Starbucks (SBUX) stock rose over 4% in after-hours trading on Tuesday after the coffee giant reported earnings that beat estimates on each the highest and bottom lines. Same-store sales declined for the fourth consecutive quarter as the corporate looks to proceed its recent turnaround plan.

“While we have now room for improvement, we’re making progress as planned, and believe we’re on the correct track,” Starbucks CEO Brian Niccol said in a video released Tuesday afternoon.

The corporate’s same-store sales, a key metric for restaurant chains, fell 4% 12 months over 12 months within the reported quarter, with traffic to its stores declining by 6%. Wall Street had expected same-store sales and foot traffic to say no by 5.30% and seven.28%, respectively, 12 months over 12 months.

Outside of domestic markets, same-store sales also declined 4%, while sales in China — the corporate’s second-largest market — fell by 6%.

Stocks closed within the green on Tuesday because the Nasdaq and S&P 500 rebounded from Monday’s steep sell-off spurred by Chinese startup DeepSeek and its potentially cheaper AI model.

Bellwether Nvidia (NVDA) finished the day up nearly 9% after it shaved off a record $589 billion from its market cap on Monday.

Aided by Nvidia’s gains, the tech-heavy Nasdaq Composite (^IXIC) surged over 2%, coming off a closing lack of greater than 3%. The S&P 500 (^GSPC) rose around 0.9%, while the Dow Jones Industrial Average (^DJI) gained roughly 0.3%.

The fourth volume of Yahoo Finance’s Chartbook, released on Tuesday, tells the story of markets and economy through 44 charts.

And on condition that we ask a broad query about what crucial chart is for investors right away, there’s sometimes a takeaway in what respondents don’t send. After the past several versions of this book included many charts making the case for rate of interest cuts, there was little discussion of further easing from the Federal Reserve throughout our latest collection of charts.

Dynamic Economic Strategy CEO John Silvia’s submission helps explain why. Silvia identified that at 4.1%, the unemployment rate is hovering near where the Fed expects it to finish this 12 months, while private payroll growth has come off the boil. To Silvia, this shows a labor market which may be normalizing right in the realm the Fed would love it to remain.

This, Silvia said, provides “less room for the Fed to ease as job/economic growth continues to maneuver ahead and long-run full employment is on the horizon.”

With inflation relatively sticky and the labor market holding up OK, many economists right away seem more enthusiastic about Trump’s policies. Specifically the main target centers around how tariffs could impact inflation, and due to this fact Fed policy, before making further conclusions on the trail forward for rates of interest.

Take a look at the complete Yahoo Finance Chartbook here.

Some breaking news that is not related to DeepSeek or Wall Street’s AI trades: The Container Store has emerged from bankruptcy. Yahoo Finance’s Brooke DiPalma has the newest:

The struggling home goods store emerged from Chapter 11 bankruptcy on Tuesday, Yahoo Finance learned exclusively.

In a release, the corporate said it “achieved the objectives it set for this process” in late December. That features refinancing its short-term debt, reducing “previous long-term debt obligations,” getting access to $40 million in latest money financing, and “modifying its asset-backed lending facility so as to add $40 million in upsized capability.”

Throughout the method, the business operated as usual across stores, online, and in-home services. It was also capable of “[meet] its obligations to vendors, employees and customers.”

No employees were let go, but the corporate did close down two stores because the bankruptcy filing. The closings were separate from the bankruptcy process.

Formerly under the ticker TCSG, the corporate is now private after the restructuring process. For the quarter ended Sept. 28, 2024, the Container Store listed total liabilities of $836.4 million against $969 million in total assets.

Read more here.

Nvidia (NVDA) rose as much as 7% Tuesday afternoon as tech stocks rebounded from a pointy sell-off.

The AI chip giant bounced back from its 17% drop on Monday sparked by investor anxiety related to a latest AI model recently launched by Chinese startup DeepSeek.

The factitious intelligence assistant, seen as more efficient and cheaper than its American-made rivals, spooked investor sentiment over AI dominance within the US and raised questions on valuations and spending.

