Stock market today: S&P 500, Nasdaq fall amid Fed rate uncertainty as Trump mulls Iran move

US stocks closed the session mixed on Friday as investors navigated a flurry of developments across multiple fronts. A Fed governor floated the possibility of interest rate cuts by July, and President Trump put off a decision on whether he would authorize a US strike in Iran.
The Dow Jones Industrial Average (^DJI) rose just above the flatline. The S&P 500 (^GSPC) fell 0.4%, while the tech-heavy Nasdaq Composite (^IXIC) fell 0.6%. All three major averages were little changed for the shortened holiday trading week.
Meanwhile, chip stocks took a hit on Friday after a Wall Street Journal report indicated the US wants to revoke waivers from top global semiconductor manufacturers used for accessing American technology in China. Nvidia (NVDA) fell around 1.1%.
Meanwhile, Trump has introduced a self-imposed two-week time limit on deciding whether to enter the Middle East conflict, via a message relayed on Thursday by the White House press secretary. While the move added another layer of uncertainty to an already cautious market, it also opened a window for diplomacy to persuade Iran to negotiate — an idea its president rejected strongly on Friday.
Eyes are now on European efforts to get Iran back to the table and avert further escalation in tensions. Foreign ministers from France, the UK, and Germany held talks in Geneva with their Iranian counterpart.
Meanwhile, Fed governor Chris Waller on Friday floated the possibility of rate cuts in July, arguing recent inflation data has been tame even amid the introduction of Trump's tariffs.. The central bank held interest rates steady this week, and Federal Reserve Chair Jerome Powell reiterated that policymakers are not rushing to ease, leading to a fresh attack from Trump.
Waller's comments led to a slight uptick in bets on a July cut, though most traders are betting on the next cut coming in September, according to CME Group.
Read more: The latest on Trump's tariffs
Alphabet stock was on pace to end the week in the red as shares of the Google parent company sank more than 3% during Friday's session with tech broadly lower.
The stock is down roughly 4% for the week.
On Thursday, an adviser to Europe's highest court sided with EU regulators in Google's fight against a record 4.34 billion euro ($4.98 billion) fine.
Turkey has also launched an anti-trust investigation into Google. A recent Reuters report noted the company has proposed more changes to its search results to better showcase rivals.
Gold (GC=F) declined 0.3% on Friday after President Trump paused a decision over whether the US will become directly involved in the Israel-Iran conflict.
The two-week timeframe to come to a decision on the matter has raised hopes of diplomacy.
Gold is up nearly 30% this year amid increased demand for the precious metal from central banks and investors seeking out the safe haven as the US dollar (DX=F, DX-Y.NYB) index has weakened.
The Dow Jones Industrial Average (^DJI) gave up session gains to fall below the flat line. The broad-based S&P 500 (^GSPC) and the tech-heavy Nasdaq Composite (^IXIC) were also down.
All three major averages were on pace to end the week in red territory on Friday as Israel and Iran entered their second week of fighting.
Chip stocks were under pressure on Friday after a Wall Street Journal report indicated the US aims to rescind waivers that allow top global semiconductor makers to access American technology at their Chinese plants.
Yahoo Finance's David Hollerith reports:
Read more here.
Oil was on track to close out its third week of gains as investors awaited President Trump's decision on whether the US would directly intervene in the Israel-Iran conflict.
West Texas Intermediate futures (CL=F) traded just below $75 per barrel, and Brent crude (BZ=F), the international benchmark, hovered near $76.
WTI and Brent were up nearly 3% for the week after volatile sessions following the outbreak of the Israel-Iran conflict last Friday.
Wall Street analysts have remained cautious on the recent rally.
On Friday, Citi said its researchers "see a lower risk of material energy flow disruptions from the conflict."
"Affecting the oil supply is not to the benefit of Iran or the US. In the event Iran's 1.1 mbpd of oil exports are disrupted, the team estimates Brent prices could be $75–78/bbl — limited upside from current prices," wrote the analysts.
Semiconductor stocks took a hit on Friday after a Wall Street Journal report indicated a top US official told top global semiconductor manufacturers he wants to rescind waivers used to access American technology in China.
The move would once again inflame US-China trade tensions.
Applied Materials (AMAT) and Lam Research (LRCX) both fell roughly 4%. Taiwan Semiconductor Manufacturing Company (TSM) and Broadcom (AVGO) also declined.
Circle's (CRCL) massive rally shows no signs of cooling.
The stablecoin issuer soared as much as 15% in early trading on Friday, extending its stunning post-IPO surge as Wall Street bets big on crypto's next major disruptor.
