Finance

July retail sales declined by 0.6%, breaking a multi-month expansion and falling short of economist expectations. Concurrently, the University of Michigan's consumer sentiment index dropped substantially for August, signaling that households remain heavily stressed by ongoing inflation and business conditions.

Technology shares dragged benchmarks lower as market participants booked profits on high-flying artificial intelligence names. Applied Materials saw its stock tumble over 5% despite beating quarterly top and bottom-line estimates, illustrating the highly elevated expectations currently baked into the chip sector.

Energy and material sectors outperformed the broader market, driven higher by escalating commodity prices. Crude oil climbed by more than 1% following reports of a maritime attack on a tanker departing the Persian Gulf, intensifying broader supply chain anxieties in the Middle East.