US Equities Slide on Bank Losses, Trade Worries
2025-10-16 18:49
By
Mojdeh Kazemi
1 min. read
Wall Street stocks fell on Thursday, giving up earlier gains as renewed credit concerns and persistent US-China trade tensions weighed on sentiment.
The S&P 500 and Nasdaq 100 each dropped over 0.7%, while Dow Jones lost more than 300 points.
Financial stocks led the selloff, with regional banks like Zions Bancorporation (-13%) and Western Alliance (-10.8%) plunging after disclosing sizable loan losses.
The declines came despite a rally earlier in the session driven by chipmakers after TSMC raised its full-year revenue forecast and reported a nearly 40% jump in profit, fueling optimism about AI-driven demand.
Major tech and AI stocks showed mixed moves: Apple fell 1.4%, Meta down 1.6%, Tesla 2.7% lower, Amazon 1.1%, while Nvidia rose 0.4%.
US-China trade tensions remain high, with Trump declaring on Wednesday, "You're in a trade war now," Meanwhile, the third-week government shutdown continues to delay key economic data, adding to market uncertainty.