Walmart's Surprising Decline Weighs on US Market

Wall Street is still on edge as the third earnings season of 2026 winds down. Despite Walmart's (WMT) impressive Q2 results, beating Wall Street's estimates across the board and raising full-year guidance targets, its stock fell 9.8% anyway.

The reason behind this decline lies in the company's domestic comparable sales growth, which came in at just 2.6%, well short of the roughly 3.7% analysts expected. This slow pace is a concern, as it indicates that U.S. consumer spending is slowing down after the spring's generous tax refund boost.

Walmart's management noted that shoppers are making trade-offs amid high fuel costs, which further adds to the uncertainty surrounding the company's future prospects.