S&P 500 Slips as Inflation Data Offsets Big Tech Strength; Align Technology Plunges

The S&P 500 closed 0.4% lower on Thursday as investors digested hotter-than-expected inflation data ahead of critical trade and labor market developments. The Personal Consumption Expenditures (PCE) index accelerated in June, fueling concerns about prolonged Federal Reserve tightening despite robust earnings from tech giants.

Align Technology (ALGN) shares cratered 36.6% - the worst performer in the index - after missing quarterly estimates and announcing restructuring plans. Meanwhile, eBay surged on strong gross merchandise volume growth, demonstrating the uneven impact of macroeconomic pressures across sectors.

All eyes now turn to Friday's jobs report and the August 1 tariff deadline, which could redefine market expectations for monetary policy. The Nasdaq Composite showed relative resilience, dipping less than 0.1%, as investors continued rewarding tech outperformance amidst the uncertain economic backdrop.