S&P 500 declines due to a poor Intel projection, ending a run of record highs

S&P 500 declines due to a poor Intel projection, ending a run of record highs

S&P 500 declines due to a poor Intel projection, ending a run of record highs

At 4,890.97 points, the S&P 500 finished the session down by 0.07%. The Dow Jones Industrial Average increased 0.16% to 38,109.43, while the Nasdaq dipped 0.36% to 15,455.36.

The S&P 500 gained 1.06%, the Dow gained 0.65%, and the Nasdaq gained 0.94% for the week.

On Friday, the S&P 500 broke a five-session run of all-time highs, Intel dropped sharply on a dismal sales prediction, and US economic data indicated that inflation had decreased.

All three main indexes had their third straight weekly gain and their 12th out of 13 overall, despite the fact that the Nasdaq and S&P 500 finished the day down.

The Federal Reserve's preferred inflation indicator, the personal consumption expenditure index, increased somewhat in December, according to a US Commerce Department report.

This supported a rate decrease this year and maintained annual inflation growth below 3% for a third straight month.

Fourth-quarter US economic growth was robust, according to figures released on Thursday.

The chief markets economist of Spartan Capital Securities in New York, Peter Cardillo, said, "These are advantageous data." "In addition with yesterday's GDP data, this report reinforces the likely outcome of a soft landing, which continues to gain traction."

Launch a new tab Intel, which leads the AI race and is coping with the declining PC market, saw its shares fall 11.9% to a six-week low after its revenue projection significantly missed estimates.

Following a dismal sales estimate for the third quarter, KLA Corp (KLAC.O), a manufacturer of chip manufacturing equipment, launched a new tab with a 6.6% fall.

The Philadelphia SE Semiconductor Index (.SOX), which opened in a new tab, closed at a record high on Wednesday and then dropped 2.9% for the second day.

At 4,890.97 points, the S&P 500 finished the session down by 0.07%.

The Dow Jones Industrial Average increased 0.16% to 38,109.43, while the Nasdaq dipped 0.36% to 15,455.36.

The S&P 500 gained 1.06%, the Dow gained 0.65%, and the Nasdaq gained 0.94% for the week.

In recent sessions, the S&P 500 made its way back to record highs for the first time in two years, continuing a rise propelled by wagers on artificial intelligence, cheap interest rates, and economic confidence.

According to LSEG statistics, 78.2% of the S&P 500 businesses who have released results so far have surpassed estimates, with a long-term average beat rate of 67%.

Tesla recovered by 0.3% to start the new year, one day after the electric vehicle manufacturer saw its stock fall by 12% on a warning about slower growth in 2024.

Launch a new tab Following the credit card company's better-than-expected annual earnings projection, American Express (AXP.N) surged 7.1% to a new high. Launch a new tab As the biggest payments processor in the world released a bleak revenue growth prediction for the current quarter, Visa saw a 1.7% decline.

One day early, on Thursday, Apple releases a new tab 1%. Two of the most highly weighted stocks on the S&P 500 were Intel and the manufacturer of iPhones.

Colgate-Palmolive's stock began trading 2% higher on the company's improved fourth-quarter earnings.

9.6 billion shares were traded on US exchanges, which is a rather low volume when you consider that 11.6 billion shares were exchanged on average during the previous 20 days.

By a ratio of 1.2 to 1, issues that advanced outweighed those that fell inside the S&P 500 (.AD.SPX).

The Nasdaq had 93 new highs and 77 new lows, while the S&P 500 saw 36 new highs and 1 new low.