"Circle as a top-tier crypto 'disruptor' with a sizeable future opportunity," Seaport Research Partners analyst Jeff Cantwell wrote on Friday.
"On the back of an improving regulatory climate, we expect adoption globally of stablecoins such as USDC," he added.
Cantwell initiated the stock with a Buy rating and a price target of $235 a share from Seaport Research Partners.
During mid-morning trading on Friday, Circle stock hovered near $228.
The move follows a surge of about 30% on Wednesday following the Senate's passage of the GENIUS Act, legislation that provides a federal framework for stablecoins, which are digital tokens backed by assets, such as the US dollar.
US stocks rose on Friday following dovish comments from Fed Governor Chris Waller. Investors also digested President Trump's two-week deadline for deciding whether the US will directly get involved in the Israel-Iran conflict.
The Dow Jones Industrial Average (^DJI) rose 0.3% while the broad-based S&P 500 (^GSPC) gained roughly 0.4%. The tech-heavy Nasdaq Composite (^IXIC) rose 0.4%.
Oil prices fell after the White House said Trump would make his decision within two weeks, leaving room for diplomacy. Still, crude futures were on pace for a third week of gains.
Dovish comments also sent stocks higher after Fed governor Chris Waller on CNBC's Squawk Box suggested that the Federal Reserve could move to lower interest rates in July. Waller said that any inflation from tariffs may be short-lived.
US stock futures edged higher ahead of the opening bell, with contracts on the Dow Jones Industrial Average futures (YM=F) and S&P 500 (ES=F) rising roughly 0.3%, and those on the tech-heavy Nasdaq 100 (NQ=F) adding 0.4%.
The move higher followed dovish comments from Fed governor Chris Waller on CNBC's Squawk Box, suggesting that the Federal Reserve could move to lower interest rates in July. Waller argued that any inflation from tariffs may be short-lived.
"Any tariff inflation ... I don't think is going to be that big, and we should just look through it in terms of setting policy," Waller said. "The data the last few months has been showing that trend inflation is looking pretty good ... We could do this as early as July."
Read more here.
Yahoo Finance's Brooke DiPalma reports:
Read more here.
A recent memo from Amazon (AMZN) CEO Andy Jassy revived concerns about the scope of change to the labor market from artificial intelligence.
While employers see growth and productivity, employees are worried about massive displacement in their jobs. And now, it's something the Federal Reserve is watching closely too:
Hamza Shaban writes in today's Morning Brief:
Read more here.
Accenture (ACN) stock is down more than 4% after the global consultancy company reported new bookings decreased 6% to $19.7 billion in the quarter.
Earnings topped estimates, with revenue coming in at $17.7 billion for the quarter, compared with analysts' average estimate of $17.30 billion, according to data compiled by LSEG.
Reuters reports:
Read more here.
CarMax (KMX) stock climbed 11% in premarket trading after the used car dealer's first quarter earnings and revenue beat Wall Street expectations.
CarMax sold 379,727 cars in the first quarter, a 5.8% increase from the same period last year.
The company also reported earnings per share of $1.38, and revenue rose 6.1% to $7.55 billion, topping estimates.
CarMax CEO Bill Nash said that its omnichannel buying and selling experience "is a key differentiator in a very large and fragmented market that positions us to continue to drive sales, gain market share, and deliver significant year-over-year earnings growth for years to come.'
Bloomberg reports:
Read more here.
Here are some top stocks trending on Yahoo Finance in premarket trading:
Tesla (TSLA) stock rose over 1% before the bell following reports that the EV maker had signed a $557 million energy storage station deal. This deal was announced two days before Elon Musk's expected launch of its robotaxi.
Semiconductor maker, Wolfspeed's (WOLF) stock fell 4% premarket after reports emerged on Thursday it would be taken over by creditors inculding Apollo Global Management. The chipmaker has been struggling recently and the new proposal would put them into bankruptcy.
GMS (GMS) stock was up 23% after the Wall Street Journal (WSJ) reported that Home Depot (HD) the home-improvement giant, has made an offer to acquire GMS, a building-products distribution company, citing people familiar with the matter. The WSJ did not specify a price.
Economic data: Leading index (May); Philadelphia Fed Business Outlook (June)
Earnings: Accenture (ACN), CarMax (KMX), Darden Restaurants (DRI), Kroger (KR)
Here are some of the biggest stories you may have missed yesterday, overnight and early this morning:
The Fed is also in 'wait and see' mode about AI taking jobs
The Trump phone probably won't be built in the US
Investors look past 'blah' Fed meeting
Tesla signs deal for first China battery storage station: Report
Trump to decide on Iran strike within two weeks
Dealmaking in 2025: AI to the rescue
Tariff talks with Canada, EU take focus as deadlines loom
