Stock Market Update

[BRIEFING.COM] The major averages trade in a steady range, maintaining the bulk of their opening gains. 

NIKE (NKE 59.92, -5.71, -8.70%) reported 2Q26 results that surpassed expectations on both the top and bottom lines, yet the company's cautious outlook for the crucial holiday quarter and continued struggles in Greater China have sent shares tumbling lower. While North American growth provided a bright spot, management's guidance reflects a steep climb ahead as the brand navigates structural transitions and macroeconomic headwinds. Furthermore, for Q3, NKE's revenue guidance of a low-single-digit decline fell short of the more optimistic forecast for growth of just of 1%, according to the FactSet Consensus.

Furthermore, the looming 315 bps tariff hit in Q3 serves as a stark reminder of the external volatility Nike faces. 

The stock is the worst performer in the consumer discretionary sector (-0.3%) and one of the worst-performing S&P 500 names today. 

Elsewhere in the sector, Carnival (CCL 31.02, +2.68, +9.44%) is the best-performing S&P 500 stock after its own earnings report this morning. The company beat EPS expectations by $0.09 and reported revenues in line. The company guided Q1 EPS below consensus but guided FY26 EPS above consensus.