US stocks finished little changed Friday, with the S&P 500 and Nasdaq logging strong weekly performances as Apple’s (AAPL) AI strategy and Elon Musk’s pay package win at Tesla (TSLA) took center stage.
The Dow Jones Industrial Average (^DJI) lost about 0.2%, while the S&P 500 (^GSPC) tipped just below the flatline. The tech-heavy Nasdaq Composite (^IXIC) gained 0.1% to eke out its fifth consecutive record close.
The S&P 500 finished up around 1.5% this week, while the Nasdaq gained more than 3%. The S&P notched record closes for four days in a row, while the Nasdaq pulled off the improbable five straight, boosted by strength in techs.
A surprise cooling in wholesale price pressures gave heart to investors betting on two interest rate cuts this year since the decline is likely to be reflected in the coming PCE inflation reading watched by the Federal Reserve.
But the Fed this week dialed down its projected rate cuts from three to one in 2024, keeping the market guessing and leaving stocks vulnerable to shifts in mood. Strength in technology names has driven broader gains, earning the S&P 500 and the Nasdaq multiple record closes for the week. But the Dow suffered a loss for the week, as questions persist about the breadth of this year’s rally.
Meanwhile, Tesla shares were down 2% Friday after shareholders reapproved CEO Elon Musk’s pay package. Despite opposition from some large investors, 77% of votes were cast in favor, the EV maker said.
Weighing down spirits Friday more generally was a slump in European stocks (^STOXX). Investors are concerned about the fallout for markets if the far right makes political gains or even wins France’s snap election, whose first round will begin at the end of the month.
In other individual movers, Adobe (ADBE) shares jumped close to 15% after an upbeat AI sales projection from the Photoshop maker.