A $20B clock is ticking for OpenAI as Microsoft talks sour
Trump blasts Powell again, calls for effectively 10 Fed rate cuts
China's rare earth magnet shipments halve in May due to export curbs
Why the US housing market is so stuck
Shares of Pop Mart (9992.HK, PMRTY) slid in Hong Kong after a call for stricter regulation of blind-box and trading cards in Chinese state media.
That fueled concerns about prospects for the maker of furry Labubu elf dolls, whose explosive popularity has helped lift Beijing-based Pop Mart's market cap to around $40 billion — twice that of Hasbro (HAS) and Mattel (MAT) combined.
Bloomberg reports:
Read more here.
Oil prices look set to end this week with gains for the third consecutive week in a row. Extreme tensions in the Middle East have put consistent upwards pressure on the commodity, with the recent eruption into outright violence leaving investors looking at supply chains and production facilities with concern.
Reuters reports: `
Read more here.
Alphabet stock was on pace to end the week in the red as shares of the Google parent company sank more than 3% during Friday's session with tech broadly lower.
The stock is down roughly 4% for the week.
On Thursday, an adviser to Europe's highest court sided with EU regulators in Google's fight against a record 4.34 billion euro ($4.98 billion) fine.
Turkey has also launched an anti-trust investigation into Google. A recent Reuters report noted the company has proposed more changes to its search results to better showcase rivals.
Gold (GC=F) declined 0.3% on Friday after President Trump paused a decision over whether the US will become directly involved in the Israel-Iran conflict.
The two-week timeframe to come to a decision on the matter has raised hopes of diplomacy.
Gold is up nearly 30% this year amid increased demand for the precious metal from central banks and investors seeking out the safe haven as the US dollar (DX=F, DX-Y.NYB) index has weakened.
The Dow Jones Industrial Average (^DJI) gave up session gains to fall below the flat line. The broad-based S&P 500 (^GSPC) and the tech-heavy Nasdaq Composite (^IXIC) were also down.
All three major averages were on pace to end the week in red territory on Friday as Israel and Iran entered their second week of fighting.
Chip stocks were under pressure on Friday after a Wall Street Journal report indicated the US aims to rescind waivers that allow top global semiconductor makers to access American technology at their Chinese plants.
Yahoo Finance's David Hollerith reports:
Read more here.
Oil was on track to close out its third week of gains as investors awaited President Trump's decision on whether the US would directly intervene in the Israel-Iran conflict.
West Texas Intermediate futures (CL=F) traded just below $75 per barrel, and Brent crude (BZ=F), the international benchmark, hovered near $76.
WTI and Brent were up nearly 3% for the week after volatile sessions following the outbreak of the Israel-Iran conflict last Friday.
Wall Street analysts have remained cautious on the recent rally.
On Friday, Citi said its researchers "see a lower risk of material energy flow disruptions from the conflict."
"Affecting the oil supply is not to the benefit of Iran or the US. In the event Iran's 1.1 mbpd of oil exports are disrupted, the team estimates Brent prices could be $75–78/bbl — limited upside from current prices," wrote the analysts.
Semiconductor stocks took a hit on Friday after a Wall Street Journal report indicated a top US official told top global semiconductor manufacturers he wants to rescind waivers used to access American technology in China.
The move would once again inflame US-China trade tensions.
Applied Materials (AMAT) and Lam Research (LRCX) both fell roughly 4%. Taiwan Semiconductor Manufacturing Company (TSM) and Broadcom (AVGO) also declined.
Circle's (CRCL) massive rally shows no signs of cooling.
The stablecoin issuer soared as much as 15% in early trading on Friday, extending its stunning post-IPO surge as Wall Street bets big on crypto's next major disruptor.
"Circle as a top-tier crypto 'disruptor' with a sizeable future opportunity," Seaport Research Partners analyst Jeff Cantwell wrote on Friday.
"On the back of an improving regulatory climate, we expect adoption globally of stablecoins such as USDC," he added.
Cantwell initiated the stock with a Buy rating and a price target of $235 a share from Seaport Research Partners.
During mid-morning trading on Friday, Circle stock hovered near $228.
The move follows a surge of about 30% on Wednesday following the Senate's passage of the GENIUS Act, legislation that provides a federal framework for stablecoins, which are digital tokens backed by assets, such as the US dollar.
US stocks rose on Friday following dovish comments from Fed Governor Chris Waller. Investors also digested President Trump's two-week deadline for deciding whether the US will directly get involved in the Israel-Iran conflict.
The Dow Jones Industrial Average (^DJI) rose 0.3% while the broad-based S&P 500 (^GSPC) gained roughly 0.4%. The tech-heavy Nasdaq Composite (^IXIC) rose 0.4%.
