Stocks Fall at The End of The Week – US Market Wrap

Stocks fell, headed for the worst week in more than two months, as Trump trades lost steam and investors bet the Federal Reserve will have to slow the pace of policy easing.

The S&P 500 was just off lows in the last hour of trading, with tech stocks leading declines. The benchmark has now erased over half of the trough-to-peak gains it notched after the US presidential election. Traders see slightly more than even odds of a quarter-point cut next month following comments by Jerome Powell this week indicating the Fed was in no hurry to lower rates and a report Friday on October retail sales that included large upside revisions to the prior month.

As the initial euphoria about Trump’s pro-business agenda begins to fade, investors are coming to terms with the costs of his fiscal plans and their potential to reignite inflation.

The S&P 500 fell 1.3% and the tech-heavy Nasdaq 100 dropped more than 2%. Shares of all Magnificent Seven megacaps declined except Tesla, with Amazon, Nvidia and Meta sliding more than 3%. Applied Materials, the largest US maker of chip-manufacturing equipment, suffered its worst stock decline in a month after giving a disappointing revenue forecast.