[BRIEFING.COM] The major averages finished Monday's session mixed as continued weakness in semiconductor stocks offset gains across much of the broader market. The S&P 500 (-0.1%) and Nasdaq Composite (-0.4%) ended with modest losses, while the DJIA (+0.4%) outperformed. The Russell 2000 (-0.5%) and S&P Mid Cap 400 (-0.4%) also finished lower.

The market spent much of the session trading in relatively narrow ranges, with a lack of major headlines and anticipation surrounding the upcoming Q3 earnings season contributing to the subdued action. Still, the relatively quiet finish masked another pronounced divergence beneath the surface, as weakness in heavily weighted technology stocks contrasted with strength across several other sectors.

The information technology sector (-0.9%) was the biggest drag on the market, reflecting another sharp retreat in semiconductor stocks. The PHLX Semiconductor Index fell 2.7%, with NVIDIA (NVDA 226.32, -2.96, -1.29%) among the notable laggards. Memory stocks faced additional pressure following a CNBC report that China's CXMT plans to begin producing next-generation memory chips, potentially intensifying competition with U.S. and South Korean manufacturers. Micron (MU 989.04, -39.96, -3.88%) and Sandisk (SNDK 1487.33, -94.49, -5.97%) were among the weaker performers.

The selling also extended to other areas tied to the AI infrastructure buildout, including Lumentum (LITE 995.41, -107.94, -9.78%) and Ciena (CIEN 404.86, -44.91, -9.99%), which ranked among the S&P 500's worst performers. Weakness in data center power-related names Bloom Energy (BE 262.35, -18.15, -6.47%) and Generac (GNRC 218.38, -6.56, -2.92%) also weighed on the industrials sector (-0.1%).

The weakness in technology stocks was not universal, however. Apple (AAPL 340.97, +4.33, +1.29%) advanced, while Meta Platforms (META 742.96, +24.29, +3.38%) and Alphabet (GOOG 348.97, +1.11, +0.32%) helped lift the communication services sector (+1.1%). Meta was a particular standout following an Abab News report that Mark Zuckerberg hinted at a new "Watermelon" AI model in a recent interview. Wireless carriers also recovered some of Friday's losses, providing additional support to the sector.

Outside of technology, rising crude oil prices were another important influence on trading. WTI crude settled $1.85 higher (+2.0%) at $93.77 per barrel following an escalation in the conflict between Saudi Arabia and Houthi forces over the weekend. President Trump indicated that the U.S. could become involved in the conflict, adding to concerns about the geopolitical situation. The energy sector (+1.5%) benefited from the advance, extending its strong performance so far this month.

Higher oil prices, meanwhile, weighed on the consumer discretionary sector (-0.7%), which was among the day's weakest performers. Amazon (AMZN 259.53, -2.90, -1.11%) declined following a Wall Street Journal report that the company is discussing a roughly $7 billion acquisition of AI startup Decart. Chipotle Mexican Grill (CMG 30.40, -1.19, -3.75%) also struggled after CNBC reported that Starbucks (SBUX 92.28, +1.54, +1.69%) is not considering an acquisition of the restaurant chain, contradicting reports from last week.

Despite the sector's weakness, eBay (EBAY 114.65, +2.46, +2.19%) was a notable gainer after Morgan Stanley named the company its Top Pick and raised its price target to $132 from $127, citing growth opportunities in Live Commerce.

Elsewhere, the health care sector (+0.7%) posted a solid gain, while the consumer staples sector also enjoyed relative strength, helped by continued buying interest in Lamb Weston (LW 50.18, +2.31, +4.83%) following last week's better-than-expected earnings and increased guidance.

Financial stocks also attracted attention ahead of a busy week of earnings, with JPMorgan Chase (JPM 334.49, +1.50, +0.45%), Citigroup (C 131.93, +2.29, +1.77%), Goldman Sachs (GS 894.03, -1.29, -0.14%), and Wells Fargo (WFC 83.30, -0.25, -0.30%) scheduled to report quarterly results Tuesday.

