04:25 PM EST, 02/20/2025 (MT Newswires) -- US benchmark equity indexes closed lower Thursday as markets evaluated the latest corporate earnings, including a weak outlook from Walmart ( WMT ) .

The Dow Jones Industrial Average dropped 1% to 44,176.7, while the Nasdaq Composite fell 0.5% to 19,962.4. The S&P 500 lost 0.4% to 6,117.5, retreating from Wednesday's record close. Among sectors, financials saw the steepest decline, while energy led the gainers.

In company news, Walmart's ( WMT ) shares slumped 6.5%, the worst performer on the Dow and among the worst on the S&P 500, after the retail giant issued a full-year earnings outlook below market estimates amid uncertain consumer behavior and geopolitical conditions.

EPAM Systems ( EPAM ) saw the steepest decline on the S&P 500, down nearly 13%, after the company issued downbeat quarterly and annual earnings outlooks.

Hasbro ( HAS ) logged a surprise increase in fourth-quarter profit and outlined a medium-term strategy, including targeting $1 billion of cost savings. The toymaker's shares surged 13%, the best S&P 500 performer.

Shake Shack ( SHAK ) shares jumped 11% after the burger chain reported in-line sales despite taking a hit from the Los Angeles wildfires, while guiding for double-digit top-line growth this year.

The 10-year US Treasury yield fell 2.8 basis points to 4.51% and the two-year rate was little changed at 4.27%.

In economic news, applications for unemployment insurance in the US rose more than expected last week, while continuing claims largely matched Wall Street's expectations, government data showed.

"Taken together the claims data are consistent with a labor market that can withstand a (Federal Reserve) on hold as it assesses progress on inflation," Oxford Economics said.

Atlanta Fed President Raphael Bostic said area businesses are concerned that tariffs will increase costs as they're prepared to raise prices for consumers to mitigate the impact. They also expressed concern that mass deportations in the US could reduce labor supply, particularly in home construction and leisure and hospitality, he said.

"In recent weeks, we've heard not only enthusiasm -- particularly from banks, about possible shifts in tax and regulatory policies -- but also widespread apprehension about future trade and immigration policy," Bostic wrote in an essay. "These crosscurrents inject still more complexity into policymaking."

West Texas Intermediate crude oil rose 0.4% to $72.53 a barrel Thursday. "Supply uncertainty continues to support the oil market," ING Bank said.

Commercial crude stockpiles in the US increased 4.6 million barrels to 432.5 million barrels through the week ended Friday, the Energy Information Administration said. The consensus was for a gain of 3 million barrels, according to a Bloomberg poll.

Gold rose 0.6% to $2,953.40 per troy ounce, while silver added 1.1% to $33.42 per ounce.