FX.co ★ US Stocks Trade Muted at Week End

US equity markets were subdued on Friday, largely consolidating Thursday’s rebound as energy prices extended their mid-week pullback, easing some pressure from a weakening macroeconomic backdrop. The S&P 500, Dow, and Nasdaq 100 were little changed on the day. Longer-term Treasury yields held below the multi-decade highs reached earlier in the week as crude oil and refined product prices paused their recent rallies, while a unanimous rate hike by the FOMC helped temper concerns that the central bank might be too tolerant of elevated underlying inflation. Alphabet gained 2.5% and Amazon added 1%, extending the recovery in AI-focused mega caps since benchmark funding costs peaked earlier in the week. AI infrastructure names were mixed, clawing back some ground after recent worries over AI-related security risks prompted investors to reassess the pace of spending on data centers and chips. In contrast, bank stocks drifted lower, with JPMorgan, Morgan Stanley, and Wells Fargo each down around 1%.