Dow Jones rallies after retail corporate results

Most US stock indexes declined on Tuesday, with the Dow Jones Industrial Average the only major gainer as investors assessed earnings from large retailers offering clues about consumer spending.

Home Depot shares rose 2% after the home improvement giant reaffirmed its full-year outlook, despite second-quarter earnings missing analysts’ estimates. Other major retailers including Lowe’s, Walmart, and Target are scheduled to report results later this week.

Attention now shifts to Federal Reserve Chair Jerome Powell, who will deliver remarks later this week that could signal the central bank’s policy stance for the rest of the year. Powell is set to meet with global central bankers at the Fed’s annual Jackson Hole symposium in Wyoming.

According to the CME FedWatch Tool, markets are pricing in an 83% probability of a 25-basis-point rate cut at the Fed’s September meeting.

In trading, as of 16:39 GMT, the Dow Jones Industrial Average rose 0.2% (70 points) to 44,980. The S&P 500 fell 0.3% (20 points) to 6,429, while the Nasdaq Composite dropped 1% (222 points) to 21,407.