NEW YORK (AP) — U.S. stock indexes edged lower Thursday following another reminder that big, unsettling policy changes are underway because of President Donald Trump, along with more signals suggesting the U.S. economy remains solid for now.
The S&P 500 slipped 0.2% after flipping between modest gains and losses through the day. The Dow Jones Industrial Average dipped by 11 points, or less than 0.1 %, and the Nasdaq composite fell 0.3%.
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People work on the floor at the New York Stock Exchange in New York, Wednesday, March 19, 2025. (AP Photo/Seth Wenig)
A general view of the skyline of commercial buildings, in London, Wednesday, March 19, 2025. (AP Photo/Kin Cheung)
People work on the options floor at the New York Stock Exchange in New York, Wednesday, March 19, 2025. (AP Photo/Seth Wenig)
People work on the options floor at the New York Stock Exchange in New York, Wednesday, March 19, 2025. (AP Photo/Seth Wenig)
People work on the floor at the New York Stock Exchange in New York, Wednesday, March 19, 2025. (AP Photo/Seth Wenig)
Federal Reserve Chair Jerome Powell speaks during a news conference after the Federal Open Market Committee meeting, Wednesday, March 19, 2025, at the Federal Reserve in Washington. (AP Photo/Jacquelyn Martin)
A news conference by Federal Reserve Chair Jerome Powell is displayed on the floor of the New York Stock Exchange in New York, Wednesday, March 19, 2025. (AP Photo/Seth Wenig)
Wall Street has been swinging for weeks on a roller-coaster ride, as stock prices veer on uncertainty about what Trump’s trade war will do to the economy. Stocks got a boost Wednesday after the head of the Federal Reserve said the economy remains solid enough at the moment to leave interest rates where they are.
More data arrived Thursday to bolster that view. One report said slightly fewer U.S. workers filed for unemployment benefits last week than economists expected. It’s the latest sign of a potentially “low fire, low hire” job market.
A separate report said sales of previously occupied homes were stronger last month than economists expected, while a third said manufacturing growth in the mid-Atlantic region appears to be better than economists expected.
But Fed Chair Jerome Powell also stressed on Wednesday that extremely high uncertainty is making it difficult to forecast what will happen next.
It’s not just uncertainty about the trade war affecting Wall Street. Accenture fell to one of the market’s larger losses Thursday even though the consulting and professional services company reported slightly better profit and revenue for the latest quarter than analysts expected.
Worries are rising about the hit Accenture may take to its revenue from the U.S. government as Elon Musk leads efforts to cut federal spending. The federal government accounted for 17% of Accenture’s North American revenue last fiscal year, and its stock sank 7.3%.
The broad U.S. stock market was likely due for its recent drop, which took it more than 10% below its all-time high in just a few weeks, after prices climbed much faster than corporate profits to make it look too expensive, according to Barry Bannister, chief equity strategist at Stifel.
He said the S&P 500 could bounce higher in the near term, particularly after Fed officials indicated Wednesday they see room to cut interest rates twice this year. Lower interest rates would give a boost to the economy, as well as prices for investments. The market has also traditionally had “relief rallies” after major, long-term upward runs for stocks cracked, Bannister said.
But he expects stock prices to remain under pressure as the economy’s growth slows more sharply in the second half of the year and as inflation remains stubbornly high. That could create a mild form of “stagflation,” which is something the Fed doesn’t have good tools to fix. The Fed could lower interest rates further to help the economy, but that would also push upward on inflation.
On Wall Street, Darden Restaurants climbed 5.8% after reporting profit for the latest quarter that matched analysts’ expectations. That was despite what the company behind Olive Garden, Ruth’s Chris Steak House and other restaurant chains called “a challenging environment.”
All told, the S&P 500 slipped 12.40 points to 5,662.89. The Dow Jones Industrial Average dipped 11.31 to 41,953.32, and the Nasdaq composite fell 59.16 to 17,691.63.
In stock markets abroad, London’s FTSE 100 fell 0.1% after the Bank of England held its main interest rate steady.
Indexes fell more sharply across much of the rest of Europe, and German stocks in the DAX lost 1.2%. The drop was even worse in Hong Kong, where the Hang Seng index fell 2.2% following heavy pressure on tech-related stocks.
