01:38 PM EDT, 10/07/2025 (MT Newswires) -- US equity indexes fell as growth sectors, consumer discretionary and technology, declined after inflation expectations rose and there was no end in sight for the federal government shutdown.

The Nasdaq Composite slid 0.7% to 22,790.7, with the S&P 500 down 0.4% to 6,712.5 and the Dow Jones Industrial Average 0.3% lower at 46,539.6. Consumer discretionary, technology, and communication services led the decliners intraday. Utilities, consumer staples, and healthcare were the gainers.

Among large-cap companies with a market capitalization of $200 billion or more, Oracle (ORCL) was the worst-performing. Software and semiconductor names such as Salesforce ( CRM ) and ASML ( ASML ) dominated the steepest decliners among these index heavyweights. Of the so-called Magnificent 7 stocks, six were in decline, and the seventh, Nvidia ( NVDA ) , stood unchanged.

Oracle is seeing thin profit margins in its fast-growing artificial intelligence cloud server business, according to internal documents cited by The Information on Monday. Shares dropped 5.5% intraday.

In economic news, consumer expectations for one-year US inflation growth increased to 3.4% in September from 3.2% in the previous month, according to a survey released by the New York Federal Reserve Bank on Tuesday.

The September level is the highest in five months, according to data compiled by Trading Economics. The median inflation expectations remained at 3% for the three years ahead but increased to 3% from 2.9% for the five years.

The first look at consumer confidence for October showed the RealClearMarkets' monthly index falling to 48.3 in October from 48.7 in September. The print is the lowest since May and below market expectations of 49.3, according to a report from Trading Economics. This marks the second consecutive month the index has remained below the neutral 50 mark, signaling ongoing consumer pessimism.

"Concerns about inflation and the impact of tariffs remain high, with food prices standing out as the leading economic worry," Raghavan Mayur, the head of polling company TechnoMetrica, said.

Most Treasury yields fell, with the two-year down 3.1 basis points to 3.57% and the 10-year rate slumped 4.5 basis points to 4.12%.

Meanwhile, President Donald Trump told reporters on Monday that he is open to discussing healthcare subsidies with the Democrats in an attempt to reopen the federal government, according to Bloomberg.

"I am happy to work with the Democrats on their failed healthcare policies, or anything else, but first they must allow our government to re-open," Trump said in a separate Monday post on social media.

Gold futures rose 0.7% to $4,005.60, after scaling yet another peak of $4,014.50 earlier in the session.