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Online auction operator eBay posted the top performance in the S&P 500 on Thursday.
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The S&P 500 slipped 0.4% on Thursday, July 31, 2025, as investors reacted to higher-than-expected inflation data while awaiting Friday’s tariff deadline and jobs report.
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Shares of Align Technology plunged after the Invisalign maker missed quarterly estimates and outlined restructuring plans.
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eBay posted stronger-than-expected second-quarter results, boosted by gross merchandise volume growth, and shares of the online auction platform operator jumped higher.
Major U.S. equity indexes moved lower on Thursday after the latest Personal Consumption Expenditures (PCE) data showed inflation accelerated in June, offsetting strong Big Tech earnings. Several economists attributed the higher-than-expected reading for the PCE, the Federal Reserve’s preferred inflation gauge, to tariff pressures.
Thursday’s inflation readout came ahead of the Aug. 1 deadline for trade deals to avoid “reciprocal” tariffs. Friday morning will also bring the release of the July jobs report, which could have serious implications for the Fed’s policy decisions in the coming months.
After trading higher for much of the day, the S&P 500 lost steam in the afternoon to close down 0.4%. The Dow fell 0.7%, while the Nasdaq Composite dipped less than 0.1%.
Align Technology (ALGN) shares plummeted 36.6%, the most of any stock in the S&P 500 on Thursday. The maker of clear teeth aligners and other dental equipment reported second-quarter results that missed analysts’ sales and profit estimates. The company indicated it will take measures to streamline its operations, including workforce cuts, for which it expects to take a one-time charge of roughly $150 million to $170 million during the second half of 2025.
Shares of Baxter International (BAX), a provider of a wide range of healthcare products, tumbled 22.4% following the company’s quarterly earnings release. Although revenue was in line with estimates, adjusted earnings per share fell short of forecasts, and Baxter’s sales guidance for the current quarter was also below expectations. The company cited ongoing fallout from Hurricane Helene, the devastating storm in September 2024 that damaged its plant in North Carolina, along with soft demand affecting its key intravenous fluids business.
Despite achieving better-than-expected year-over-year sales growth, International Paper (IP) also missed the mark with its quarterly adjusted profit, and shares of the packaging and materials producer dropped 12.9%. Soft demand in Europe and outage costs related to planned maintenance weighed on the company’s performance.