In the bond market, the yield on the 10-year Treasury fell to 4.23% from 4.25% late Wednesday.
AP Business Writers Matt Ott and Elaine Kurtenbach contributed.
People work on the floor at the New York Stock Exchange in New York, Wednesday, March 19, 2025. (AP Photo/Seth Wenig)
A general view of the skyline of commercial buildings, in London, Wednesday, March 19, 2025. (AP Photo/Kin Cheung)
People work on the options floor at the New York Stock Exchange in New York, Wednesday, March 19, 2025. (AP Photo/Seth Wenig)
People work on the options floor at the New York Stock Exchange in New York, Wednesday, March 19, 2025. (AP Photo/Seth Wenig)
People work on the floor at the New York Stock Exchange in New York, Wednesday, March 19, 2025. (AP Photo/Seth Wenig)
Federal Reserve Chair Jerome Powell speaks during a news conference after the Federal Open Market Committee meeting, Wednesday, March 19, 2025, at the Federal Reserve in Washington. (AP Photo/Jacquelyn Martin)
A news conference by Federal Reserve Chair Jerome Powell is displayed on the floor of the New York Stock Exchange in New York, Wednesday, March 19, 2025. (AP Photo/Seth Wenig)
LONDON (AP) — London Heathrow Airport said it was “fully operational” on Saturday, after an almost daylong closure sparked by an electrical substation fire. But thousands of passengers remained stuck, and airlines warned that severe disruption will last for days as they scramble to relocate planes and crews and get travelers to their destinations.
Friday's travel mayhem raised concerns about Britain's ability to withstand disasters or attacks on critical infrastructure. Inconvenienced passengers, angry airlines and concerned politicians all want answers about how one seemingly accidental fire could shut down Europe’s busiest air hub.
“This is a huge embarrassment for Heathrow airport. It’s a huge embarrassment for the country that a fire in one electricity substation can have such a devastating effect," said Toby Harris, a Labour Party politician who heads the National Preparedness Commission, a group that campaigns to improve resilience.
Heathrow said it had “hundreds of additional colleagues on hand in our terminals and we have added flights to today’s schedule to facilitate an extra 10,000 passengers." It advised passengers to check with their airline before going to the airport.
British Airways, Heathrow’s biggest airline, said it expected to operate about 85% of its 600 scheduled flights at the airport on Saturday. It said that "to recover an operation of our size after such a significant incident is extremely complex.”
While many passengers managed to resume stalled journeys, others remained in limbo.
Laura Fritschie from Kansas City was on vacation with her family in Ireland when she learned that her father had died. On Saturday she was stranded at Heathrow after her BA flight to Chicago was canceled at the last minute.
“I’m very frustrated," she said. “This was my first big vacation with my kids since my husband died, and ... now this. So I just want to go home.”
More than 1,300 flights were canceled and some 200,000 people stranded Friday after an overnight fire at a substation 2 miles (3.2 kilometers) away from the airport cut power to Heathrow, and to more than 60,000 properties.
Residents in west London described hearing a large explosion and then seeing a fireball and clouds of smoke when the blaze ripped through the substation. The fire was brought under control after seven hours, but the airport was shut for almost 18. A handful of flights took off and landed late Friday.
Police said they do not consider the fire suspicious, and the London Fire Brigade said its investigation would focus on the electrical distribution equipment at the substation.
Still, the huge impact of the fire left authorities facing questions about Britain’s creaking infrastructure. The government acknowledged that authorities had questions to answer and said a rigorous investigation was needed to make sure “this scale of disruption does not happen again.”
Harris, from the preparedness commission, said the airport shutdown points to a broader problem with Britain’s economy and infrastructure.
“The last 40, 50 years we’ve tried to make services more efficient,” he said. “We’ve stripped out redundancy, we’ve simplified processes. We’ve moved towards a sort of ‘just in time’ economy.
“There is an element where you have to make sure you’re available for ‘just in case.’ You have to plan for things going wrong.”
Heathrow chief executive Thomas Woldbye said he was “proud” of the way airport and airline staff had responded.
