--- title: "US STOCKS-Wall Street stocks finish flat with sentiment weakened by Moody's downgrade" description: "U.S. stocks closed flat amid weakened sentiment following Moody's downgrade of the federal government's credit rating from 'Aaa' to 'Aa1' due to its $36 trillion debt. The Dow rose 0.32%, S&P 500 up 0" type: "news" locale: "en" url: "https://longbridge.com/en/news/240904297.md" published_at: "2025-05-19T20:44:27.000Z" --- # US STOCKS-Wall Street stocks finish flat with sentiment weakened by Moody's downgrade > U.S. stocks closed flat amid weakened sentiment following Moody's downgrade of the federal government's credit rating from 'Aaa' to 'Aa1' due to its $36 trillion debt. The Dow rose 0.32%, S&P 500 up 0.09%, and Nasdaq gained 0.02%. TXNM Energy surged 7% after a Blackstone acquisition announcement, while Novavax jumped 15% after FDA approval for its COVID-19 vaccine. Despite the mixed performance, the S&P 500 marked its sixth consecutive gain, with healthcare and consumer staples leading sectors. Dow up 0.32%, S&P 500 up 0.09%, Nasdaq rise 0.02% TXNM Energy gains after Blackstone deal Novavax jumps after coronavirus vaccine wins FDA approval Updates to 4:17 PM ET By Chibuike Oguh NEW YORK, May 19 (Reuters) - U.S. stocks finished near the unchanged mark on Monday with market sentiment weakened by the downgrade of the federal government's perfect sovereign credit rating owing to its huge debt profile. Moody's slashed the U.S. sovereign credit rating to "Aa1" from "Aaa" after markets closed on Friday, citing the government's $36 trillion outstanding debt and interest. "It is to be understood that markets were going to have a little bit of reaction because the (Moody's) announcement was after markets closed," said Talley Leger, chief market strategist at The Wealth Consulting Group. "But my view is that the 'sell-America' trade is overdone." Equities had rebounded from declines earlier in the session to finish near the unchanged mark. Still, the benchmark S&P 500 notched its sixth straight sessions of gains. Seven out of the 11 S&P sectors advanced led by healthcare .SPXHC, consumer staples .SPLRCS, industrials .SPLRCI, materials .SPLRCM and utilities .SPLRCU stocks. Energy .SPNY stocks were the biggest losers in addition to consumer discretionary .SPLRCD. The Dow Jones Industrial Average .DJI rose 137.33 points, or 0.32%, to 42,792.07, the S&P 500 .SPX gained 5.22 points, or 0.09%, to 5,963.60 and the Nasdaq Composite .IXIC gained 4.36 points, or 0.02%, to 19,215.46. Benchmark 10-year Treasury yields gained on concerns that a U.S. tax bill will increase the debt load by more than previously expected. The yield on benchmark U.S. 10-year notes US10YT=RR rose 1 basis point to 4.449%. President Donald Trump's sweeping tax-cut bill had won approval from a key congressional committee on Sunday. TXNM Energy TXNM.N rose 7% after the utility said it would be acquired by the infrastructure unit of Blackstone BX.N in an $11.5-billion deal. Novavax NVAX.O shares jumped 15% after the company secured a long-awaited U.S. regulatory approval for its COVID-19 vaccine. Regeneron Pharmaceuticals REGN.O rose 0.4% after it announced it will buy genomics firm 23andMe Holdings for $256 million through a bankruptcy auction. Declining issues outnumbered advancers by a 1-to-1 ratio on the NYSE. There were 216 new highs and 50 new lows on the NYSE. The S&P 500 posted 26 new 52-week highs and no new lows while the Nasdaq Composite recorded 57 new highs and 57 new lows. Volume on U.S. exchanges was 19.41 billion shares, compared with the 17.34 billion average for the full session over the last 20 trading days. ### Related Stocks - [NVAX.US - Novavax](https://longbridge.com/en/quote/NVAX.US.md) - [TGT.US - Target](https://longbridge.com/en/quote/TGT.US.md) - [COST.US - Costco Wholesale](https://longbridge.com/en/quote/COST.US.md) - [KR.US - Kroger](https://longbridge.com/en/quote/KR.US.md) - [BX.US - Blackstone](https://longbridge.com/en/quote/BX.US.md) - [TXNM.US - TXNM Energy](https://longbridge.com/en/quote/TXNM.US.md) ## Related News & Research | Title | Description | URL | |-------|-------------|-----| | Target to test contextual ads in ChatGPT, including through Roundel | Target will pilot contextual ads in ChatGPT, promoting its business and brand partners through its Roundel retail media | [Link](https://longbridge.com/en/news/276008317.md) | | M&G PLC Lowers Position in Target Corporation $TGT | M&G PLC has significantly reduced its stake in Target Corporation (NYSE:TGT) by 92.4% in Q3, now holding 8,077 shares va | [Link](https://longbridge.com/en/news/276215673.md) | | Skandinaviska Enskilda Banken AB publ Acquires 315,241 Shares of Albertsons Companies, Inc. $ACI | Skandinaviska Enskilda Banken AB publ has increased its stake in Albertsons Companies, Inc. by 152.5% during Q3, acquiri | [Link](https://longbridge.com/en/news/276321038.md) | | Tesla Paid No Federal Income Tax While Elon Musk Could Earn $3 Billion More Than U.S. Teachers Combined, Says Robert Reich —'See the Problem?' | Tesla reported paying no federal income tax in 2025, despite having $5.7 billion in pretax income. 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