Stocks ended firmly lower Friday. The Dow fell 296 points to 24688, while the S&P 500 lost 46 points to 2658. Meanwhile, the Nasdaq Composite slid 151 points to 7167, on pace for its worst month since November 2008.
The major averages declined as a sell-off in tech shares deepened after a lackluster batch of earnings from members of the oft-cited “FAANG” group. Consumer Discretionary shares led the retreat, falling 3.4%. Shares of Amazon slumped 7.8% to $1,642.81 after the e-commerce giant missed on the top line due to a slowdown in its cloud business unit. The Communication Services group also lagged as Google parent company Alphabet was off 1.8% to $1,083.75 after missing analyst revenue projections for the first time since early 2016. Meanwhile, Intel bucked the downtrend, gaining 3.1% to $45.69 as the semiconductor maker topped earnings forecasts and raised forward guidance.
On the data front, a preliminary reading on third-quarter GDP revealed an annualized growth rate of 3.5%, above projections of 3.3%.
Breadth was negative on issues by 3:1 on the NYSE and 2:1 on the Nasdaq. Composite NYSE volume was more than 4.7 billion shares.
Treasuries strengthened with the yield on the 10-year note down four basis points to 3.08%. In commodities, WTI crude added 0.5% to $67.69/barrel. COMEX gold gained 0.3% to $1,232.50/ounce amid a weaker dollar.
For the week, the Dow fell 3%. The S&P 500 lost 3.9% as all 11 sectors in the index ended in negative territory. The Nasdaq Composite retreated 3.8%, posting its fourth consecutive weekly decline.