US equities turned lower on Friday as early gains in chipmakers faded and a renewed rise in long-term Treasury yields weighed on the broader market. The S&P 500, Dow Jones Industrial Average, and Nasdaq 100 each fell about 0.4%, with the Nasdaq 100 having been up as much as 1.6% shortly after the open.
Apple slumped nearly 10% after chip shortages pushed up costs and constrained production in the June quarter, pressuring earnings. By contrast, Amazon jumped 13% after its cloud-computing division delivered results that topped expectations.
Micron, SanDisk, and Qualcomm all reversed earlier gains to close with declines of roughly 3% to 6%, underscoring investor uncertainty around the volatility of AI-related trades. Weakness extended beyond technology: Netflix and Eli Lilly each fell about 3%.
In fixed income, the 30-year Treasury yield climbed to its highest level in 19 years amid concerns that the FOMC under Kevin Warsh might hold off on further rate hikes despite persistent inflation pressures.
Energy stocks also struggled. ExxonMobil dropped 3% after limited refinery capacity capped the company’s ability to translate higher crude prices into stronger refining profits last quarter.
