Mixed U.S. Stock Performance Amid Trade Tensions and Inflation Data

The Dow Jones Industrial Average fell 320 points as inflation concerns weighed on traditional sectors, while the Nasdaq Composite gained 100 points fueled by Nvidia's rally. Market participants digested conflicting signals from trade policy and economic data.

June's CPI ROSE 2.7% annually, marking the first clear signs of tariff-driven inflation. Yet markets showed remarkable resilience compared to previous trade war escalations, particularly in tech-heavy indices where Nvidia's China-exposed business model proved advantageous.

The absence of China from the latest tariff threats provided relief to semiconductor and technology stocks. Nvidia's outperformance underscored the sector's sensitivity to Sino-American trade relations, with investors betting on continued demand for advanced computing components despite geopolitical tensions.