The broader market held up relatively well despite another sizable semiconductor selloff and higher crude oil prices, but weakness in some of the market's largest technology names continued to limit the major averages. The divergence between semiconductor stocks and other areas of the market remains a central theme as investors prepare for the first major wave of Q3 earnings reports.

There was no economic data of note today, and the U.S. Treasury market was closed for Columbus day. 

• Nasdaq Composite: +17.2% YTD
• S&P 500: +14.1% YTD
• Russell 2000: +12.6% YTD
• S&P Mid Cap 400: +10.6% YTD
• DJIA: +7.9% YTD

[BRIEFING.COM] The major averages remain little changed from previous levels with just half an hour left in the session.

Lamb Weston (LW 50.48, +2.61, +5.45%) is one of the best-performing S&P 500 components as the stock continues to move higher after last week's beat-and-raise earnings report, contributing to broad strength in the consumer staples sector (+1.1%).

Elsewhere, Visa (V 389.05, +3.60, +0.93%) is extending its rally to record highs today, as resilient spending and expanding digital-payment opportunities support confidence in its growth outlook.

[BRIEFING.COM] The S&P 500 (-0.2%), Nasdaq Composite (-0.5%), and DJIA (+0.3%) are eyeing a mixed finish as the market enters the final hour of the session.

Not much has changed throughout the afternoon, though the industrials sector (-0.1%) has slipped below its baseline. Weakness in semiconductor stocks has weighed on data center power names such as Bloom Energy (BE 260.72, -19.78, -7.05%), Generac (GNRC 215.83, -9.11, -4.05%), and Monolithic Power (MPWR 1322.09, -64.20, -4.63%).

[BRIEFING.COM] The S&P 500 (-0.2%) has dipped to a fresh low in recent trade, though the overall picture remains much the same with nine sectors up and three of those nine holding gains of at least 1.0%.

Energy (+1.4%) is in the lead, thanks to a rise in the price of oil, which recently produced a fresh session high just ahead of the looming pit close at 13:30 ET. WTI crude is up $2.22, or 2.4%, at $94.07/bbl after rebounding from an overnight dip to its 50-day moving average (89.40).

The energy sector has been this month's best performer by a wide margin. The group is up 7.3% since the end of September, easily outpacing the 1.9% month-to-date gain in the S&P 500. Besides energy, defensively-oriented utilities (+0.3%; +5.3% month-to-date) and consumer staples (+1.0%; +4.9% month-to-date) sport October gains of more than 3.7% while the technology sector (-1.1%; +0.5% month-to-date) brings up the bottom of this month's leaderboard.

[BRIEFING.COM] The S&P 500 (-0.1%) remains just below its unchanged level as relative weakness in technology (-1.0%) and the consumer discretionary sector (-0.7%) outweigh gains in the remaining nine sectors.

Like the S&P 500, the Nasdaq (-0.4%) has been trapped below its flat line today while the Dow (+0.4%) outperforms, fighting for its best close in nearly three weeks. The price-weighted Dow has benefited from a good showing from some of its largest components, though the biggest member of the average-Goldman Sachs (GS 890.60, -4.72, -0.53%)-holds a modest loss. However, gains in Caterpillar (CAT 807.23, +6.76, +0.84%), Microsoft (MSFT 540.73, +5.66, +1.06%), Amgen (AMGN 415.53, +0.66, +0.16%), and Visa (V 391.49, +6.04, +1.57%) have helped keep the Dow in positive territory.

Today's underperformance in Goldman Sachs comes ahead of tomorrow morning's release of the firm's Q3 results. Wells Fargo (WFC 83.20, -0.34, -0.41%) is another laggard that will also report results tomorrow while Citigroup (C 131.38, +1.74, +1.34%) and JPMorgan Chase (JPM 334.37, +1.38, +0.41%) are on the rise ahead of releasing results of their own.