Oil prices fell after the White House said Trump would make his decision within two weeks, leaving room for diplomacy. Still, crude futures were on pace for a third week of gains.
Dovish comments also sent stocks higher after Fed governor Chris Waller on CNBC's Squawk Box suggested that the Federal Reserve could move to lower interest rates in July. Waller said that any inflation from tariffs may be short-lived.
US stock futures edged higher ahead of the opening bell, with contracts on the Dow Jones Industrial Average futures (YM=F) and S&P 500 (ES=F) rising roughly 0.3%, and those on the tech-heavy Nasdaq 100 (NQ=F) adding 0.4%.
The move higher followed dovish comments from Fed governor Chris Waller on CNBC's Squawk Box, suggesting that the Federal Reserve could move to lower interest rates in July. Waller argued that any inflation from tariffs may be short-lived.
"Any tariff inflation ... I don't think is going to be that big, and we should just look through it in terms of setting policy," Waller said. "The data the last few months has been showing that trend inflation is looking pretty good ... We could do this as early as July."
Read more here.
Yahoo Finance's Brooke DiPalma reports:
Read more here.
A recent memo from Amazon (AMZN) CEO Andy Jassy revived concerns about the scope of change to the labor market from artificial intelligence.
While employers see growth and productivity, employees are worried about massive displacement in their jobs. And now, it's something the Federal Reserve is watching closely too:
Hamza Shaban writes in today's Morning Brief:
Read more here.
Accenture (ACN) stock is down more than 4% after the global consultancy company reported new bookings decreased 6% to $19.7 billion in the quarter.
Earnings topped estimates, with revenue coming in at $17.7 billion for the quarter, compared with analysts' average estimate of $17.30 billion, according to data compiled by LSEG.
Reuters reports:
Read more here.
CarMax (KMX) stock climbed 11% in premarket trading after the used car dealer's first quarter earnings and revenue beat Wall Street expectations.
CarMax sold 379,727 cars in the first quarter, a 5.8% increase from the same period last year.
The company also reported earnings per share of $1.38, and revenue rose 6.1% to $7.55 billion, topping estimates.
CarMax CEO Bill Nash said that its omnichannel buying and selling experience "is a key differentiator in a very large and fragmented market that positions us to continue to drive sales, gain market share, and deliver significant year-over-year earnings growth for years to come.'
Bloomberg reports:
Read more here.
Here are some top stocks trending on Yahoo Finance in premarket trading:
Tesla (TSLA) stock rose over 1% before the bell following reports that the EV maker had signed a $557 million energy storage station deal. This deal was announced two days before Elon Musk's expected launch of its robotaxi.
Semiconductor maker, Wolfspeed's (WOLF) stock fell 4% premarket after reports emerged on Thursday it would be taken over by creditors inculding Apollo Global Management. The chipmaker has been struggling recently and the new proposal would put them into bankruptcy.
GMS (GMS) stock was up 23% after the Wall Street Journal (WSJ) reported that Home Depot (HD) the home-improvement giant, has made an offer to acquire GMS, a building-products distribution company, citing people familiar with the matter. The WSJ did not specify a price.
Economic data: Leading index (May); Philadelphia Fed Business Outlook (June)
Earnings: Accenture (ACN), CarMax (KMX), Darden Restaurants (DRI), Kroger (KR)
Here are some of the biggest stories you may have missed yesterday, overnight and early this morning:
The Fed is also in 'wait and see' mode about AI taking jobs
The Trump phone probably won't be built in the US
Investors look past 'blah' Fed meeting
Tesla signs deal for first China battery storage station: Report
Trump to decide on Iran strike within two weeks
Dealmaking in 2025: AI to the rescue
Tariff talks with Canada, EU take focus as deadlines loom
A $20B clock is ticking for OpenAI as Microsoft talks sour
Trump blasts Powell again, calls for effectively 10 Fed rate cuts
China's rare earth magnet shipments halve in May due to export curbs
Why the US housing market is so stuck
Shares of Pop Mart (9992.HK, PMRTY) slid in Hong Kong after a call for stricter regulation of blind-box and trading cards in Chinese state media.
That fueled concerns about prospects for the maker of furry Labubu elf dolls, whose explosive popularity has helped lift Beijing-based Pop Mart's market cap to around $40 billion — twice that of Hasbro (HAS) and Mattel (MAT) combined.
Bloomberg reports:
Read more here.
Oil prices look set to end this week with gains for the third consecutive week in a row. Extreme tensions in the Middle East have put consistent upwards pressure on the commodity, with the recent eruption into outright violence leaving investors looking at supply chains and production facilities with concern.
Reuters reports: `
Read more here.

