The S&P 500 Index ($SPX) closed down -1.07% on Friday, with the Dow Jones Industrial Average ($DOWI) down -0.51% and the Nasdaq 100 ($IUXX) falling -1.91%. This decline pushed the S&P 500 to a 1.5-week low and marked a retreat for the Dow from a record high, driven largely by a slump in technology stocks.
Broadcom’s shares plummeted over -11% after the company provided a disappointing sales outlook and omitted a forecast for AI revenue in 2026. This followed weak forecasts from Oracle and has led to a shift of investor focus from tech stocks to industrial stocks, offering some support for the Dow. The 10-year Treasury note yield rose by +3 basis points to 4.192% following hawkish comments from Chicago and Kansas City Fed Presidents regarding ongoing inflation concerns.
In corporate earnings, 83% of S&P 500 companies that reported exceeded forecasts, with Q3 earnings rising +14.6%, significantly above the expected +7.2% year-on-year growth. Globally, the Euro Stoxx 50 fell -0.58%, while Japan’s Nikkei Stock 225 rose +1.37% at the end of the trading week.
