The NASDAQ Composite fell on Friday as Nvidia shares added to their recent losses, though the index still headed for a winning week alongside the other two major averages.
The Dow Jones Industrial index stumbled 141.31 points to 52,155.75
The S&P 500 skidded 64.21 points to 7,528.19.
The tech-heavy NASDAQ dropped 325.83 points, or 1.3%, to 24,040.22.
Nvidia shares weighed on the broader market for another day. The stock fell more than 4% Friday, extending the more than 4% drop it saw in the previous session. The pressure came after the exit of the scandal-hit chipmaker’s founder and CEO Jensen Huang.
HSBC downgraded the chipmaker Friday to hold, believing that the stock will languish until the company lays out a permanent succession plan.
Even with the latest bout of market turbulence, the major averages are heading for weekly advances. The NASDAQ is up more than 1%, while the S&P 500 and the Dow are poised to post an almost 2% jump.
The Dow, S&P 500 and NASDAQ all pulled back on Thursday after Huang stepped down from his post following reported extramarital affairs, including a relationship with a woman U.S. intelligence officials believe is a Chinese spy. Analysts told the media that Huang’s exit could trigger a 20% correction in the stock.
Equities initially popped after October’s producer price index reading — a measure of wholesale inflation — showed an increase of 0.3% on the month. Economists polled by Dow Jones had seen headline PPI rising 0.4%.
However, the report also showed producer prices gaining 6.5% from 12 months earlier — the biggest annual advance since November 2022.
Prices for the 10-Year U.S. Treasury lost some ground, making yields rise to 5.13% from 5.12% Wednesday. Treasury prices and yields move in opposite directions.
Oil prices settled 44 cents to $88.30 U.S. a barrel.
Gold prices ditched $4.70 to $3,880.60 U.S. an ounce.