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Miami Herald

31 minutes ago

• Miami Herald

Europe's growing fear: How Trump might use US tech dominance against it

LONDON -- When President Donald Trump issued an executive order in February against the chief prosecutor of the International Criminal Court for investigating Israel for war crimes, Microsoft was suddenly thrust into the middle of a geopolitical fight. For years, Microsoft had supplied the court -- which is based in The Hague in the Netherlands and investigates and prosecutes human rights breaches, genocides and other crimes of international concern -- with digital services such as email. Trump's order abruptly threw that relationship into disarray by barring U.S. companies from providing services to the prosecutor, Karim Khan. Soon after, Microsoft, which is based in Redmond, Washington, helped turn off Khan's ICC email account, freezing him out of communications with colleagues just a few months after the court had issued an arrest warrant for Prime Minister Benjamin Netanyahu of Israel for his country's actions in the Gaza Strip. Microsoft's swift compliance with Trump's order, reported earlier by The Associated Press, shocked policymakers across Europe. It was a wake-up call for a problem far bigger than just one email account, stoking fears that the Trump administration would leverage America's tech dominance to penalize opponents, even in allied countries like the Netherlands. 'The ICC showed this can happen,' said Bart Groothuis, a former head of cybersecurity for the Dutch Ministry of Defense who is now a member of the European Parliament. 'It's not just fantasy.' Groothuis once supported U.S. tech firms but has done a '180-degree flip-flop,' he said. 'We have to take steps as Europe to do more for our sovereignty.' Some at the ICC are now using Proton, a Swiss company that provides encrypted email services, three people with knowledge of the communications said. Microsoft said the decision to suspend Khan's email had been made in consultation with the ICC. The company said it had since enacted policy changes that had been in the works before the episode to protect customers in similar geopolitical situations in the future. When the Trump administration sanctioned four additional ICC judges this month, their email accounts were not suspended, the company said. Brad Smith, Microsoft's president, said concerns raised by the ICC episode were a 'symptom' of a larger erosion of trust between the United States and Europe. 'The ICC issue added fuel to a fire that was already burning,' he said. Khan has been on leave from the ICC since last month, pending a sexual misconduct investigation. He has denied the allegations. An ICC spokesperson said it was taking steps to 'mitigate risks which may affect the court's personnel' and 'taking extensive measures to ensure the continuity of all relevant operations and services in the face of sanctions.' The episode has set off alarms across Europe about how dependent European governments, businesses and citizens are on U.S. tech companies like Microsoft for essential digital infrastructure -- and how hard it will be to disentangle themselves. Concerns about how else Trump might leverage technology for political advantage has jump-started efforts across the region to develop alternatives. Casper Klynge, a former Danish and European Union diplomat who worked for Microsoft, said the episode was in many ways the 'smoking gun that many Europeans had been looking for.' 'If the U.S. administration goes after certain organizations, countries or individuals, the fear is American companies are obligated to comply,' said Klynge, who now works for a cybersecurity company. 'It's had a profound impact.' The tech debate adds to an increasingly fractious U.S.-European relationship over trade, tariffs and the war in Ukraine. Trump and Vice President JD Vance have criticized how Europe regulates U.S. tech companies, and U.S. officials have made digital oversight and taxation part of ongoing trade negotiations. European regulators have argued that they need to be able to police the biggest digital platforms in their own countries without worrying that they will face political pressure and punishment from a foreign government. 