Wall Street closed mixed on Tuesday, with industrial and discretionary stocks driving the market. The Dow Jones Industrial Average climbed 0.5%, the Nasdaq Composite lost 0.2%, and the S&P 500 remained virtually unchanged. The fear gauge CBOE Volatility Index (VIX) decreased 2% to 17.87, with 19.7 billion shares traded.

President Trump’s hopeful comments on a fair trade deal with China lifted market sentiment. He expressed optimism about reaching an agreement with President Xi Jinping, easing concerns and boosting cyclical and industrial stocks. Wall Street responded positively to his softened stance, with investors viewing it as a sign of reduced geopolitical tensions.

Strong corporate earnings propelled the Dow Jones Industrial Average higher, supported by companies like General Motors, Lockheed Martin, and 3M beating estimates. The tech sector, however, faced mild profit-taking, with a rotation from defensive to cyclical sectors noted. Amazon and Howmet Aerospace saw gains, reflecting market shifts and investor sentiment.

Read more at Nasdaq: Stock Market News for Oct 22, 2025