01:31 PM EST, 01/02/2025 (MT Newswires) -- US benchmark equity indexes were 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 was down 0.9% at 19,137.5 after midday Thursday, while the S&P 500 and the Dow Jones Industrial Average fell 0.7% each to 5,841.4 and 42,258.8, respectively. Among sectors, consumer discretionary saw the steepest decline, while energy led the gainers.

Markets were closed Wednesday for New Year's Day.

In company news, Tesla shares were down 7.5%, 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 the second-steepest on the S&P 500, down 3.5%.

Constellation Energy ( CEG ) said it was awarded a 10-year, $840 million contract to supply power to more than 13 federal government agencies. The company's shares rose 5.5%, the best performer on the Nasdaq and the second-best on the S&P 500.

The US 10-year yield was up one basis point at 4.59% intraday, while the two-year rate was little changed at 4.26%.

In economic news, the US manufacturing sector's contraction deepened in December amid declines in output and new orders, while sentiment reached the lowest since August, S&P Global ( SPGI ) 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 to clients.

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 2.2% to $73.32 a barrel intraday.

Gold was up 1% at $2,666.90 per troy ounce, while silver jumped 2.2% to $29.89 per ounce.