Market Midday: Stocks Slide, Dow Falls 850, Nasdaq in Correction • 7/29/26

I'm Jessica Edinger, CNBC. Losses on Wall Street accelerate a selloff this afternoon for the major averages. Oil is higher. President Trump threatening Iran and the Fed with an interest rate decision coming at 2:00 p.m. Eastern. The Dow down 867 points. Caterpillar shares leading it lower. They're down 7%. The Dow itself is down 1 and a.5%. The S&P 500 index down 68 points. That's almost 1%. And the Nasdaq down 275 points. Now that's more than 1%. Chipmaker shares are in the red. There are companies whose shares hit fresh all-time highs today. Coca-Cola, GM, and Apple. The NASDAQ's in correction according to Fairlead Strategies Katie Stockton on CNBC. Down 10% from a recent high. >> We have a downdraft already of more than about 10%. Right. So, we're at that point where it's in correction territory in our work. We'd already seen the same loss of momentum that the S&P is now suffering. So, it it doesn't really bode well. Of course, it maybe it doesn't need to be as dramatic for the S&P 500. The Fed will announce its decision on interest rates today and the forecast is for it to hold them steady. But, Renaissance Macros Neil Duta had this take on core inflation on CNBC as a reason possibly for the Fed to raise rates. We had one good month uh pretty narrow in scope. Uh the first 5 months poor PC inflation ran twice the Fed's target. It ran over 4% at an annual rate. This isn't necessarily my reaction function, but when you go through what the hawks have been saying, they probably should shoot for the moon right now. Again, with what's going on with oil, right, it's sort of a fool me once, uh shame on you, fool me twice, shame on me. uh inventories uh have been drawn down and that's putting additional upward pressure on oil this morning. That's going to have implications for inflation expectations which the Fed uh is clearly concerned about. >> Facebook and Instagram parrot Meta on deck to report quarterly results this afternoon after the closing bell. Here's CNBC's Julia Borston. >> Investors are looking for an evidence that Meta's AI investments will pay off. A key metric that will reveal whether AI is making Meta's products stickier. daily active people who use Meta's apps. That number declined sequentially in the first quarter for the first time ever. Meta is also fighting lawsuits across the country here about the addictive nature of its design for teens. With Meta Shares down 12% since its last earnings, analysts are bullish. 90% have a buy rating. The rest have holds, no sell ratings. Proctor and Gamble shares fell on its quarterly results. PNG CFO Andre Schulton noted on CNBC, there are some headwinds for the maker of consumer products like Tide, >> "Our base scenario assumes things pretty much stay as they are, about $90 a barrel oil and the conflict continues, which means we continue to see transportation increases. We continue to see some supply chain constraints and that gives us about a billion dollars after tax headwind for the year. If the conflict ends earlier, oil prices come down, I think we'll see a positive effect on the consumer. If if it goes the other way, it goes the other way. >> You can get more on the day in business at cnbc.com. I'm Jessica Edinger, CNBC.