The U.S. stock market opened on a weak note Tuesday, with major indices retreating as concerns surrounding escalating trade tensions intensified. The Dow Jones Industrial Average declined by over 500 points, marking a 1.18% drop to close near 48,776.25 shortly after the market opened. Similarly, the Nasdaq Composite fell 1.54% to approximately 23,152.09, and the S&P 500 index dropped 1.22%, settling close to 6,855.01.
Market unease was largely driven by President Donald Trump's ongoing threats to impose additional tariffs on European goods, escalating a dispute linked to the geopolitical tensions around Greenland. This prospect introduced fresh uncertainty into global trade relations and rattled investor confidence.
Sector Performance
Within the equity sectors, energy shares saw a modest gain of 0.6%, offering some relief amid the broader market declines. Conversely, consumer discretionary stocks notably weakened, retreating by 2%. The contrasting sector movements reflected investors' rotation toward sectors perceived as more resilient in the face of trade uncertainties.
Corporate Earnings Highlight: 3M Company
Against this challenging macroeconomic backdrop, 3M Company (NYSE: MMM) reported its fourth-quarter results for 2025, delivering earnings that surpassed analyst forecasts. The firm posted adjusted sales of approximately $6.023 billion, slightly exceeding the consensus estimate of $6.012 billion. This performance represented a 3.7% increase compared to the same quarter in the previous year.
Adjusted organic sales—excluding the effects of acquisitions and currency fluctuations—also saw positive growth, advancing 2.2% year-over-year. The company's adjusted earnings per share rose by 9%, reaching $1.83 and narrowly beating the analyst expectation of $1.80 per share. These results underscored 3M's operational resilience amid a challenging economic environment.
Notable Stock Price Movements
Certain individual stocks exhibited significant volatility during trading. INVO Fertility Inc. (NASDAQ: IVF) experienced a substantial surge, with shares climbing 361% to $3.75. Market participants circulated unconfirmed rumors suggesting potential government initiatives to reduce fertility treatment costs as a measure to encourage higher birth rates. However, these reports remain unverified.
Similarly, Shuttle Pharmaceuticals Holdings Inc. (NASDAQ: SHPH) saw its shares more than double, gaining 146% to $4.01, while Top Wealth Group Holding Ltd. (NASDAQ: TWG) climbed 114% to $7.45 following the announcement of a significant acquisition agreement. TWG entered into a material definitive agreement to acquire Airentity International for $125 million, a development positively received by investors.
On the downside, Venus Concept Inc. (NASDAQ: VERO) shares fell 41% to $4.73 after a previous sharp increase. This dip followed the disclosure of a 91% stake in the company by Madryn Asset Management. NovaBay Pharmaceuticals Inc. (NYSE: NBY) stock declined 39% to $9.05 subsequent to filing a common stock offering for up to $100 million. Additionally, Synlogic Inc. (NASDAQ: SYBX) experienced a 36% drop to $0.72 after receiving a delisting notification from Nasdaq.
Commodity Market Trends
Commodities markets showed diverse movements amid the equity markets' volatility. Oil prices increased by 1.6%, reaching $60.40 per barrel. Gold surged 3.3%, with prices climbing to $4,745.30 per ounce. Silver posted an impressive 7% rise, settling near $94.70, while copper prices edged down slightly by 0.7% to $5.79.
International Markets
Global equity markets reflected similar unease on Tuesday. European benchmarks closed in negative territory, with the STOXX 600 down 1% overall. Major indexes such as Spain's IBEX 35 fell 1.5%, London's FTSE 100 retreated 1%, Germany's DAX declined 1.2%, and France's CAC 40 slipped 1%.
In the Asia-Pacific region, most markets also ended lower. Japan's Nikkei 225 index declined 1.11%, Hong Kong's Hang Seng Index dropped 0.29%, China's Shanghai Composite was down marginally by 0.01%, and India's BSE Sensex lost 1.28%.
Employment Data
The latest employment report from ADP highlighted that U.S. private employers added an average of 8,000 jobs per week during the four-week period ending December 27. This represented a slowdown compared to the prior period's average gain of 11,250 jobs per week, indicating a moderation in labor market growth.