owners. This resilience in business sentiment may provide a counterbalance to broader market volatility.

The Nasdaq Composite unofficially closed lower in the latest trading session, shedding 95.74 points to end at 26,594.88. The decline represented a drop of 0.36% from the previous close, marking a modest retreat for the index.

Session Performance

The following table summarizes the Nasdaq Composite's unofficial closing performance for the session:

The Nasdaq Composite, widely regarded as a benchmark for technology and growth-oriented equities, recorded a decline of 95.74 points during the session. The index settled at 26,594.88 on an unofficial basis, reflecting a 0.36% pullback from its prior closing level.