04:56 PM EDT, 10/22/2025 (MT Newswires) -- US equity indexes fell on Wednesday as market heavyweights Netflix ( NFLX ) , Amazon.com ( AMZN ) , and Tesla (TSLA) hit the risk sentiment, while uncertainty surrounding the China trade negotiations increased.

The Nasdaq Composite dropped 0.9% to 22,740.396, with the S&P 500 down 0.5% to 6,699.40 and the Dow Jones Industrial Average 0.7% lower at 46,590.41. In the previous trading session, the Dow hit a new all-time high of 47,125.66. Both the S&P 500 and the Nasdaq traded close to their peaks.

Consumer discretionary, home to Tesla, and industrials were among the decliners intraday. Energy, healthcare, and consumer staples led the gainers.

Investors were apprehensive about Tesla's quarterly results after the bell. The concerns turned out to be well-founded after the market closed, when the electric vehicle manufacturer reported Q3 adjusted earnings below the average analyst estimate compiled by FactSet. Tesla traded 1.3% lower in recent after-hours activity.

Ahead of the results, Morningstar's Seth Goldstein maintained his sell rating on Tesla amid skepticism surrounding the robotaxi launch timetable and concern that Tesla's shares are overvalued.

Netflix ( NFLX ) slumped 10%, the second-steepest decline on the Nasdaq and the S&P 500, after the streaming company reported Q3 earnings below analysts' estimates.

Alphabet's (GOOG, GOOGL) Google ( GOOG ) and Anthropic PBC are discussing a deal that would provide the Amazon ( AMZN )-backed artificial intelligence firm with more computing power valued in the "high tens of billions of dollars," Bloomberg News reported Tuesday, citing people familiar with the matter. Shares of Amazon ( AMZN ) declined 1.8% intraday, one of Dow's biggest laggards.

Texas Instruments ( TXN ) shares slumped 5.6%, among the biggest laggards on the Nasdaq, after the company reported fiscal Q3 earnings below analysts' estimates late Tuesday.

Meanwhile, President Donald Trump reportedly said Tuesday there is a possibility his highly anticipated meeting with his Chinese counterpart, Xi Jinping, may not materialize. "Things can happen where, for instance, maybe somebody will say, 'I don't want to meet, it's too nasty,'" according to Trump. "But it's really not nasty, it's just business," he said.

Trump reiterated his "great relationship with President Xi" and expects to "make a good deal with him." The US president and Jinping are likely to meet on the sidelines of an economic conference in South Korea next week.

West Texas Intermediate crude oil futures soared 4.2% to $59.62 a barrel.

Most US Treasury yields fell, with the 10-year yield down one basis point to 3.95%, its lowest level since April on an intraday basis.

EY-Parthenon chief economist Gregory Daco estimated each week of federal government shutdown would translate into a $7 billion economic hit and a 0.1% reduction in gross domestic product growth, a result, in part, of delayed procurement of goods and a drag on demand, according to a Fortune news report. The political impasse reached the 22nd day on Wednesday.