04:31 PM EST, 01/02/2025 (MT Newswires) -- US benchmark equity indexes closed lower on the first trading day of 2025, with the S&P 500 and the Nasdaq Composite weighed down by a sell-off in Tesla (TSLA) shares.

The technology-heavy Nasdaq and the S&P 500 fell about 0.2% each to 19,280.8 and 5,868.6, respectively, Thursday. The Dow Jones Industrial Average lost 0.4% to 42,392.3. Consumer discretionary saw the steepest decline among sectors, while energy led the gainers.

Markets were closed Wednesday for New Year's Day.

In company news, Tesla shares slumped 6.1%, the worst performer on the S&P 500 and the Nasdaq, after the electric vehicle maker logged a year-over-year drop in vehicle deliveries for 2024, with its fourth-quarter figures missing Wall Street's forecasts.

Plane maker Boeing ( BA ) saw the steepest decline on the Dow and one of the steepest on the S&P 500, down 2.9%.

Constellation Energy ( CEG ) said it was awarded a 10-year, $840 million contract to supply power to more than 13 federal government agencies. The shares rose 8.4%, the best performer on the Nasdaq and the second-best on the S&P 500.

Nvidia ( NVDA ) invested $1 billion in artificial intelligence companies last year, the Financial Times reported Wednesday, citing filings and Dealroom research. The chip-making giant's shares advanced 3%, the top gainer on the Dow.

The US 10-year yield fell 1.6 basis points to 4.56%, while the two-year rate lost one basis point to 4.24%.

In economic news, the US manufacturing sector remained in contraction territory in December amid declines in output and new orders, while sentiment reached the lowest since August, according to a survey by S&P Global ( SPGI ).

"While November had seen a near-stabilization of order books as uncertainty surrounding the (US presidential) election passed, reviving customer demand, this respite has proved temporary," S&P Global Market Intelligence Chief Business Economist Chris Williamson said.

Weekly applications for unemployment insurance in the US unexpectedly fell last week, while continuing claims also declined, government data showed.

Although the drop in both initial and continuing claims is encouraging, "it is hard to get too excited about given the high degree of seasonal volatility during this time of year," Jefferies said in a note.

Mortgage applications fell sharply in the two weeks ended Dec. 27 as rates across all loan types increased, the Mortgage Bankers Association said.

West Texas Intermediate crude oil rose 2% to $73.14 a barrel Thursday.

Commercial crude stockpiles in the US declined by 1.2 million barrels to 415.6 million barrels through the week ended Friday, the Energy Information Administration said. The consensus was for a draw of 2.5 million barrels, according to a Bloomberg poll.

Gold increased 1.2% to $2,673.90 per troy ounce, while silver jumped 2.6% to $29.99 per ounce.