AI-exposed power stocks attempted a rebound on Tuesday after getting crushed within the tech rout prompted by fears that energy demand for the bogus intelligence boom could also be ahead of its skies.

Constellation Energy (CEG), the most important nuclear plant operator within the US was relatively flat after tumbling 21% throughout the prior session.

Electricity generator Vistra Corp (VST) rose greater than 4% after sinking by a record 28%. Power equipment maker and servicer GE Vernova (GEV) also gained 2%, retracing a fraction of its one-day 21% drop.

AI-exposed energy stocks were recovering from a beating on Monday after Chinese startup DeepSeek released a latest AI model viewed as more competitive and energy-efficient in comparison with its US rivals.

The sell-off rattled investors given the optimism over electricity must power the booming AI data center industry. Power stocks are coming off a ripping rally in 2024 and begin of the 12 months.

Paul Zimbardo, managing director for US power utilities & clean energy research at Jeffrries, said data center deployment is “very likely intact” within the medium term because the race stays “on.” The query going forward is what happens within the later a part of the last decade and 2030s.

“Does that trend speed up in the longer term? Does it type of stabilize and even see some moderation of demand growth out later in the last decade?” asked the analyst.

Yahoo Finance’s Ben Werschkul reports:

Recent mixed messages this week about President Donald Trump’s implementation of tariffs are flummoxing markets and businesses hoping for quick clarity on the two.0 version of Trump’s trade policy.

The essential point of confusion is that public signals from Trump’s orbit often appear at odds with Trump himself.

The sometimes contradictory forwards and backwards — a feature of the talk around tariffs since Trump’s win — is taking over an outsized importance with the approach of Trump’s self-imposed Feb. 1 deadline, whe he has promised to put in 25% tariffs on Canada and Mexico and 10% duties on China.

Read more here.

OpenAI on Tuesday announced a latest tailored version of ChatGPT designed for US government agencies, a product launch that comes because the industry continues to be reeling from the breakout of a cost-efficient Chinese AI startup and as President Trump has urged tech firms to remain ahead of the competition.

OpenAI says the brand new service, ChatGPT Gov, is supposed to streamline the federal government’s access to its models and it is going to give staffers the flexibility to higher manage their very own security and compliance as agencies handle sensitive data.

“By making our products available to the U.S. government, we aim to make sure AI serves the national interest and the general public good, aligned with democratic values, while empowering policymakers to responsibly integrate these capabilities to deliver higher services to the American people,” the corporate said in an announcement unveiling the brand new tool.

Read more about ChatGPT Gov’s product launch here.

Tech stocks led the main averages higher on Tuesday with the Nasdaq Composite (^IXIC) gaining greater than 1% on Tuesday.

Apple (AAPL), an outlier during Monday’s tech rout, prolonged gains to rise greater than 3%. Amazon (AMZN), Alphabet (GOOGL,GOOG), and Microsoft (MSFT) also rose.

AI chip heavyweight Nvidia (NVDA) rose greater than 2% in early trading, retracing a fraction of its 17% plunge from the prior session.

JetBlue (JBLU) shares fell as much as 22% on Tuesday, their biggest drop since 2020 after the air carrier posted disappointing first quarter outlook for revenue per available seat mile (RASM).

For the present three month period, JetBlue forecasts revenue per available seat mile between a decline of 0.5% and a rise of three.5%, versus estimates for growth above 4%.

JetBlue’s fourth quarter loss got here in narrower than expected, at an adjusted loss per share of $0.21, versus estimates for – $0.31.

The domestic low-cost carrier also faces higher costs. JetBlue has faced quite a lot of challenges over the past 12 months, including a blocked merger with peer Spirit in 2024.

US home prices hit a record high in November because the pace of price increases picked up.

The S&P Case-Shiller National Home Price Index rose 3.8% from a 12 months earlier in November on a seasonally adjusted basis, higher than the three.6% annual increase in October.

The information captures a three-month period through November when mortgage rates were climbing toward 7%, providing little relief for would-be buyers in a seasonally slower selling season. Despite the rise in borrowing costs, the national index hit a record high for the 18th consecutive month on a seasonally adjusted basis.

