Arizona Tribune - Nasdaq edges down from records ahead of big tech earnings

Both the Dow and S&P 500 finished higher, but the Nasdaq dropped 0.4 percent to snap a six-day streak of records.

Earnings from Alphabet and Tesla are due on Wednesday, the first two of Wall Street's "Magnificent Seven" equities to report this season. Several of the largest tech names -- such as Apple and Facebook parent Meta -- do not report results until next week.

Corporate profit reports so far have painted a generally resilient picture of the US economy, but with gathering clouds in some sectors -- particularly automobiles -- from Trump's levies on major trading partners.

Art Hogan of B. Riley Wealth Management said Tuesday's drop in Nvidia and some other tech names suggested profit-taking after a heady rise.

"It's a difficult earnings season where expectations are really low but stocks are already priced very high," Hogan said.

In Europe, only London ended the trading day in the green. Paris and Germany both finished solidly in the red.

The European Union is among Washington's trading partners that face potentially steep tariffs on August 1 if they do not strike a deal with Trump's administration.

"European markets have been getting increasingly jittery as the (August 1) deadline approaches," said David Morrison, senior market analyst at Trade Nation.

"With little sign of progress so far, investors are preparing for possible tariff retaliation from the EU."

US Treasury Secretary Scott Bessent said he would meet his Chinese counterparts in Stockholm next week for tariff talks, as a separate mid-August deadline approaches for US levies on China to snap back to steeper levels.

- Big earnings reports -

US auto giant General Motors reported a 35-percent plunge in second-quarter profits Tuesday following a $1.1-billion hit from US tariffs, but confirmed its full-year forecast.

Its shares plunged 8.1 percent.

Elsewhere, "expectations for the earnings season include accelerated profit growth for major US technology companies in the second half of the year," said Jochen Stanzl, chief market analyst at CMC Markets.

British pharmaceutical giant AstraZeneca said Tuesday it would invest $50 billion in the United States by 2030 amid Trump's threats to impose tariffs on the sector.

The dollar continued to lose ground, while oil prices also dropped amid worries about reduced global economic activity going forward.

Earlier, in Asia, Hong Kong hit its highest close since late 2021. Its index has gained around 25 percent this year thanks to a rally in Chinese tech firms and a fresh flow of cash from mainland investors.

Tokyo dipped following an earlier rally after the ruling coalition lost its upper-house majority as observers warned the government's tenure remained fragile.

- Key figures at around 2050 GMT -

New York - Dow: UP 0.4 percent at 44,502.44 (close)

New York - S&P 500: UP 0.1 percent at 6,309.62 (close)

New York - Nasdaq Composite: DOWN 0.4 percent at 20,892.69 (close)

London - FTSE 100: UP 0.1 percent at 9,023.81 (close)

Paris - CAC 40: DOWN 0.7 percent at 7,744.41 (close)

Frankfurt - DAX: DOWN 1.1 percent at 24,041.90 (close)

Tokyo - Nikkei 225: DOWN 0 percent at 39,774.92 (close)

Hong Kong - Hang Seng Index: UP 0.5 percent at 25,130.03 (close)

Shanghai - Composite: UP 0.6 percent at 3,581.86 (close)

Euro/dollar: UP at $1.1755 from $1.1694

Pound/dollar: UP at $1.3532 from $1.3487

Dollar/yen: DOWN at 146.66 yen from 147.38 yen

Euro/pound: UP at 86.84 pence from 86.73 pence

Brent North Sea Crude: DOWN 0.9 percent at $68.59 per barrel

West Texas Intermediate: DOWN 1.5 percent at $66.21 per barrel

burs-jmb/aha

M.Robinson--AT