The US markets ended in red on Tuesday as the global bond selloff deepened and crude prices spiked amid fading hopes for a near-term solution to the U.S.-Israeli war with Iran. Traders remained cautious as a report released by the Institute for Supply Management (ISM) showed a modest slowdown in the pace of growth in U.S. manufacturing activity in the month of August. The ISM said its manufacturing PMI fell to 54.6 in August 2026 from July’s near four-year high of 55.6, below market expectations of 55.2. The reading nevertheless marked the eighth consecutive month of expansion in manufacturing activity, although growth moderated as new orders slowed sharply to 53.7 from 56.7. Some concern also came as the Commerce Department released a report showed construction spending in the US fell 0.5% month-over-month to a seasonally adjusted annual rate of $2,158 billion in July 2026, following a upwardly revised flat reading in June and missing market expectations of a flat reading. Residential construction spending fell 1.3%, while non-residential spending edged up 0.1%. However, losses remain capped as traders took some support with a report released by the Labor Department showed job openings in the US increased by 89,000 to 7.271 million in July 2026 from a downwardly revised 7.182 million in June, below market expectations of 7.30 million.
Dow Jones Industrial Average fell by 419.02 points or 0.79 percent to 52,766.88, Nasdaq declined by 271.11 points or 1.03 percent to 26,099.77 and S&P 500 was down by 54.67 points or 0.71 percent to 7,631.47.
About The Author
