26.08.202513:36:55UTC+00US Stocks Inch Lower

U.S. stocks experienced a modest decline on Tuesday, continuing the slight drop observed in the previous session as they mirrored movements in Treasury bonds. This downturn came amid renewed concerns regarding the Federal Reserve's independence and fresh tariff threats. The three primary equity indices dipped slightly below the neutral mark. President Trump initiated proceedings to dismiss Fed Governor Cook due to accusations of mortgage fraud, which escalated the President's attempts to exert influence over Federal Open Market Committee (FOMC) members, advocating for a reduction in interest rates by more than two percentage points. This situation reduced the appeal of equities, even though the dollar and long-term bonds also decreased in value. On the corporate scene, semiconductor stocks showed mixed performance, with Nvidia edging slightly higher in anticipation of its upcoming earnings release, expected after the market closes tomorrow. This report is anticipated to trigger volatility in the major tech sector, serving as a benchmark for demand in artificial intelligence. Meanwhile, Eli Lilly's stock rose by more than 3% following successful test results indicating its new obesity medication enabled patients to lose 10% of their body weight.