'If we don't build adequate capacity within Europe, then we won't be able to make political choices anymore,' said Alexandra Geese, a member of the European Parliament. Since Edward Snowden's leak of scores of documents in 2013 detailing widespread U.S. surveillance of digital communications, Europeans have sought to diminish their reliance on U.S. tech. Lawmakers and regulators have targeted Apple, Meta, Google and others for anticompetitive business practices, privacy-invading services, and the spread of disinformation and other divisive content. Yet without viable alternatives, institutions across the region have turned to U.S. digital services. Amazon, Google, Microsoft and other U.S. firms control more than 70% of the cloud computing market in Europe, which is the essential way for storing files, retrieving data and running other programs, according to Synergy Research Group. The ICC has been a longtime customer of Microsoft, which provides the court with services including the Office software suite and software for evidence analysis and file storage, according to an ICC lawyer who declined to be identified discussing internal procedures. Microsoft has also provided cybersecurity software to help the court withstand digital attacks from adversaries like Russia, which is being investigated for war crimes in Ukraine. In February, after Trump issued penalties against Khan, Microsoft met with ICC officials to decide how to respond. They concluded that Microsoft's broader work for the court could continue but that Khan's email should be suspended. He switched his correspondence to another email account, said a person who has communicated with him. Sara Elizabeth Dill, a lawyer who specializes in sanctions compliance, said the Trump administration was increasingly using sanctions and executive orders to target international institutions, universities and other organizations, forcing companies to make hard choices about how to comply. 'This is a quagmire and places these corporations in a very difficult position,' she said. How tech companies with global services respond is especially important, she added, 'as the broad repercussions are what people and organizations are primarily worried about.' Microsoft and other U.S. companies have sought to reassure European customers. On Monday, Microsoft CEO Satya Nadella visited the Netherlands and announced new 'sovereign solutions' for European institutions, including legal and data security protections for 'a time of geopolitical volatility.' Amazon and Google have also announced policies aimed at European customers. Still, many institutions are exploring alternatives. In the Netherlands, the 'subject of digital autonomy and sovereignty has the full attention of the central government,' Eddie van Marum, the state secretary of digitalization in the Ministry of Interior Affairs, said in a statement. The country is working with European providers on new solutions, he said. In Denmark, the digital ministry is testing alternatives to Microsoft Office. In Germany, the northern state of Schleswig-Holstein is also taking steps to cut its use of Microsoft. In the European Union, officials have announced plans to spend billions of euros on new artificial intelligence data centers and cloud computing infrastructure that rely less on U.S. companies. Groothuis, the Dutch member of the European Parliament, said lawmakers in Brussels were discussing policy changes that would encourage governments to favor buying tech services from EU-based companies. 'The situation is not tenable, and we see a big push from European governments to become more independent and more resilient,' said Andy Yen, CEO of Proton. European tech companies see an opportunity to win customers from their U.S. rivals. Cloud service providers like Intermax Group, based in the Netherlands, and Exoscale, based in Switzerland, said they had seen a jump in new business. 'A few years ago, everyone was saying, 'They're our trusted partners,'' Ludo Baauw, Intermax's CEO, said of U.S. tech companies. 'There's been a radical change.' This article originally appeared in The New York Times. Copyright 2025

