Stocks declined on Friday led by technology names, with the Dow Jones Industrial Average and the Nasdaq Composite erasing earlier gains in the holiday-shortened week.
The blue-chip Dow shed more than 500 points, falling for the first time in six sessions. The S&P 500 fell 1.3% with all 11 sectors in the red. The Nasdaq Composite slid 2% as Tesla dropped 5%, and Nvidia declined more than 3%. Amazon, Microsoft and Alphabet each fell at least 2%.
With Friday’s sell-off, the Dow and the tech-heavy Nasdaq turned negative on the week. The S&P 500 is up just 0.2% this week after posting its best Christmas Eve performance since 1974 on Tuesday, according to Bespoke.
A rise in Treasury yields this week could be putting pressure on equities. The yield on the benchmark 10-year Treasury rose another 2 basis points Friday to 4.603% after the rate hit its highest level since May in the previous session.
“I think what you’re seeing today is a lack of faith,” Alan Rechtschaffen, UBS Global Wealth senior portfolio, said on CNBC’s “Market Movers.”
“I think there’s a lot of noise about tariffs, there’s a lot of concern about productivity.”