"Remember, the situation was not created at Heathrow Airport," he told the BBC. “The airport didn’t shut for days. We shut for hours."
He said Heathrow's backup power supply, designed for emergencies, worked as expected, but it wasn’t enough to run the whole airport, which uses as much energy as a small city.
“That’s how most airports operate," said Woldbye, who insisted “the same would happen in other airports" faced with a similar blaze.
Heathrow is one of the world’s busiest airports for international travel, and saw 83.9 million passengers last year.
Friday’s disruption was one of the most serious since the 2010 eruption of Iceland’s Eyjafjallajokull volcano, which shut Europe’s airspace for days.
Passengers on about 120 flights were in the air when Friday's closure was announced and found themselves landing in different cities, and even different countries.
Mark Doherty and his wife were halfway across the Atlantic when the inflight map showed their flight from New York’s John F. Kennedy Airport to Heathrow was turning around.
“I was like, you’re joking,” Doherty said before the pilot told passengers they were heading back to New York.
Doherty called the situation “typical England — got no back-up plan for something happens like this. There’s no contingency plan.”
Associated Press journalist Kwiyeon Ha at Heathrow Airport contributed to this report.
A British Airways plane approaches landing as Heathrow Airport slowly resumes flights after a fire cut power to Europe's busiest airport in London, Saturday, March 22, 2025.(AP Photo/Kirsty Wigglesworth)
Travellers wait outside the Terminal as Heathrow Airport slowly resumes flights after a fire cut power to Europe's busiest airport in London, Saturday, March 22, 2025.(AP Photo/Kirsty Wigglesworth)
Travellers check the information board in London, Saturday, March 22, 2025, as Heathrow Airport slowly resumes flights after a fire cut power to Europe's busiest airport.(AP Photo/Kirsty Wigglesworth)
The airport arrivals board at Terminal 5 as Britain's Heathrow Airport has closed for the full day Friday after an electrical substation fire knocked out its power, disrupting flights for hundreds of thousands of passengers at one of Europe's biggest travel hubs in London, Friday, March 21, 2025.(AP Photo/Kin Cheung)
A British Airways plane is parked at Terminal 5 as Britain's Heathrow Airport has closed for the full day Friday after an electrical substation fire knocked out its power, disrupting flights for hundreds of thousands of passengers at one of Europe's biggest travel hubs in London, Friday, March 21, 2025.(AP Photo/Kin Cheung)
Workers are seen as smoke rises from the North Hyde electrical substation, which caught fire last night, leading to the closure of the Heathrow Airport, in London, Friday March 21, 2025.(AP Photo/Kirsty Wigglesworth)
A handwritten sign at a Heathrow Airport tube station in London indicates the airport is closed on Friday March 21, 2025, following a fire at the North Hyde electrical substation the previous night.(AP Photo/Alberto Pezzali)
A plane is prepared whilst another airplane approaches landing at Heathrow Airport after a fire at an electrical substation shuttered Europe's busiest air travel hub in London, Friday, March 21, 2025.(AP Photo/Alberto Pezzali)
A traveller arrives at Terminal 5 as Heathrow Airport slowly resumes flights after a fire cut power to Europe's busiest airport in London, Saturday, March 22, 2025.(AP Photo/Kirsty Wigglesworth)
Travellers wait at Terminal 5 as Heathrow Airport slowly resumes flights after a fire cut power to Europe's busiest airport in London, Saturday, March 22, 2025.(AP Photo/Kirsty Wigglesworth)
Travellers arrive at Terminal 5 as Heathrow Airport slowly resumes flights after a fire cut power to Europe's busiest airport in London, Saturday, March 22, 2025.(AP Photo/Kirsty Wigglesworth)
Travellers arrive at Terminal 5 as Heathrow Airport slowly resumes flights after a fire cut power to Europe's busiest airport in London, Saturday, March 22, 2025.(AP Photo/Kirsty Wigglesworth)
Travellers arrives at Terminal 5 as Heathrow Airport slowly resumes flights after a fire cut power to Europe's busiest airport in London, Saturday, March 22, 2025.(AP Photo/Kirsty Wigglesworth)
