Wall Street Closes Lower as Markets Focus on Trump's Upcoming Address

The three major U.S. stock indices all closed lower, snapping a three-day winning streak.

The Nasdaq Composite fell by more than 1%, dropping to the 25,000 level, while the S&P 500 declined by 0.5%.

Growing skepticism surrounding artificial intelligence (AI) weighed on the market, with the communication services and technology sectors leading the decline, each falling by more than 2%.

Semiconductor stocks were the primary drag on the market today.

Despite TSMC, the world's largest foundry, reporting better-than-expected second-quarter earnings, the company significantly raised its capital expenditure outlook, fueling concerns over future profitability.

As a result, the Philadelphia Semiconductor Index plunged 4.29%.

Geopolitical tensions between the United States and Iran also dampened overall investor sentiment.

However, the U.S. economy remained resilient. The number of initial jobless claims for last week came in at 208,000, lower than expected, demonstrating stability in the labor market. Additionally, retail sales for June met market expectations, supporting the view of robust consumer spending.

Among individual stocks, Alphabet shares tumbled more than 4% on news that the launch of its next-generation AI model, Gemini 3.5, could be delayed. Memory chipmakers also saw losses, with Micron Technology falling 5%.

Meanwhile, Netflix shares are plummeting more than 7% in after-hours trading after the company's third-quarter earnings guidance fell short of market expectations.

The market's attention is now focused on the address to the nation by U.S. President Trump, scheduled for 10:00 a.m. today, Korea Standard Time.

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