The session illustrated how directly Trump’s public statements can redirect capital across sectors — driving homebuilder losses, pulling crude prices lower, and leaving bond traders to weigh a batch of economic data that offered the Federal Reserve its most encouraging inflation signal in months.
NEW YORK — Wall Street’s four-day winning streak ended Wednesday as the S&P 500 slipped from its latest record, with homebuilder stocks and Blackstone absorbing the session’s sharpest losses after President Donald Trump posted social media comments targeting large institutional buyers of single-family homes. Crude oil prices also fell after Trump announced a deal to bring Venezuelan oil to the United States.
The S&P 500 dropped 23.89 points to 6,920.93, its first decline in four sessions. The Dow Jones Industrial Average shed 466 points to 48,996.08, pulling back from a record set Tuesday. The Nasdaq composite moved against the broader trend, adding 37.10 points to close at 23,584.27.
Homebuilders, Blackstone fall on Trump housing post
Some of the session’s steepest losses struck industries Trump targeted in posts on his social media network.
Homebuilder stocks fell after Trump suggested measures to prevent large institutional investors from purchasing single-family homes, framing the proposal as a step toward making housing more affordable. D.R. Horton fell 3.6% and PulteGroup fell 3.2%. Blackstone, the large investment firm, briefly dropped more than 9% before paring its loss to 5.6%.
The proposed restriction, if enacted, would reduce a category of buyer that has grown substantially in the U.S. residential market.
Oil retreats on Venezuelan supply announcement
Crude prices fell after Trump said Venezuela would supply between 30 million and 50 million barrels of oil to the United States. Benchmark U.S. crude dropped 2% to $55.99 a barrel. Brent crude, the international standard, fell 1.2% to $59.96 a barrel.
Oil prices had already retreated to 2021 levels following Trump’s ouster of Venezuela’s president over the weekend — a move that initially lifted expectations of expanded Venezuelan output. Analysts have noted that substantially increasing production from Venezuela’s fields would likely require significant investment to rehabilitate aging infrastructure.
Treasury yields ease as economic data offers mixed signals
Bond markets rallied modestly as a series of economic reports gave Federal Reserve officials reason for cautious optimism.
The Institute for Supply Management reported that growth in the U.S. services sector — covering retailers, finance companies, and other businesses — accelerated more than economists had forecast last month. The same ISM report showed an inflation gauge easing to its lowest level since March.
Company executives continued to describe pressures from both inflation and economic uncertainty. “In general, business is flat,” one agriculture-sector business told the ISM. “Value brands are still experiencing higher demand. But premium brands struggle to maintain market share.”
The 10-year Treasury yield fell to 4.14% from 4.18% late Tuesday. The 2-year yield, which tracks Federal Reserve policy expectations more closely, held at 3.47%, leaving the 10-year–2-year spread at 0.68 percentage points.
Traders priced in less than a 12% probability of a Fed rate cut at its next meeting later this month, down slightly from the prior day, according to CME Group data. The Fed cut its benchmark rate three times during the prior year to support a slowing labor market, but officials have signaled fewer reductions ahead, citing persistent inflation above the central bank’s 2% target.
Separate labor market reports offered conflicting signals Wednesday. One showed employers scaled back their advertised job openings last month, while a second indicated private-sector employers added a net 41,000 jobs. A broader Labor Department employment report is due Friday.
Media stocks diverge on streaming deal
Warner Bros. Discovery rose 0.4% after again rejecting a buyout proposal from Paramount and directing its shareholders to favor a competing offer from Netflix. Paramount Skydance fell 1%, while Netflix gained 0.1%.
Global markets mixed
Stock indexes fell 0.7% in London, 0.9% in Hong Kong, and 1.1% in Tokyo. Seoul gained 0.6%.