Nasdaq, S&P 500 dip as Nvidia overhang weighs on tech stocks: Stock Market Live Updates
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Business News›Markets›US Stocks›Wall St Guide›Nasdaq, S&P 500 edge lower as Nvidia turmoil rattles AI trade: Stock Market Live Updates
Dow Jones | Nasdaq | Stock Market Live: The major US stock indexes trade lower on Friday despite data showing October producer prices were slightly softer than expected, potentially relieving some pressure on the Federal Reserve to hike interest rates aggressively.
US stocks trade mixed, with the Dow Jones Industrial Average up 85.26 points, or 0.16%, at 52,382.35. The S&P 500 falls 17.08 points, or 0.22%, to 7,575.32, while the Nasdaq Composite drops 118.56 points, or 0.47%, to 25,247.53.
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The Dow Jones Industrial Average rose 193.6 points, or 0.37%, at the open to 52,490.68. The S&P 500 rose 24.5 points, or 0.32%, at the open to 7,616.85, while the Nasdaq Composite rose 41.9 points, or 0.17%, to 25,408.001.
BofA Global Research said on Friday it now expects the Federal Reserve to raise rates by another 25 basis points in January 2027, on top of its prior forecast of hikes in December and March, after a hotter-than-expected October CPI reading boosted bets on higher borrowing costs.
Chicago Fed president Austan Goolsbee said on Friday that inflation lodged above the Fed's 2% target has spread beyond potentially temporary energy and tariff cost shocks, with the AI buildout forcing prices higher through strong demand, and many services and health care also experiencing price increases beyond what could be explained by oil prices or import taxes.
US Treasury Secretary Scott Bessent said on Friday that he would not be cowed by Iranian threats against his life, after recently moving from his Washington, DC, residence to a US military base.
"Why am I going to be afraid when our, the brave military personnel in the Gulf, President (Donald) Trump, constantly receive death threats?" Bessent said in an interview on CNBC. Iran has denied plotting to attack officials and people on US soil.
Treasury Secretary Scott Bessent told CNBC that the US Federal Reserve should have an open mind and not hike rates too much, saying on Friday the "energy shock" was tied to the Iran war and that the underlying economy was very strong.
October’s producer inflation report could shape expectations for the Federal Reserve’s rate decision next month. Traders fully expect an increase and see a roughly 12% chance of a larger 50-basis-point move instead of the widely anticipated 25-basis-point hike, according to the CME FedWatch tool.
About 83.6% of the 450 S&P 500 companies that had reported results through Thursday beat expectations, according to LSEG. However, geopolitical concerns persisted as oil prices rose for a third straight session after President Donald Trump said the US did not need a deal with Iran.
Microsoft shares dropped 2.1% in premarket trading after an outage lasting more than 12 hours disrupted its services worldwide. Meanwhile, Cerebras surged over 17% after raising its 2026 revenue forecast and naming Microsoft as a customer.
Nvidia shares gained 2.6% in premarket trading after losing about 11% this week through Thursday, when Colette Kress was named interim CEO. The leadership change has intensified concerns about the wider AI trade and could bring greater scrutiny to Nvidia’s financing arrangements with other industry players.
Nasdaq 100 futures were subdued on Friday after a volatile week marked by Jensen Huang’s resignation as Nvidia CEO amid reports about his relationship with a Chinese businesswoman suspected of spying for Beijing. The Dow E-minis rose 27 points, or 0.05%, S&P 500 E-minis gained 11.75 points, or 0.15%, and Nasdaq 100 E-minis slipped 7.5 points, or 0.03%.