Stocks resumed their steep pullback on Thursday as the latest concessions from the White House on President Donald Trump's controversial tariff policies failed to calm rattled investors.

The Dow Jones Industrial Average slid 427.51 points lower, or 0.99%, to 42,579.08, after falling more than 600 points at session lows. The S&P 500 tumbled 1.78% to 5,738.52. The Nasdaq Composite dropped 2.61% to 18,069.26, officially closing in correction territory, which is when an index falls 10% from a recent high.

Thursday's declines come as U.S. tariffs on Canadian, Mexican and Chinese imports have rocked financial markets after taking effect this week. Canada and China each responded with retaliatory levies of their own, while Mexico said it would unveil measures over the weekend. The Nasdaq has dropped more than 4% week to date, while the Dow and S&P 500 have slid around 2.9% and 3.6%, respectively. All three are on pace for their worst week since September 2024.

Thursday brought a return to selling after the White House's announcement of a one-month delay for tariffs on automakers that sell cars that comply with the United States-Mexico-Canada Agreement spurred a recovery rally on Wednesday. That gave hope to investors expecting the levies to be further walked back, in turn mitigating the expected hit to the U.S. economy.

Trump on Thursday announced that more Canadian and Mexican goods made in accordance with the USMCA agreement would receive a one-month extension on the taxes. But that news did not deliver the same upward momentum in the market seen in the prior session as uncertainty around the policy swirled.

Concerns mounted on Thursday afternoon after Treasury Secretary Scott Bessent argued in favor of tariffs, leaving investors questioning how far the White House would be willing to go in making compromises on the embattled policy over the long term. Investors appeared fatigued by the barrage of statements from administration members and changes to tariff policy in recent days.

"To the extent that another country's practices harm our own economy and people, the United States will respond," Bessent said during an Economic Club of New York event. "This is the America-first trade policy."

Bessent also described Canadian Prime Minister Justin Trudeau as a "numbskull," while saying the administration was focused more on Main Street than Wall Street. The S&P 500 hit its lowest point since early November in the session.

"You're just having confusion," said Keith Lerner, chief market strategist at Truist. "That confusion is permeating into the day-to-day swings of the market."

A continued unwind of the popular artificial intelligence trade that has boosted the market for more than a year also hurt stocks on Thursday.

Notably, chipmaker Marvell Technology dropped nearly 20% after the company issued mixed first-quarter guidance. Other semiconductor builders such as ON Semiconductor, Taiwan Semiconductor and Nvidia also slid.

On top of that, a string of recent economic reports raised alarm that Trump's policies could hinder the U.S. economy. Those came ahead of Friday's closely watched jobs report.

The Federal Reserve's Beige Book and the Institute for Supply Management's manufacturing reading both indicated fear of rising input costs because of the tariffs. Data from Challenger, Gray & Christmas released Thursday showed layoff announcements soared to 2020 highs, which the outplacement firm found was driven by Trump and billionaire Elon Musk's efforts to shrink the federal government's workforce.

Stocks finish lower

Stocks closed Thursday in the red as uncertainties around tariffs continued to drive away traders.

The Dow finished 1% lower, while the S&P 500 slid 1.8%. The Nasdaq Composite tumbled 2.6%, closing the session in correction territory.

— Alex Harring

Some investors say they are trying to tune out the trade war noise

Certuity chief investment officer Scott Welch said Thursday that investors would be better off taking a break from following the constantly evolving ins-and-outs of the trade war.

"That's what the market's paying attention to right now. In my opinion, everybody should just take their dog for a walk and relax," Welch said.

Globalt Investments senior portfolio manager Thomas Martin similarly is sticking to a patience approach.

"There's just things that are changing so much. If you don't like how things are now, just wait a minute, right? It's like the weather in the mountains. So we're not trying to trade every little thing that's going on," Martin said.

— Jesse Pound

Bank stocks head for their worst week since August

Heightened uncertainty around President Trump's newest tariff policies, alongside emerging signs of a softening economy, have pushed bank stocks lower this week.

