Markets News, June 3, 2026: Indexes Fall, Ending Run of Records; S&P 500 Snaps 9-Session Winning Streak; Bond Yields, Oil Prices Gain

A run of records for the U.S. stock indexes came to an end today.

All three leading indexes finished lower Wednesday after five straight sessions of closing records. The blue-chip Dow Jones Industrial Average, tech-heavy Nasdaq Composite, and benchmark S&P 500 finished down a respective 1.2%, 0.9%, and 0.7%, with Dow dropping more than 600 points and the S&P 500 snapping a nine-session winning streak.

Shares of IBM (IBM), Salesforce (CRM), and Magnificent Seven tech giants Microsoft (MSFT) and Nvidia (NVDA) weighed on the Dow, falling between roughly 3% and 7%.

Oil prices rose after U.S. Central Command, or CENTCOM, said Tuesday night that Iranian drones unsuccessfully attempted to attack American forces in Kuwait, and that the U.S. "conducted self-defense strikes on Qeshm Island." Israeli Prime Minister Benjamin Netanyahu told CNBC today that the nation and U.S. are prepared to strike Iran again if necessary. West Texas Intermediate futures, the U.S. crude oil benchmark, were up 2.3% to near $96 a barrel at 4 p.m. ET, while front-month contracts of Brent crude, the global benchmark, settled up 1.9% to $97.81.

Yesterday, an AI-driven advance powered the blue-chip Dow and benchmark S&P 500 to both intraday and closing records, and the tech-heavy Nasdaq Composite to a closing high. Marvell Technology (MRVL) led the Nasdaq with a 33% surge, and rose 5% further Wednesday. Hewlett Packard Enterprise (HPE) paced the S&P 500 with a 19% jump yesterday, then fell nearly 2% in today's trading.

Broadcom (AVGO) shares slipped 0.5% ahead of its earnings report after rising nearly 5% Tuesday to a record close. Crowdstrike (CRWD), which also was slated to issue results after markets close, declined nearly 3%.

In post-earnings moves, Palo Alto Networks (PANW) fell nearly 6%, Ulta Beauty (ULTA) pulled back almost 5%, GitLab (GTLB) declined about 3%, GameStop (GME) jumped 6%, Medtronic (MDT) added 6%, and Macy's (M) rose less than 1%.

Bitcoin was trading around $65,600, down from overnight highs around $67,800. The U.S. dollar index, which tracks the value of the greenback against a basket of foreign currencies, was up 0.3% at 99.52.

The 10-year Treasury yield, which influences interest rates on mortgages and other consumer loans, was above 4.49%, up nearly five basis points from Tuesday's close. Gold futures declined 1% to $4,475 an ounce.

Trump Pokes More Holes in His Tariff Wall, Even As He Rebuilds It

Another week, another set of tariffs, and another set of exceptions to them.

President Donald Trump's administration proposed a fresh set of tariffs Tuesday evening targeting 60 countries, including major trading partners, which it accuses of having inadequate safeguards against using products made with forced labor. The countries will be subject to a tariff of up to 12.5%, going into effect at some point after a hearing scheduled for July 7, the U.S. Trade Representative said.

Those tariffs came with a long list of exemptions: you'll still be able to import "Coral, shells, cuttlebone and similar materials, unworked or simply prepared but not cut to shape; powder and waste thereof" without paying any additional import taxes. Also exempt are coffee, beef, aircraft parts and other items, the list of which runs 76 pages.

Mario Tama / Getty Images

Separately, on Monday, the White House said it was cutting tariffs on industrial and agricultural equipment including combines, harvesters, bulldozers and forklifts to 15% from 25%, and down to 10% if they were made with mostly American metal.

Read the full article here.

-Diccon Hyatt

Less Gas, More Deals—Here’s How High Gas Prices Are Changing the Way Americans Spend

Don’t call it demand destruction. Instead, let’s say it’s demand moderation.

Americans facing the highest fuel prices in years are putting less gas in their tanks and making more frequent visits to the pump, according to retailers, mirroring the way Americans have adjusted their food shopping habits to contend with inflation. Drivers feeling the pinch are increasingly seeking out value at wholesale clubs like Costco (COST), Walmart’s (WMT) Sam’s Club, and BJ’s, all of which offer members discounted gas. According to location intelligence firm Placer.ai, visits to BJ’s Gas, Costco Gas, and Sam’s Club Fuel surged in early March as prices began to rise. At all three chains, the share of customers making multiple visits a month rose year-over-year in both March and April.

“In the most recent period, the number of gallons that customers fill up with when they come to our fuel stations fell below 10 for the first time since 2022,” said Walmart CFO John David Rainey on the company’s quarterly earnings call last month. Bob Eddy, CEO of BJ’s Wholesale Club (BJ), told analysts his company had observed “some modest shifts in behavior” among consumers visiting its gas stations, “with average gallons per fill-up slightly lower.”

