Stock Market Today: Stocks end mixed on tariff risks; Powell testimony in focus

Updated at 4:48 PM EST 

Stocks ended mixed Tuesday, as markets reacted to the latest round of tariffs from President Donald Trump and awaited comments on its effects for the U.S. economy from Federal Reserve Chairman Jerome Powell.

The Dow Jones Industrial Average climbed 123.24 points, or 0.28%, to finish the session at 44,593.65, while the S&P 500 added 0.03% to close at 6,068.50 and the tech-heavy Nasdaq slipped 0.36% to end the day at 19,643.86. 

Apple rose 2.2% after The Information reported that the computer giant was partnering with Alibaba to roll out artificial intelligence features for iPhone users in China.

The companies have submitted the Chinese AI features they co-developed for approval by China's cyberspace regulator, the report said.

Updated at 12:26 PM EST

Tesla's Open distraction 

Tesla  (TSLA)  shares extended their recent slump as analysts and investors counted the cost, in terms of potential stake sales, lost time and the broader prospect of even more distractions for CEO Elon Musk, following his unsolicited $97.4 billion bid to takeover ChatGPT creator OpenAi.

OpenAI CEO Sam Altman rejected the deal on face, calling in "ridiculous" while ramping up his years-long feud with Musk, whom he co-founded the AI giant with in 2015. 

"Altman is the golden boy of the AI Revolution but Musk has massive power in the Beltway and this chain of events is likely just the start of a bigger soap opera poised to play out between them," said Webush analyst Dan Ives. 

"The AI Arms Race is heating up in Big Tech and OpenAI has a very strong market position which poses a risk to other tech players -  including Musk," he added. 

Tesla shares were last marked 4.5% lower in mid-day trading and changing hands at $334.80 each, a move that extends their one-month decline to around 17%.

Related: Analyst revisits Tesla stock rating as Musk targets OpenAI takeover

Updated at 10:23 AM EST

No Rush

The Federal Reserve is in "no hurry" to lower its key lending rate, Chairman Jerome Powell told lawmakers in prepared remarks for his semi-annual testimony to the Senate Banking Committee, adding that the economy remains strong and labor markets aren't stoking inflation.

"The economy is strong overall and has made significant progress toward our goals over the past two years," Powell said. "We do not need to be in a hurry to adjust our policy stance. We know that reducing policy restraint too fast or too much could hinder progress on inflation."

"We are attentive to the risks to both sides of our dual mandate," Powell added. "Policy is well positioned to deal with the risks and uncertainties that we face." 

Today, Chair Powell presents the semiannual Monetary Policy Report to the U.S. Senate Committee on Banking, Housing, and Urban Affairs: https://t.co/807Ho1H9Ndhttps://t.co/pgnEGEOsSt

Watch live: https://t.co/TL8c2ySyqe pic.twitter.com/smkTu70w3x— Federal Reserve (@federalreserve) February 11, 2025

Updated at 9:33 AM EST

Red open

The S&P 500 was marked 18 points, or 0.3% lower in the opening minutes of trading, with the Nasdaq slipped 85 points, or 0.43%.

The Dow was marked 1027 points lower while the mid-cap Russell 2000 dipped 

Benchmark 10-year Treasury note yields added another basis point to trade at 4.531% ahead of Powell's Senate Banking Committee testimony at 10:00 am Eastern time.

"Powell is likely to address inflation, the Fed's slower and measured approach to rate cuts this year, and the potential inflationary effects of tariffs," said Michael Rosner, managing director, Raymond James, based in Birmingham, MI.

"We anticipate one or two rate cuts this year and it's unlikely that we will see any more given the strong economy, labor market, and stickiness of inflation," he added.

S&P 500 Opening Bell Heatmap (Feb. 11, 2025)$SPY -0.31%