S&P 500 and Nasdaq end lower as Nvidia uncertainty weighs on tech shares
SPY•The S&P 500 fell 0.42% and the Nasdaq lost 0.91% on Friday as uncertainty around Nvidia weighed on technology shares; the Dow rose 0.09%. October producer prices rose 6.5% year over year.
1. Tech shares weigh on indexes
The S&P 500 and Nasdaq closed lower on Friday as Nvidia shares fell for a sixth straight week, their longest losing streak since October 2012. Nvidia CEO Jensen Huang stepped down on Thursday, and the company’s board has approached Arm CEO Rene Haas in its search for a potential successor, the Financial Times reported.
2. Preliminary closing figures
The S&P 500 lost 31.53 points, or 0.42%, to 7,560.87, and the Nasdaq Composite fell 230.13 points, or 0.91%, to 25,135.96. The Dow Jones Industrial Average gained 46.14 points, or 0.09%, to 52,343.23. The major indexes recorded weekly gains, with the S&P 500 and Nasdaq snapping four-week losing streaks.
3. Inflation and rate expectations
US producer prices rose 6.5% year over year in October, the largest annual gain since November 2022. The data kept expectations for at least a 25-basis-point Fed rate hike in December locked in, while markets priced in about a 10% chance of a 50-basis-point increase.