Although Trump's latest tariffs have instigated a broader market sell-off, bank stocks have been especially pummeled.

Both the SPDR S&P Regional Banking ETF (KRE) and the SPDR S&P Bank ETF (KBE) slipped 2% on Thursday, putting the exchange-traded funds on pace for a 7% weekly decline. This marks the worst week for both ETFs since Aug. 2, 2024.

Bulge-bracket names have also indiscriminately been hit hard. Shares of Citigroup were last trading 12% lower on the week, followed by a 10% decline in Morgan Stanley. Goldman Sachs stock was 8% lower, while shares of JPMorgan shed 7% on the week.

— Lisa Kailai Han

Bitcoin to stay under pressure in the near term, JPMorgan warns

JPMorgan doesn't expect a big move higher in crypto in the near future.

Cryptocurrencies including bitcoin rallied to start the week following a social media update by President Trump on the widely expected bitcoin stockpile, which has become a "strategic crypto reserve."

Those gains quickly reversed as part of a broader sell-off on tariff concerns, but there is also lingering skepticism about the crypto reserve now that the market has had some time to digest it.

"Overall we believe that crypto markets are likely to remain under pressure over the near term," JPMorgan's Nikolaos Panigirtzoglou said in a note Wednesday.

For more, read our full story here.

— Tanaya Macheel

S&P 500 sees longest period of heightened volatility since 2020, data shows

The S&P 500 has recorded a string of recent volatility that has not been seen in nearly half a decade, according to Bespoke Investment Group.

The broad index is on track to notch its sixth straight session with a move either up or down of at least 1%. A streak of that length has not been seen since November 2020, Bespoke data shows.

— Alex Harring

Tesla pacing for seventh straight weekly decline, trading at lowest level since Nov. 5

Shares of Tesla tumbled a further 6% on Thursday and were last trading around $263.64. The electric vehicle stock is now trading at its lowest levels since Nov. 5, when it closed at $251.44.

On the week, Tesla is down 10%, putting it on pace for its seventh straight week of losses. This would mark its longest weekly losing streak on record.

Since President Trump took office, Tesla has lost around $500 billion in market capitalization, or around 37% of its value. For context, only 14 companies in the S&P 500 are worth more than $500 billion.

— Adrian van Hauwermeiren, Lisa Kailai Han

Amazon, Teladoc among stocks making biggest midday moves

Check out the companies making headlines in midday trading:

• Amazon — Shares of the megacap e-commerce giant fell more than 3%, giving back its 2.2% gain from the previous session. The stock is on pace to end the week down more than 5%.
• Teladoc — Telehealth firms Teladoc and LifeMD announced Thursday that they signed an agreement to offer Eli Lilly's weight loss drug Zepbound to self-paying patients, leading Teladoc shares more than 4% higher. LifeMD shares dipped nearly 1%.
• Venture Global — Shares of the natural gas exporter, which went public in January, plummeted more than 30% after the company posted a fourth-quarter revenue decline.

For the full list, read here.

— Pia Singh

S&P 500 faces broad sell-off

A broad decline pushed the S&P 500 about 1.8% lower in afternoon trading on Thursday.

About four out of every five members headed for losses. All 11 sectors that comprise the broad index traded in the red.

Vistra led the index down with a slide of more than 7%. Palantir followed, dropping just under 7%.

— Alex Harring

Mexican stock market ETF pops on U.S. tariff pause

An exchange-traded fund tracking Mexican stocks popped as much as 2% after President Trump paused tariffs on certain Mexican imports until April 2. The iShares MSCI Mexico ETF (EWW) was last up just 0.2%, well off its intraday high.

— Fred Imbert

Individual investors still overwhelmingly bearish and minimally bullish, AAII survey shows

Main Street retail investors remained overwhelmingly bearish on the outlook for stocks over the next six months in the latest American Association of Individual Investors weekly survey (57.1% vs. 60.6% last week), with only a small minority staying bullish (19.3% vs. 19.4%).