David Paul Morris/Bloomberg via Getty Images

The national average gas price is up more than 40% since late February, when Iran responded to U.S. and Israeli airstrikes by effectively closing the Strait of Hormuz, a vital trade route through which about a fifth of the world’s seaborne oil passed before the war. The national average price per gallon hit $4.56, a nearly four-year high and just 10% off a record, in early May before moderating slightly in recent weeks.

Read the full article here.

-Colin Laidley

Photonics Stocks Lumentum, Coherent Fall After Soaring Yesterday

Lumentum Holdings (LITE) and Coherent (COHR) shares are giving back some of their sharp gains today.

A day after surging nearly 14% and 18%, respectively, Lumentum stock sank 9% and fellow photonics firm Coherent declined nearly 2.5% in recent trading. Lumentum was the worst-performing stock in the S&P 500 and Nasdaq.

Optical stocks have soared this year amid seemingly relentless AI infrastructure demand. Since the start of 2026, shares of Lumentum have skyrocketed more than 150% and those of Coherent have added more than 125%.

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S&P 500 Lower Despite 8 of 11 Sectors in Green

Eight of the 11 sectors tracked by the S&P 500 are in positive territory today. That's the good news.

The benchmark index was down 0.6% overall Wednesday afternoon even though a comfortably majority of sectors were in the green.

The S&P 500 Information Technology and Consumer Discretionary Sectors are leading declines, down roughly 1.5% apiece. Financials were down 0.9%.

Energy was the top-performing sector, up roughly 1.9%, as oil prices surged.

We Might Have Just Learned What SpaceX's IPO Price Will Be

SpaceX hasn't officially said exactly when its IPO will happen—or at what price. But a fresh round of reporting offers the most detailed clues yet.

Reuters and other news organizations have in recent reports said the Elon Musk-led company intends to offer shares for $135 apiece, selling 555.6 million shares to raise about $75 billion. That would be the biggest raise of all time, and would point toward a valuation of $1.75 trillion—a number that would immediately place the company in the upper echelon of the S&P 500's membership when sorted by market value. (SpaceX did not respond to Investopedia's request for comment in time for publication.)

Reports have indicated that SpaceX's IPO could happen as soon as next week, kicking off what's expected to be a rush of massive new listings.

Samuel Boivin / NurPhoto via Getty Images

Anthropic, which last month raised money at a private valuation approaching $1 trillion, recently said it's moving closer to an IPO, filing confidentially with the SEC; Investors are also eyeing the possibility of one from OpenAI. Taken together, the deals could draw substantial interest and, perhaps, pull some away from other assets as investors look to get behind companies seen as driving markets forward in the back half of 2026. (They've already shown an affinity for space-themed ETFs.)

Read the full article here.

-David Marino-Nachison

Palo Alto Networks Stock Falls Despite Solid Results, Rosy Outlook

Shares of Palo Alto Networks (PANW) are losing ground even though the cybersecurity firm posted better-than-expected quarterly results.

The company said late Tuesday it earned an adjusted 85 cents per share on $3.0 billion in revenue in its fiscal third quarter, each moderately beating the analyst consensus compiled by Visible Alpha. The company's outlook also topped estimates.

The stock was likely facing high expectations after rallying to record highs ahead of the report, as sentiment has improved around the cybersecurity sector recently.

Chris Jung / NurPhoto via Getty Images

Palo Alto shares, which initially jumped in after-hours trading yesterday before turning lower, were down about 5% in recent trading. Still, shares have soared more than 50% year-to-date.

-Aaron McDade

OECD Warns of Slowing Economic Growth Due to Iran War

The Iran war is hampering economic growth across the globe, according to the Organisation for Economic Co-operation and Development (OECD).

The group said in its latest economic outlook report released this morning that the conflict in the Middle East "has become the dominant force" shaping the future of the economy, as soaring fuel prices have caused broader inflation across the globe.

The OECD said that assuming a "lasting resolution" to the conflict, global economic growth will likely slow to 2.8% this year from 3.4% in 2025, and increase to 3.1% in 2027.

With a continued disruption, however, growth could slow to 2.1% this year and 1.8% next year.

-Aaron McDade

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Dan Ives Says Palo Alto Networks Had 'Wembanyama-Like Quarter'

Dan Ives saw a lot of 6-foot-2 point guard Jalen Brunson in Snowflake's recent earnings report. He sees a lot of 7-foot-4 center Victor Wembanyama in Palo Alto Networks'.

Ives—Wedbush Securities' Global Head of Tech Research and Managing Director, Senior Equity Analyst—wrote in a research note following Pa