Miami Herald

32 minutes ago

• Miami Herald

Jeep parent Stellantis ponders drastic action on struggling brand

The merger between Fiat Chrysler and PSA Group in 2021 brought so much promise for the brand. It created Stellantis (STLA) , a company with a portfolio of over 14 automotive brands, including iconic U.S. names like Chrysler, Jeep, and Dodge that, combined with its European counterparts like Citroën, Peugeot, Fiat, and Maserati, would offer an unrivaled global footprint. But it has been a rough four years for Stellantis. Related: Jeep, Dodge parent has no solution for this emerging problem Under former CEO Carlos Tavares' leadership, Stellantis laid off American factory workers, shuffled its C-suite, and forced its U.S. brands to push products that American customers didn't like. Stellantis and Tavares separated in December, leaving the conglomerate rudderless for about six months before the company made a late May announcement. Last month, Stellantis named Antonio Filosa its new CEO, and it plans to elect him to the board of directors and make him an executive director in the coming weeks. Filosa cut his teeth as Stellantis Chief Operating Officer of South America, where he has led its Fiat brand to much success while also boosting Peugeot, Citroën, Ram, and Jeep sales on the continent. "I have worked closely with Antonio over the past six months, during which time his responsibilities have increased, and his strong and effective leadership spanning both North and South America at a moment of unprecedented challenge have confirmed the excellent qualities he brings to the role," said John Elkann, Stellantis executive chairman. "Together with the entire Board, I look forward to working with him." While Filosa's tenure doesn't officially begin until Monday, June 23, part of the interview process for the gig involved his thoughts on the viability of each of the brands in the company's portfolio, according to a new report citing multiple sources with knowledge of the process. Stellantis is considering the possible sale of its luxury Maserati unit, among other options, Reuters reported. McKinsey, which is advising Stellantis on the matter, has also said divestment of its only luxury brand is a viable option. Stellantis responded bluntly to the reports: "Respectfully, Maserati is not for sale," a company spokesperson said. Related: Major U.S. automaker makes harsh decision in wake of tariff tussle But low sales in North America was one of the reasons Tavares is no longer head of Stellantis. So is the fact that Maserati saw sales decline by more than half in 2024 to 11,300 units, while posting an operating loss of 260 million euros ($298 million) last year. Maserati doesn't have any new model launches scheduled after Stellantis put its previous business plan on hold last year. Although the brand currently doesn't have a business plan in place, Brand Head Santo Ficili has said that one will be presented soon after the new boss starts on Monday. Some board members apparently are not sure Maserati is a sustainable asset, however. Shortly after President Donald Trump announced his reciprocal tariffs on U.S. trading partners, Stellantis temporarily halted production at its auto assembly factories in Mexico and Canada. The Wall Street Journal reported that Stellantis would idle its minivan plant in Windsor, Canada, for two weeks and shutter its Jeep facility in Toluca, Mexico, for the rest of the month. "With the new automotive sector tariffs now in effect, it will take our collective resilience and discipline to push through this challenging time," Filosa told the Journal. "But we will quickly adapt to these policy changes and will protect our company, maintain our competitive edge, and continue delivering great products to our customers." Stellantis reported that total first-quarter U.S. sales decreased 12% year-over-year, despite a 16% increase in Ram brand sales and a 1% increase in Chrysler brand sales. Jeep brand sales saw a 2% increase. The company reported total sales of 293,225 vehicles in the first three months of the year. Related: Maserati launches program targeting Ferrari's elitist snobbery The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.

