Wall Street closes lower to end rocky week
SPY•Wall Street’s main indexes fell on Friday: the Dow dropped 1.23%, the S&P 500 lost 0.52% and the Nasdaq declined 0.21%. Investors looked ahead to a busy week of corporate earnings and a Federal Reserve policy meeting.
1. Indexes retreat
The Dow fell 652.82 points to 52,215.16, the S&P 500 lost 39.75 points to 7,623.68 and the Nasdaq declined 53.52 points to 25,955.34. For the week, the S&P 500 fell 0.5% and the Nasdaq dropped 0.7%, while the Dow gained 0.4%, its third straight weekly advance.
2. Investors assess AI spending
Technology shares steadied, with the S&P 500 technology sector rising 0.35%, but most sectors fell. About one-third of S&P 500 companies are due to report quarterly results next week, including Alphabet, Microsoft and Amazon; their capital spending forecasts will be closely watched. A strategist said doubts about the AI trade and the potential for less investment in data center construction next year were giving investors pause.
3. Earnings and Fed in focus
The S&P 500 energy sector rose 2.5% to a record high as Brent crude reached its highest level since late April. The Federal Reserve is expected to hold rates steady on Wednesday, with investors looking for clues about its December decision. University of Michigan data showed consumer sentiment edged down near a record low in October.