Still, on a monthly basis, prices ticked up 0.4% over the prior month in November, up from October’s 0.3% monthly increase.

Brian D. Luke, head of commodities at S&P CoreLogic, said in an announcement, “Except pockets of above-trend performance, national home prices are trending below historical averages.”

The index tracking home prices within the 20 largest metropolitan areas gained 4.3% in November from a 12 months earlier, compared with a 4.2% increase within the previous month, based on S&P CoreLogic Case-Shiller data. Recent York remained the highest state for annual gains, with a 7.3% increase.

The Nasdaq and S&P 500 attempted to get better on Tuesday from a pointy tech-led rout prompted by AI worries. The Federal Reserve two-day policy meeting which began earlier within the morning was also in focus for investors.

The tech-heavy Nasdaq Composite (^IXIC) rose greater than 0.4% after sliding 3% within the prior session. The S&P 500 (^GSPC) gained 0.2%, while the Dow Jones Industrial Average (^DJI) hovered near the flatline.

AI chip giant Nvidia (NVDA) rose greater than 2%, attempting to get better from a 17% plunge within the prior session as the excitement around Chinese startup DeepSeek raised questions of overvaluation and spending in much of the US artificial intelligence space.

Investors are keeping an in depth eye on any additional tariff talk from President Trump and the way which will impact economic growth.

The market now awaits the Federal Reserve’s policy decision expected on Wednesday afternoon following their two-day meeting.

Yahoo Finance’s Laura Bratton reports:

Nvidia (NVDA) stock rose 2.5% pre-market Tuesday because the AI chipmaker began to get better from a large decline the prior day that shaved nearly $600 billion off its market cap.

Nvidia’s 17% free-fall Monday was prompted by investor anxieties related to a latest, cost-effective AI model from the Chinese startup DeepSeek. Some Wall Street analysts anxious that the cheaper costs DeepSeek claimed to have spent training its latest AI models, due partly to using fewer AI chips, meant US firms were overspending on artificial intelligence infrastructure.

Nvidia’s $589 billion market cap decline was the most important single-day loss in stock market history. The DeepSeek announcements drove down not only Nvidia but the market at large, with the tech-heavy Nasdaq dropping 3%. Chip stocks dropped across the board Monday but began to get better Tuesday morning.

Read more here.

Yahoo Finance’s Brian Sozzi reports:

General Motors (GM) chair and CEO Mary Barra has made her case on tariffs to President Trump.

“We have done numerous scenario planning and we all know the levers that we will pull to reduce any impact. But, having the chance to talk over with the president, I actually imagine he wants a robust manufacturing sector since it’s good for the economy,” Barra told Yahoo Finance on Tuesday.

GM on its earnings release today said it assumes a “stable” policy environment. Its full-year 2025 EPS guidance of $11 to $12 was ahead of consensus forecasts for $10.75 and doesn’t assume any impact of additional tariffs.

Read more here.

Economic data: Durable goods orders (December); FHFA house price index (November), S&P CoreLogic Case-Shiller home prices (November); Conference Board Consumer Confidence (January); Richmond Fed manufacturing index (January)

Earnings: Boeing (BA), General Motors (GM), JetBlue (JBLU), Lockheed Martin (LMT), Logitech (LOGI), Royal Caribbean Cruises (RCL), SAP (SAP), Starbucks (SBUX), Sysco (SYY)

Listed here are a number of the biggest stories you might have missed overnight and early this morning:

Yahoo Finance Chartbook: 44 charts that tell the story of markets and the economy to start out 2025

Boeing reports $11.8B loss, largest since 2020

Black Swan’s Taleb Warns Nvidia Rout Is ‘Hint of What’s to Come’

Wall Street hopes to eliminate a nasty Elon Musk bet

Trump says Microsoft is in talks to amass TikTok

GM posts Q4 earnings beat despite EV, China challenges

How DeepSeek’s founder goals to upend the worldwide AI order