US stocks weekly: Shaky
SPY•The S&P 500 fell 0.5% for a second straight weekly decline, while the Dow rose 0.4% and the Nasdaq Composite lost 0.7%. The 10-year Treasury yield dropped below 5% as concerns about the sustainability of the AI boom boosted demand for government debt.
1. Indexes and sectors diverge
The S&P 500 stalled near record levels in rocky trading, while the Nasdaq Composite remained near a five-month stretch of little movement. Communication Services fell 6.2%, Industrials lost 1.9% and Technology slipped 0.3%; Healthcare and Energy each gained 1.5%.
2. Company moves shape week
Netflix fell after weak fourth-quarter profit guidance and a lower 2026 advertising revenue forecast. Meta declined after announcing a new class of stock to fund AI plans, while Tesla gained about 5% for the week despite a late-week drop after cutting its 2026 capital expenditure forecast. Procter & Gamble rose after quarterly results beat expectations, and SLB climbed after a profit beat and signs of recovery in the Middle East.
3. Investor caution grows
A Nasdaq breadth measure neared prior washout lows, and the semiconductor index fell 3.2% as AI optimism faded late in the week. AAII pessimism climbed as investors grew more cautious.