Yahoo

43 minutes ago

• Yahoo

5 AI stocks to consider buying and holding for the long term

Many AI applications are still in development, offering ground-floor buying opportunities in their stocks. Below are some established companies that five of contract writers like as investments to consider buying to capitalise on this transformational technology. What it does: Alphabet is a global technology company best known for Google, YouTube, Android, and cloud services. By Mark Hartley. When considering an AI investment for the long term, Google's parent company Alphabet (NASDAQ: GOOG) stands out. It has emerged as a key player in the AI space, leveraging its vast data resources and computational power to dig deep roots into the industry. Through DeepMind and its Gemini AI models, Alphabet is at the forefront of generative AI development. Google Cloud offers scalable AI tools and infrastructure for businesses, while AI enhancements in products like Search, Gmail, and YouTube are well-positioned to benefit from advertising revenue. Alphabet's expansive ecosystem gives it a strategic advantage in training and deploying AI models at scale. A significant risk, however, lies in the potential disruption of its core search business. As AI chatbots and generative search become more prevalent, traditional search advertising could face margin pressure. Additionally, if faces increased regulatory scrutiny on data usage, antitrust concerns and competition from rivals like Microsoft and Amazon. Mark Hartley doesn't own shares in any of the stocks mentioned. What it does: Cellebrite is the global leader in decrypting mobile phones and other devices supporting digital forensic investigations. By Zaven Boyrazian. Many AI stocks today are unproven. That's why I prefer established players leveraging AI to improve their existing mission-critical products like Cellebrite (NASDAQ:CLBT). Cellebrite specialises in extracting encrypted data from mobile phones and other devices aiding law enforcement and enterprises in criminal and cybersecurity investigations. Over 90% of crime commited today has a digital element. And when it comes to decrypting mobile phones, Cellebrite is the global gold standard. The company is now leveraging AI to analyse encrypted data – drastically accelerating a task that's historically been increadibly labour intensive identifying patterns, discovering connections, and establishing leads. Most of Cellebrite's revenue comes from law enforcement, exposing Cellebrite to the risk of budget cuts. In fact, fears of lower US federal spending is why the stock dropped sharply in early 2025. And with a premium valuation, investors can expect more volatility moving forward. But in the long run, Cellebrite has what it takes to be an AI winner in my mind. That's why I've already bought shares. Zaven Boyrazian owns shares in Cellebrite. What it does: Dell Technologies provides a broad range of IT products and services and is an influential player in AI. By Royston Wild. Dell Technologies (NYSE:DELL) isn't one of the more fashionable names in the realm of artificial intelligence (AI). The good news is that this means it trades at a whopping discount to many of its peers. For this financial year (to January 2026), City analysts think earnings will soar 41% year on year, leaving it on a price-to-earnings (P/E) multiple of 12.6 times. Such readings are as rare as hen's teeth in the high-growth tech industry. In addition, Dell shares also trade on a price-to-earnings growth (PEG) ratio of 0.3 for this year. Any reading below 1 implies a share is undervalued. These modest readings fail to reflect the exceptional progress the company's making in AI, in my opinion. Indeed, Dell last month raised guidance for the current quarter as it announced 'unprecedented demand for our AI-optimised servers' during January-March. It booked $12.1bn in AI orders in the last quarter alone, beating the entire total for the last financial year. Dell is a major supplier of server infrastructure that let Nvidia's high-power chips do their thing. Dell's shares could sink if unfavourable developments in the ongoing tariff wars transpire. But the company's low valuation could help limit the scale of any falls. Royston Wild does not own shares in Dell or Nvidia. What it does: Salesforce is a customer relationship management (CRM) software company that is developing AI agents. By Edward Sheldon, CFA. We've all seen the potential of artificial intelligence (AI) in recent years. Using apps like ChatGPT and Gemini, we can do a lot of amazing things today. These apps are just the start of the AI story, however. I expect the next chapter to be about AI agents – software programmes that can complete tasks autonomously and increase business productivity exponentially. One company that is active in this space is Salesforce (NYSE: CRM). It's a CRM software company that has recently developed an agentic AI offering for businesses called 'Agentforce'. It's still early days here. But already the company is having a lot of success with this offering, having signed up 8,000 customers since the product's launch last October. Now, Salesforce is not the only company developing AI agents. So, competition from rivals is a risk. I like the fact that the company's software is already embedded in over 150,000 organisations worldwide though. This could potentially give it a major competitive advantage in the agentic AI race. Edward Sheldon has positions in Salesforce. What it does: Salesforce is a cloud-based software company specialising in customer relationship management, helping businesses manage sales, marketing, support, and data. By Ben McPoland. I think Salefsforce (NYSE: CRM) looks well set up to benefit in the age of AI. Specifically, its Agentforce platform, which lets businesses deploy AI agents to handle various tasks, could be the company's next big growth engine. By the end of April, it had already closed over 8,000 deals, just six months after launching Agentforce. Half of those were paid deals, taking its combined data cloud and AI annual recurring revenue above $1bn. Granted, that looks like small potatoes set against the $41.2bn in sales it's expected to generate this fiscal year. But it's still very early days, and management reckons the digital labour market opportunity could run into the trillions of dollars. Of course, it's always best to treat such mind-boggling projections with a healthy dose of scepticism. And the company does face stiff competition in the AI agent space, especially from Microsoft and ServiceNow. Nevertheless, I'm bullish here. Salesforce is already deeply embedded in sales, service, and marketing. Its AI agents slot into existing workflows, which I think will prove to be a big advantage over unproven AI upstarts. Ben McPoland owns shares of Salesforce. The post 5 AI stocks to consider buying and holding for the long term appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. The Motley Fool UK has recommended Alphabet, Amazon, Cellebrite, Microsoft, Nvidia, and Salesforce. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. 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