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U.S. stocks fell Friday, putting the S&P 500 on pace to extend its rout since late February caused by trade policy turmoil, recession fears and a rollover in megacap technology shares.
The Dow Jones Industrials came off its lows of the morning, but still trailed Thursday’s close by 235.93 points to 41,717.39.
The broader index slid 34.29 points to 5.625.60, putting the index on track for its first five-week losing streak in more than two years
The NASDAQ backed off 97.19 points to 17,594.44.
Traders had prepped for a likely volatile session on Friday with a so-called “quadruple witching” – when stock options, index futures options and single-stock futures expire. Goldman estimates that more than $4.7 trillion of notional options exposure will expire.
The day’s losses pushed the S&P 500 into negative territory on the week. It briefly fell into correction territory at one point during its monthlong rout, and it now sits more than 8% from its record high, short of the 10% correction level, as it tried to mount a comeback from the turmoil.
Two economic bellwethers were leading the way lower on Friday. FedEx was down 9% after it cut its earnings outlook, citing “weakness and uncertainty in the U.S. industrial economy.” Nike shares were off by about 7% after the shoe and apparel giant said sales this quarter would miss analysts’ expectations because of tariffs and falling consumer confidence.
Friday’s session is likely to be volatile, with options expiring and President Donald Trump’s April 2 tariff deadline looming over the market.
The bulk of the market’s gains came on Wednesday when Federal Reserve policymakers kept their forecast for two rate cuts this year.
Prices for the 10-year Treasury lost ground Thursday, sending yields back up to Thursday’s 4.24%. Treasury prices and yields move in opposite directions.
Oil prices doggedly added 12 cents to $68.19 U.S. a barrel.
Prices for gold stumbled $21.80 an ounce to $3,022 U.S.
