US stocks retreated on Tuesday as investors digested the latest wave of corporate earnings, economic data, and various tariff updates.

The benchmark S&P 500 (^GSPC) slid 0.5%, while the blue-chip Dow Jones Industrial Average (^DJI) fell a more modest 0.1%. The Nasdaq Composite (^IXIC) was down nearly 0.7%.

Palantir (PLTR) stock jumped roughly 7% after the company's earnings report beat expectations and revealed its revenue had topped $1 billion in a quarter for the first time.

On Monday, stocks sharply rebounded after tanking on Friday in the aftermath of a number of market-shaking events, including a weak jobs report, fresh tariffs, new signs of rising prices, and President Trump's firing of the commissioner of the Bureau of Labor Statistics.


Economic data released Tuesday morning showed the services sector unexpectedly flatlined in July. The Institute for Supply Management's (ISM) services PMI registered a reading of 50.1 in July, down from June's reading of 50.8, and below the 51.5 economists surveyed by Bloomberg.

Meanwhile, Trump continued to amp up pressure on trade after this week after threatening to hike tariffs on India. In an interview with CNBC on Tuesday morning, President Trump said pharmaceutical imports could see tariffs of up to 250%. He also ruled out Treasury Secretary Scott Bessent as a potential incoming Fed chair, but noted that Jerome Powell's successor could be named "soon."