The historical average is that just 31% of investors are typically bearish while 37.5% are usually bullish. The rest have a neutral opinion. Last week's 60.6% reading for bearish investors was the most since September 2022.

In a special question asked this week, a plurality of investors (28.9%) said they had grown "much more conservative" or cautious in their approach to investing recently, against 26.9% who said they had become "slightly more conservative." Only 5% said they had become more aggressive in their investments, with roughly 20% each saying they had made no changes to their holdings or only modest changes.

— Scott Schnipper

Stocks come off lows

Stocks pared losses in late-morning trading after Commerce Secretary Howard Lutnick said more industries could see tariff delays.

The Dow fell around 140 points shortly before 11 a.m. ET after plunging more than 600 points at session lows. The S&P 500 slipped 0.7%, well off its low of 1.6% seen earlier. The Nasdaq Composite shed 0.9% after trading 2% down at one point.

— Alex Harring

Insurance coverage for GLP-1 obesity drugs is on the rise, Morgan Stanley says

In the second half of last year, the momentum behind obesity drug stocks faded as investors worried whether these drugs would live up to the hype. Now, both Eli Lilly and Novo Nordisk shares are positive year to date, with gains of about 19% and 3%, respectively.

Although both stocks were trading lower on Thursday, renewed enthusiasm may be warranted, according to Morgan Stanley. The firm surveyed 150 senior human resources executives at large U.S. companies to gauge insurance coverage. The survey suggests about 59% of companies now include GLP-1 drugs such as Wegovy and Zepbound for obesity in their plans, compared with 44% in 2024. About 64% anticipate they will cover the drugs for this condition in 2026, analyst Terence Flynn said.

With broader coverage, those surveyed expect "meaningful volume growth" in filled prescriptions this year, he said.

Further, Flynn walked away from these conversations expecting that the use of compounded GLP-1 drugs late last year hampered the growth of the branded products. "Given that the shortages for both LLY's trizepatide and Novo's semaglutide are now resolved … this could provide a tailwind," he said.

Morgan Stanley is more positive on Lilly's stock than that of equal weight-rated Novo Nordisk.

— Christina Cheddar Berk

AI stocks drop

Stocks tied to artificial intelligence led the market down on Thursday, marking a turn after the trade has seen big runs in recent years.

Chipmaker Marvell Technology plunged around 18% after the company issued mixed first-quarter guidance. That overshadowed a stronger-than-expected earnings report.

ON Semiconductor slid nearly 6%, while Palantir pulled back more than 4%. Nvidia and Taiwan Semiconductor fell about 3% and 2%, respectively.

— Alex Harring

Stocks open lower

The three major indexes kicked off Thursday's session in the red.

The Dow lost 0.95% shortly after 9:30 a.m. ET, while the S&P 500 slid 1.4%. The Nasdaq Composite dropped 1.9%.

— Alex Harring

MongoDB, Marvell Technology among the names making moves before the bell

Check out the stocks making moves in the premarket:

• MongoDB — The database software maker tumbled 18% after issuing weak guidance for fiscal 2026. MongoDB anticipates adjusted earnings per share of $2.44 to $2.62, below the $3.34 per share expected from analysts polled by LSEG. It guided for revenue of $2.24 billion to $2.28 billion, versus the $2.32 billion consensus estimate.
• Marvell Technology — Shares of the semiconductor company slid 18% after reporting a modest beat for its fourth-quarter results. Marvell reported 60 cents in adjusted earnings per share on $1.82 billion of revenue. Analysts surveyed by LSEG were expecting 59 cents per share on $1.80 billion of revenue. Barclays suggested in a note to clients that strong results for other Amazon supply chain companies had raised expectations for Marvell ahead of the report.
• JD.com — U.S. shares of the Chinese e-commerce company jumped 5% after the company's fourth-quarter earnings and revenue topped Wall Street's expectations, per FactSet. JD.com also announced that its board of directors approved an annual cash dividend for the year that ended Dec. 31, 2024.

