Dow Jones Plummets Amid Tariff Panic—While Nasdaq Defies Gravity on Tech Earnings Surge

Wall Street's split personality disorder flares up again.

Dow tanks as trade war ghosts haunt the floor

Tariff tremors rattled blue chips—just as Big Tech's earnings bonanza sent Nasdaq soaring to fresh all-time highs. Another day, another reminder that 'diversification' is just a fancy word for 'owning both the problem and the solution.'

Tech giants laugh all the way to the bank

While industrial stocks got caught in the crossfire of trade war rhetoric, FAANG stocks moonwalked past earnings expectations. Because nothing says 'healthy economy' like a handful of Silicon Valley behemoths propping up the entire market.

The closer: Some things never change

Traditional investors clutching their pearls. Tech bros popping champagne. And your 401k? Still caught in the middle—watching the circus unfold one tariff tweet at a time.

Dow Jones Industrial Average heatmap | Source: TipRanks

Markets were focused on tech earnings, particularly Microsoft and Meta, which reported strong quarterly results. After the announcements, Microsoft rose 9% and Meta gained 12%. Traders are now awaiting Apple’s earnings, scheduled after the market close on Thursday.

Apple’s report is critical because of the company’s globally distributed manufacturing. It will help gauge the effect of President Donald Trump’s tariffs on U.S. businesses, especially after TRUMP threatened a 25% tariff on iPhones if the company does not move production to the U.S.

Trump tariff deadline looms, as Mexico gets relief

On July 31, the WHITE House extended the tariff deadline for Mexico by 90 days, giving the two countries more time to negotiate. Trump said he had a “very successful” conversation with Mexican President Claudia Sheinbaum and highlighted the unique relationship between the two nations.

For the U.S., Mexico is a key trading partner and a major recipient of American investment. Punitive tariffs could place U.S. companies with production in Mexico in a difficult position and significantly impact U.S. consumers.

Still, several other major U.S. trading partners, including Canada, India, and Brazil, still face increased tariffs starting on August 1. Still, White House aides stated that negotiations WOULD continue even after that date.