US close: Dow Jones retreats from record highs as US-China tensions flare

22nd Oct 2025 21:20

(Sharecast News) - Major indices were firmly in the red at the close of trading on Wednesday following the Dow's record close in the previous session.

At the close, the Dow Jones Industrial Average was down 0.71% at 46,590.41, while the S&P 500 was 0.53% at 6,699.40 and the Nasdaq Composite saw out the session 0.93% softer at 22,740.40.

The Dow closed 334.33 points lower on Wednesday, more than reversing gains recorded in the previous session, as trade relations between the US and China remained in focus after Donald Trump commented on his expected meeting with Chinese President Xi Jinping, noting that "maybe it won't happen", creating even greater uncertainty regarding tensions between Washington and Beijing that could potentially lead to higher tariff rates and semiconductor industry headwinds.

US equities remained under pressure after Treasury Secretary Scott Bessent confirmed the White House was considering new restrictions on software exports to China. The move follows comments from Donald Trump nearly two weeks ago, in which he said the US would impose curbs on "any and all critical software" from 1 November, heightening concerns over escalating tech tensions between Washington and Beijing.

In the corporate space, Mattel reported weaker-than-expected Q3 results overnight after the close, driven by lower sales in its North American unit, while Netflix's quarterly earnings missed Wall Street estimates due to an ongoing dispute with Brazilian tax authorities.

As far as Wednesday morning's earnings updates were, AT&T said Q3 revenues had grown 1.6% to $30.7bn, driven by its wireless and fiber offerings, while Hilton Worldwide slashed its forecast for 2025 room revenue as a result of weak travel demand, even as total Q3 group revenues and adjusted profits came in ahead of Wall Street expectations, and Boston Scientific reported Q3 results that exceeded analyst expectations, driven by a strong performance across its business segments.

Finally, Tesla posted a 12% increase in quarterly revenues after the close, following two straight periods of declines, but also revealed quarerly earnings had fallen short of estimates, while IBM said Q3 revenues had climbed 9% to $16.3bn.

On the macro front, US mortgage applications inched lower in the week ended 17 October, according to the Mortgage Bankers Association, marking the fourth consecutive weekly decline. The MBA's overall market index fell by 0.3% last week, following a 1.8% drop the week before and a 4.7% decline previously. Applications to refinance a mortgage, which are more sensitive to short-term interest rate changes, increased by 4% over the week, while applications to purchase a home fell by 5% week-on-week.

Reporting by Iain Gilbert at Sharecast.com

Dow Jones - Risers

International Business Machines Corporation (CDI) (IBM) $288.60 1.94%

Chevron Corp. (CVX) $155.77 1.16%

Nike Inc. (NKE) $69.00 1.05%

Walmart Inc. (WMT) $107.20 0.87%

McDonald's Corp. (MCD) $310.28 0.86%

Johnson & Johnson (JNJ) $192.80 0.55%

Procter & Gamble Co. (PG) $152.22 0.38%

3M Co. (MMM) $166.70 0.35%

Microsoft Corp. (MSFT) $517.66 0.00%

Dowdupont Inc. (DWDP) $0.00 0.00%

Dow Jones - Fallers

Intel Corp. (INTC) $36.95 -3.07%

Salesforce.Com Inc. (CRM) $258.47 -2.57%

Caterpillar Inc. (CAT) $515.09 -2.05%

Goldman Sachs Group Inc. (GS) $745.81 -1.89%

Apple Inc. (AAPL) $258.43 -1.65%

Verizon Communications Inc. (VZ) $39.93 -1.24%

Walt Disney Co. (DIS) $113.28 -1.07%

Unitedhealth Group Inc. (UNH) $360.12 -1.06%

JP Morgan Chase & Co. (JPM) $293.70 -1.00%

American Express Co. (AXP) $351.98 -0.91%

S&P 500 - Risers

Travel + Leisure Co (TNL) $69.84 15.23%

Avery Dennison Corp. (AVY) $179.37 9.48%

Halliburton Co. (HAL) $26.57 4.24%

Schlumberger Ltd. (SLB) $35.18 4.12%

Boston Scientific Corp. (BSX) $104.06 3.95%

Amphenol Corp. (APH) $128.79 3.61%

Hilton Inc (HLT) $274.93 3.42%

HF Sinclair Corporation (DINO) $53.00 3.38%

Omnicom Group Inc. (OMC) $81.20 3.20%

Philip Morris International Inc. (PM) $156.75 3.20%

S&P 500 - Fallers

Quanta Services Inc. (PWR) $412.80 -5.77%

Texas Instruments Inc (TXN) $170.76 -5.57%

Fluor Corp. (FLR) $46.68 -4.80%

Robert Half Inc. (RHI) $29.66 -4.33%

Jacobs Solutions Inc. (J) $157.97 -4.10%

Smith A O Corp. (AOS) $68.24 -3.94%

Delta Airlines Inc. (DAL) $60.43 -3.72%

Eaton Corporation plc (ETN) $361.86 -3.44%

Nasdaq Inc (NDAQ) $87.40 -3.24%

Dover Corp. (DOV) $168.48 -3.14%

Nasdaq 100 - Risers

Vodafone Group Plc ADS (VOD) $11.73 1.95%

Dollar Tree Inc (DLTR) $100.47 1.54%

Monster Beverage Corp (MNST) $69.73 1.20%

Regeneron Pharmaceuticals Inc. (REGN) $585.26 1.02%

Incyte Corp. (INCY) $88.06 0.87%

Alphabet Inc. Class A (GOOGL) $251.70 0.50%

Alphabet Inc. Class C (GOOG) $252.58 0.49%

eBay Inc. (EBAY) $95.40 0.44%

Hasbro Inc (HAS) $75.15 0.43%

DENTSPLY Sirona Inc. (XRAY) $13.02 0.42%

Nasdaq 100 - Fallers

Texas Instruments Inc (TXN) $170.76 -5.57%

NetEase Inc. Ads (NTES) $144.97 -4.54%

Intel Corp. (INTC) $36.95 -3.07%

Charter Communications Inc. (CHTR) $244.99 -2.98%

Lam Research Corp. (LRCX) $141.37 -2.53%

Analog Devices Inc. (ADI) $240.43 -2.41%

Applied Materials Inc. (AMAT) $220.60 -2.39%

Mercadolibre Inc. (MELI) $2,093.06 -2.29%

Gilead Sciences Inc. (GILD) $121.46 -2.11%

Comcast Corp. (CMCSA) $29.41 -1.89%