Read here for the full list.

— Sean Conlon

Jobless claims total 221,000, lower than expected

Initial claims for unemployment benefits dipped last week despite the Trump administration's moves to shrink the government workforce, the Labor Department reported Thursday.

Claims totaled a seasonally adjusted 221,000 for the week ending March 1, down 21,000 from the prior period and below the Dow Jones estimate for 235,000. The total was about in line with the four-week average of 224,250.

Continuing claims, which run a week behind, rose to just shy of 1.9 million, an increase of 42,000 from the prior period.

— Jeff Cox

Layoffs hit 2020 high as Trump, Musk shrink government

Job cuts surged to their highest level in nearly five years in February, due in part to President Trump's efforts to cut down the federal government workforce, outplacement firm Challenger, Gray & Christmas reported Thursday.

The firm reported that U.S. employers announced 172,017 layoffs for the month, up 245% from January and the highest monthly count since July 2020. It marked the highest total for the month of February since 2009 during the global financial crisis.

More than one-third of the total came from billionaire entrepreneur Elon Musk's efforts, with Trump's blessing, to reduce the federal headcount through the so-called DOGE initiative. Challenger put the total of announced federal job cuts at 62,242, spanning 17 agencies.

— Jeff Cox, Alex Harring

Stocks head for losing week

Despite Wednesday's bounce, stocks are still on pace to notch losses this week.

The Dow and S&P 500 have each dropped 1.9% week to date. The Nasdaq Composite has slid 1.6%.

— Alex Harring

Marvell Technology falls even after earnings beat

Shares of Marvell Technology dropped more than 16% even after the company reported fourth-quarter results that beat analysts' expectations.

The chipmaker earned 60 cents per share, excluding certain items, on revenue of $1.82 billion. Analysts polled by LSEG expected a profit of 59 cents per share on revenue of $1.8 billion.

The company's guidance for the first quarter was mixed. Marvell sees earnings per share of 61 cents, plus or minus 5 cents. Analysts polled by FactSet expected guidance of 60 cents per share.

— Fred Imbert

More S&P 500 constituents are outperforming as leadership broadens, according to Fidelity's Timmer

Market breadth is improving, even amid high levels of consolidation, according to Jurrien Timmer, director of global macro at Fidelity.

"So far, the S&P 500 has notched a 78% price gain since the 2022 low. That's still below the average but in line with past cycles in which rising rates restrained equity prices," Timmer wrote in a post on social media site X. "Meanwhile, the narrow leadership has gotten slightly less narrow, with 40% of the index outperforming on a year-over-year basis (up from 26% in 2023)."

— Pia Singh

Marvell, Victoria's Secret making moves after Wednesday's close

Check out the companies making headlines in after-hours trading:

• Marvell Technology — Shares of the semiconductor solutions provider plunged about 13%. In the fiscal fourth quarter, Marvell reported adjusted earnings of 60 cents per share on revenue of $1.82 billion, while analysts polled by LSEG forecast earnings of 59 cents per share on revenue of $1.80 billion. The company also offered guidance for the first quarter that was just slightly higher than estimates.
• Zscaler — Shares of the cloud security company jumped 4% on the back of its strong quarterly financials. For its fiscal second quarter, Zscaler reported 78 cents per share in adjusted earnings on revenue of $648 million. Analysts surveyed by LSEG expected earnings of 69 cents per share and revenue of $636 million.
• Victoria's Secret — The lingerie retailer slipped 5%. Victoria's Secret said first-quarter revenue will range from $1.30 billion to $1.33 billion, while analysts polled by LESG sought $1.39 billion. Fourth-quarter revenue beat expectations, however.

For more, read here.

— Pia Singh

Stock futures open little changed on Wednesday

Futures tied to the Dow Jones Industrial Average hovered near the flatline shortly after 6 p.m. ET. S&P 500 futures shed 0.01%, while Nasdaq 100 futures dipped 0.2%.

— Pia Singh