Walmart reported its weakest sales growth in six years, adding pressure to already strained Wall Street markets. The disappointing earnings from America's largest retailer Thursday extended concerns that consumer spending—the key engine of U.S. economic growth—is softening.

Investors are defying the Treasury Department's attempts to curb borrowing costs, sending yields higher and pressuring data-center hyperscalers. This marks an unusually dramatic mid-August week for Wall Street.

Meanwhile, Romania accused Russia of launching an explosive drone near the city of Constanta, prompting NATO consultation and a response from two F-16 jet fighters that shot down the naval drone. The eastern frontier of NATO has experienced near daily drone incursions this summer, raising fears about the Ukraine-Russia conflict spilling into alliance territory.

Healthcare costs are projected for their steepest increase in at least two decades, with employers bracing for an 11% jump in prices next year. Workers with workplace coverage are expected to spend an average of $5,297 in premiums and out-of-pocket care this year.