WASHINGTON (dpa-AFX) - After an initial move to the upside, stocks have come under considerable pressure over the course of the trading session on Friday. The Nasdaq and S&P 500 have shown notable moves to the downside, while the narrower Dow is posting a more modest loss.
Currently, the Nasdaq is down 403.10 points or 1.6 percent at 24,962.99 and the S&P 500 is down 66.37 points or 0.9 percent at 7,526.03. The Dow is well off its worst levels of the day but still down 59.58 points or 0.1 percent at 52,237.51.
Weakness among technology stocks is once again weighing on Wall Street, as reflected by the steep drop by the tech-heavy Nasdaq.
Shares of Nvidia (NVDA) have shown another notable move to the downside, with the AI leader slumping by 3.9 percent.
Shares of Nvidia recovered from an initial nosedive but still tumbled by more than 4 percent on Thursday following news CFO Colette Kress will service as interim CEO following the resignation of Jensen Huang.
Semiconductor stocks are subsequently turning in some of the tech sector's worst performances, resulting in a 5.5 percent nosedive by the Philadelphia Semiconductor Index.
Computer hardware and networking stocks are also seeing significant weakness, with the NYSE Arca Computer Hardware Index plunging by 4 percent the NYSE Arca Networking Index tumbling by 3.3 percent.
Outside of the tech sector, airline stocks are seeing some weakness, although most of the other major sectors are showing only modest moves on the day.
The weakness on Wall Street also comes as treasury yields are extending a recent surge following the release of the Labor Department's report on producer price inflation in the month of October.
While the report showed a slightly smaller-than-expected monthly increase in producer prices, the annual rate of producer price accelerated to 6.5 percent, the fastest pace of growth since November 2022.
'For equities, 6.5% producer inflation matters because companies can get squeezed from both sides,' said Chris Osmond, Chief Investment Officer for Fifth Third Wealth Advisors.
'Persistent input costs pressure margins, while higher bond yields raise the discount rate investors apply to those earnings,' he added. 'That combination puts a much higher hurdle on expensive stocks whose valuations depend on earnings far into the future.'
The report also indicates inflation is broadening beyond energy, as energy prices edged lower but food prices jumped and prices for services increased for a fifth consecutive month.
In overseas trading, stock markets across the Asia-Pacific region moved mostly lower on Friday. Hong Kong's Hang Seng Index slumped by 1.6 percent and China's Shanghai Composite Index fell by 0.6 percent, although Japan's Nikkei 225 Index bucked the downtrend and rose by 0.5 percent.
Meanwhile, the major European markets are turning in a mixed performance on the day. While the German DAX Index is down by 0.2 percent, the French CAC 40 Index is just above the unchanged line and the U.K.'s FTSE 100 Index is up by 0.3 percent.
In the bond market, treasuries have climbed off their worst levels but remain in negative territory. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, is up by 3.2 basis points at 5.135 percent.
Copyright(c) 2026 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2026 AFX News