A disappointing sales outlook from Walmart caused a widespread sell-off in U.S. stocks, with the Dow dropping 1% and S&P 500 down 0.4%. Walmart's predictions for lower profit and sales growth have raised concerns about consumer spending, contributing to the decline. Analysts are interpreting Walmart’s cautious guidance as a sign of potential broader economic issues, particularly affecting investor sentiment. Other stocks also saw declines, especially in the banking sector, reflecting fears of sluggish consumer behavior. Despite seasonal indicators, traders remain on alert regarding inflation and tariffs affecting market dynamics.