Wall Street retreated on Friday as lower oil prices weighed on energy shares and Facebook Inc and Apple Inc declined, but major indices still posted gains for the week.
Energy was the worst performing major S&P sector, dropping 1.3 percent. Oil prices tumbled 4 percent on signs that Saudi Arabia and Iran were making little progress on a bilateral agreement ahead of talks by crude exporters aimed at freezing production.
Facebook shares fell 1.6 percent and were one of the biggest drags on the S&P 500.
The Wall Street Journal reported that the social media company overestimated viewing times for video ads.
Even so, the S&P 500 recorded its best weekly performance in more than two months. Stocks were given a boost on Wednesday when the US Federal Reserve decided to keep rates steady, leaving intact the low-interest-rate environment that has helped fuel the bull market.
“I just think after a few strong days and a little weakness in energy that folks are taking some profit before the weekend,” said Gary Bradshaw, portfolio manager with Hodges Capital Management in Dallas, Texas. “I just feel like the market is going to keep grinding higher.”
The Dow Jones industrial average ended down 131.01 points, or 0.71 percent, at 18,261.45, the S&P 500 lost 12.49 points, or 0.57 percent, to 2,164.69 and the NASDAQ Composite dropped 33.78 points, or 0.63 percent, to 5,305.75.
For the year, the benchmark S&P 500 is up about 6 percent. With the highly anticipated Fed decision now past, investors are turning toward the upcoming corporate earnings season and US presidential election, with the first debate tomorrow.
“We have a lot of noise coming in with the end of the quarter and the debate,” said Bucky Hellwig, senior vice president at BB&T Wealth Management in Birmingham, Alabama. “But given what the Fed has done, I think we have volatility with a bias to the upside.”
Nine of 11 major S&P sectors ended lower. The tech sector fell about 1 percent, with Apple shares down 1.7 percent on concerns about iPhone sales.
Twitter Inc shares surged 21 percent on reports that the microblogging company had initiated talks with several technology companies to explore selling itself.
Google parent Alphabet Inc ended unchanged, while Salesforce dropped 5.6 percent after both were reported to have shown interest in buying Twitter.
Oil-linked stocks retreated, with petroleum prices, as Halliburton Co shed 1.9 percent and ConocoPhillips declined 2.6 percent.
Dow member Procter & Gamble Co (P&G) fell 1.4 percent following a report from Bloomberg News that said P&G brands in skin care and men’s shaving were losing US market share to competitors.
Yahoo Inc sank 3.1 percent following the Thursday disclosure that hackers took data on at least 500 million users, one of the biggest thefts of personal data ever.
Marriott International Inc shed 1.9 percent after announcing it completed its US$13.6 billion takeover of Starwood Hotels & Resorts Worldwide Inc.
Endo International PLC shares jumped more than 15 percent after the drugmaker announced a new chief executive.
Declining issues outnumbered advancing ones on the NYSE by a 2.13-to-1 ratio; on NASDAQ, a 1.67-to-1 ratio favored decliners.
The S&P 500 posted seven new 52-week highs and one new low; the NASDAQ Composite recorded 88 new highs and 13 new lows.
About 6.3 billion shares changed hands on US exchanges, below the 6.9 billion daily average for the past 20 trading days, according to Thomson Reuters data.
Additional reporting by AFP
COMPETITION: AMD, Intel and Qualcomm are unveiling new laptop and desktop parts in Las Vegas, arguing their technologies provide the best performance for AI workloads Advanced Micro Devices Inc (AMD), the second-biggest maker of computer processors, said its chips are to be used by Dell Technologies Inc for the first time in PCs sold to businesses. The chipmaker unveiled new processors it says would make AMD-based PCs the best at running artificial intelligence (AI) software. Dell has decided to use the chips in some of its computers aimed at business customers, AMD executives said at CES in Las Vegas on Monday. Dell’s embrace of AMD for corporate PCs — it already uses the chipmaker for consumer devices — is another blow for Intel Corp as the company
ADVANCED: Previously, Taiwanese chip companies were restricted from building overseas fabs with technology less than two generations behind domestic factories Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), a major chip supplier to Nvidia Corp, would no longer be restricted from investing in next-generation 2-nanometer chip production in the US, the Ministry of Economic Affairs said yesterday. However, the ministry added that the world’s biggest contract chipmaker would not be making any reckless decisions, given the weight of its up to US$30 billion investment. To safeguard Taiwan’s chip technology advantages, the government has barred local chipmakers from making chips using more advanced technologies at their overseas factories, in China particularly. Chipmakers were previously only allowed to produce chips using less advanced technologies, specifically
MediaTek Inc (聯發科) yesterday said it is teaming up with Nvidia Corp to develop a new chip for artificial intelligence (AI) supercomputers that uses architecture licensed from Arm Holdings PLC. The new product is targeting AI researchers, data scientists and students rather than the mass PC market, the company said. The announcement comes as MediaTek makes efforts to add AI capabilities to its Dimensity chips for smartphones and tablets, Genio family for the Internet of Things devices, Pentonic series of smart TVs, Kompanio line of Arm-based Chromebooks, along with the Dimensity auto platform for vehicles. MeidaTek, the world’s largest chip designer for smartphones
BRAVE NEW WORLD: Nvidia believes that AI would fuel a new industrial revolution and would ‘do whatever we can’ to guide US AI policy, CEO Jensen Huang said Nvidia Corp cofounder and chief executive officer Jensen Huang (黃仁勳) on Tuesday said he is ready to meet US president-elect Donald Trump and offer his help to the incoming administration. “I’d be delighted to go see him and congratulate him, and do whatever we can to make this administration succeed,” Huang said in an interview with Bloomberg Television, adding that he has not been invited to visit Trump’s home base at Mar-a-Lago in Florida yet. As head of the world’s most valuable chipmaker, Huang has an opportunity to help steer the administration’s artificial intelligence (AI) policy at a moment of rapid change.
RSS