By Chelsey Dulaney
Retailers are split over the impact of tariffs.
A few days after Walmart warned tariffs will push up prices for American shoppers, prompting criticism from President Trump, Home Depot said it plans to hold the line on prices.
The home-improvement retailer has been pushing to shift production out of China, and is working with suppliers to keep prices steady. Shares in Home Depot rose in morning trading, after quarterly sales beat Wall Street forecasts. Some other high-profile retailers - Target, Lowe's and TJX - are set to report results Wednesday.
Tariffs are still in flux, and have so far had a limited effect on inflation. But many economists expect the White House's import levies to stoke price pressures in the coming months.
JPMorgan Chief Executive Jamie Dimon on Monday cautioned that the stock market could slump as companies reckoned with the new costs for goods and supplies. Investors also remain on edge about Washington's finances after Moody's Ratings late last week stripped the U.S. of its triple-A credit rating.
Overseas policymakers, meanwhile, are stepping up easing to shelter their economies from the tariff fallout. Australia's central bank on Tuesday cut rates to a two-year low. In China, banks lowered benchmark loan rates, tracking earlier easing by the People's Bank of China.
In recent trading:
Stocks slipped. The tech-heavy Nasdaq Composite led the three major indexes lower. On Monday, the S&P 500 posted its sixth consecutive daily gain.
Treasury yields rose for a second day. The 10-year yield climbed to 4.510%, after gaining Monday on concerns about the U.S. fiscal position.
Japanese bonds sold off, pushing yields up sharply. Analysts said poor take-up at a bond auction helped spur the move.
Chinese battery giant CATL made its debut on the Hong Kong stock exchange. The stock jumped 16% as CATL wrapped up the largest equity offering in the world so far this year.
Overseas stocks climbed. Hong Kong's Hang Seng Index rose 1.5%, while indexes advanced in Australia and Europe.
Write to Chelsey Dulaney at chelsey.dulaney@wsj.com
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May 20, 2025 09:40 ET (13:40 GMT)
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