U.S. stocks opened mixed as Wall Street weighed valuation concerns and policy risks. The Dow traded near 48,120, up about 0.1%. The S&P 500 eased to roughly 6,838, down 0.1%. The Nasdaq slipped more than 0.2%, reflecting pressure on growth names.
The reversal came quickly. Traders trimmed exposure after last year’s gains. The S&P 500 rose more than 16% in 2025. The Nasdaq surged over 20%. Those returns raised expectations and made markets sensitive to any weakness.
Technology stocks led the pullback. Shares of Amazon fell nearly 2%. Tesla slid over 1% after weaker-than-expected delivery data. Even gains in NVIDIA were not enough to lift the broader index.
The Dow showed relative strength as investors rotated into industrial and value stocks. Intel jumped more than 7%, helping support blue-chip performance. The move suggested rotation, not panic.
S&P 500 today: why early optimism faded into selling pressure
The S&P 500 opened higher but quickly reversed. The move was not driven by panic. It was driven by positioning. After three strong years, valuations are stretched in parts of the market, especially in technology and AI-linked stocks. When the Nasdaq dipped, the S&P followed.
The tech sector’s pullback mattered because it carries heavy weight in the index. Shares of Amazon slipped nearly 2% early in the session. Tesla fell more than 1% as investors reacted to new delivery data. Even as NVIDIA gained over 1.5% on strong demand optimism, it was not enough to lift the broader index. Another factor was timing. Many large investors view the first trading day as a feel-out session. Liquidity is still thin. Conviction trades often wait until the first full week. That dynamic made the S&P 500 vulnerable to small sell orders that pushed it into negative territory.
Dow Jones today holds up as investors rotate into defensive strength
While the S&P 500 slipped, the Dow Jones Industrial Average showed relative strength. The Dow rose about 0.3% at one point, supported by industrials and value-oriented names. This divergence highlighted a subtle rotation rather than broad risk-off behavior.
Stocks like Intel jumped more than 7%, giving the Dow a boost. Cyclical and turnaround stories attracted buyers looking for value after years of tech dominance. Smaller-cap gainers such as Ironwood Pharmaceuticals and Sidus Space also surged on heavy volume, reflecting selective risk appetite.
The Dow’s resilience suggested that investors are not abandoning equities. They are reshuffling exposure. Capital is moving away from crowded trades and into names with clearer earnings visibility or recovery potential.
Nasdaq today under pressure as tech digests strong multi-year rally
The Nasdaq Composite fell about 0.2% as the session began. That weakness explained much of the S&P 500’s reversal. After leading the market for years, technology stocks are entering 2026 with high expectations and little margin for disappointment.
Tesla’s fourth-quarter delivery report added to the caution. The company reported deliveries of 418,227 vehicles, a 15% drop from a year earlier and below Wall Street forecasts. It was Tesla’s second straight annual decline in deliveries, with 2025 totals near 1.64 million vehicles, down 8% from 2024. While the stock briefly bounced, the data reinforced concerns about slowing growth in parts of the EV market.
At the same time, investors remain heavily exposed to AI-related names. Any pause in momentum, even a modest one, tends to ripple through the Nasdaq. That is what played out in early trading.
Top gainers today
NVIDIA rose 1.7% to $189.68 on heavy volume near 78 million shares. The stock extended gains as AI demand optimism remained intact, even as the broader Nasdaq struggled.
Ironwood Pharmaceuticals surged 34.8% to $4.54 after a sharp spike in trading activity. Volume crossed 74 million sharesfar above its daily average, reflecting renewed speculative interest.
Sidus Space jumped 28.0% to $4.02 as retail traders piled into space-linked names. The stock traded more than 72 million sharessignaling strong momentum.
Ondas Holdings gained 8.2% to $10.56continuing its recent uptrend. The stock remained near the top of its 52-week range as volume stayed elevated.
Brand Engagement Network soared 64.7% to $3.82making it one of the session’s biggest movers. Heavy volume suggested aggressive speculative buying in AI-adjacent small caps.
Intel climbed 7.2% to $39.56 as investors rotated into legacy chipmakers. The move helped support the Dow Jones Industrial Average in early trading.
Denison Mines advanced 11.1% to $2.96benefiting from continued strength in uranium and energy-transition metals.
BigBear.ai rose 6.2% to $5.74extending gains as interest in defense- and AI-related stocks resurfaced.
Top losers today:
Tesla fell 1.4% to $443.42 after fourth-quarter delivery data disappointed Wall Street. The stock remained volatile as investors reassessed growth expectations for 2026.
Amazon slid 2.2% to $225.80weighing on both the Nasdaq and S&P 500. Traders locked in profits after the stock’s strong multi-year run.
2026 market outlook: Fed uncertainty, Trump policy risks, and metals surge
Beyond daily price action, investors are already looking ahead. Every major Wall Street forecaster tracked by Bloomberg expects stocks to rise again in 2026. That would mark a fourth consecutive year of gains. Still, risks are building.
The Federal Reserve remains a key unknown. Divisions that surfaced in 2025 are expected to continue. Markets largely expect rates to hold steady at the January meeting, with March still debated. Political uncertainty adds another layer. President Donald Trump has signaled plans to appoint a new Fed chair, raising questions about future policy direction and the fate of proposed tariffs.
Outside equities, safe-haven and hard assets sent a message. Gold and silver rose to start the year, extending their strongest annual performances since 1979. Aluminum climbed above $3,000 per ton for the first time since 2022. These moves suggest investors are hedging against inflation surprises and policy shocks, even as they stay invested in stocks.