The S&P 500 fell 1.10% and the Nasdaq dropped 2.15% on Friday as concerns about AI companies’ debt and rising oil prices weighed on stocks. The Dow declined 0.36%.
Wall Street ended lower on Friday, with the S&P 500 down 85.44 points, or 1.10%, to 7,658.62 and the Nasdaq down 572.99 points, or 2.15%, to 26,137.85. The Dow fell 189.01 points, or 0.36%, to 51,990.05.
CoreWeave and Broadcom fell, and the PHLX chip index dropped for an eighth consecutive day. Investors worried that debt-laden AI infrastructure companies may not earn enough to repay their debts as borrowing costs rise; CoreWeave bonds sold off this week, pushing yields above 15%. Oil prices rose more than 3% on Middle East supply concerns.
Markets increasingly expect the Federal Reserve to leave rates unchanged this month, while Barclays expects quarter-point hikes in December and January. Next week’s earnings reports include Tesla, Meta Platforms and Procter & Gamble; analysts expect quarterly earnings to rise more than 30%. The S&P 500 is up about 12% in 2026, while its median component has gained about 6%.
