U.S. stock markets experienced notable fluctuations over the two-day period from August 4 to August 5, 2025. On August 4, the major indices posted strong gains following the market open, with the S&P 500 rising 0.67% initially and extending its gain to 1.45% by the close, finishing at 6,328.32. The Dow Jones Industrial Average increased by 580.57 points, or 1.33%, closing at 44,169.15, while the Nasdaq Composite advanced 401.03 points, or 1.94%, ending the day at 21,051.16. Investor optimism drove broad-based buying, pushing the S&P 500 to a close of 6,329.94 according to one report. However, on August 5, the market reversed course with declines across the board. The S&P 500 fell by 31.91 points, or 0.50%, to an unofficial close of 6,298.03. The Nasdaq dropped 139.79 points, or 0.66%, closing unofficially at 20,913.80, and the Dow Jones decreased by 73.61 points, or 0.17%, to 44,100.03. Market volatility was noted with a VIX breakout and downward trends observed during the day. Market-on-close imbalances were also reported, with the S&P 500 at $737.6 million, Nasdaq 100 at $772.3 million, Dow 30 at $104.7 million, and the MAG 7 at $406.9 million.