[BRIEFING.COM] Stocks continue to see muted action today as the S&P 500 (-0.1%), Nasdaq Composite (-0.4%), and DJIA (+0.4%) continue to drift sideways.

On the monetary policy front, Bloomberg reports that Cleveland Fed President Beth Hammack (FOMC voting member) prefers smaller and more frequent rate adjustments. The CME FedWatch tool shows a 78.4% probability that the Fed keeps rates on hold at the October meeting (as opposed to a rate hike), which is nearly unchanged from last week's odds.

The market will also have key inflation data to assess, with the September Consumer Price Index (Briefing.com consensus 0.6%) and Producer Price Index (Briefing.com consensus 0.5%) due Wednesday and Thursday, respectively.

[BRIEFING.COM] The stock market is showing mixed results at midday on Monday, with continued weakness in semiconductor and other technology stocks offsetting gains across most of the broader market. The S&P 500 (-0.1%) is hovering near its unchanged mark, while the Nasdaq Composite (-0.4%) trails and the DJIA (+0.4%) outperforms. The Russell 2000 (-0.2%) and S&P Mid Cap 400 (-0.1%) are also modestly lower.

The divergence is particularly evident in sector performance, with nine S&P 500 sectors trading higher despite the lackluster showing from the major averages. The information technology sector (-0.8%) is the primary drag, weighed down by another sharp decline in semiconductor stocks. The PHLX Semiconductor Index is down 2.2%, extending the weakness seen late last week. NVIDIA (NVDA 226.30, -2.98, -1.30%) is among the notable mega-cap laggards, while memory stocks are facing additional pressure following a CNBC report that China's CXMT plans to begin producing next-generation memory chips, potentially increasing competition with U.S. and South Korean manufacturers. Micron (MU 996.38, -32.62, -3.17%) and Sandisk (SNDK 1487.72, -94.10, -5.95%) are among the weaker performers, while selling has also extended to AI infrastructure names such as Lumentum (LITE 990.61, -112.74, -10.22%) and Ciena (CIEN 406.31, -43.46, -9.66%).

The weakness in technology stocks is not uniform, however. Apple (AAPL 340.20, +3.56, +1.06%) is trading higher, while Meta Platforms (META 747.62, +28.95, +4.03%) and Alphabet (GOOG 350.34, +2.48, +0.71%) are providing substantial support to the communication services sector (+1.5%). Meta is a particular standout following an Abab News report that Mark Zuckerberg hinted at a new "Watermelon" AI model in a recent interview. Wireless carriers are also recovering some of Friday's sharp losses, adding to the sector's strength.

The energy sector (+1.5%) is another leader as crude oil prices climb following an escalation in the conflict between Saudi Arabia and Houthi forces over the weekend. President Trump has indicated that the U.S. could become involved in the conflict, adding to concerns about regional tensions. WTI crude is currently up $1.86 (+2.0%) to $93.71 per barrel, providing support to energy stocks while weighing on other areas of the market.

The consumer discretionary sector (-0.6%) is among those facing pressure from higher oil prices, with Amazon (AMZN 259.56, -2.87, -1.09%) also trading lower following a Wall Street Journal report that the company is discussing a roughly $7 billion acquisition of AI startup Decart. Elsewhere in the sector, Chipotle Mexican Grill (CMG 30.18, -1.42, -4.48%) is declining after CNBC reported that Starbucks (SBUX 92.21, +1.46, +1.61%) is not considering an acquisition of the restaurant chain, contradicting reports last week suggesting a potential deal.

The consumer staples sector (+0.8%) and financials sector (+0.6%) are among the other relative outperformers, with the latter showing strength ahead of a busy week of bank earnings.

Market breadth reflects the uneven nature of today's trading. Advancers hold a slim edge over decliners on the NYSE, while decliners outnumber advancers by roughly 3-to-2 on the Nasdaq, underscoring the continued pressure on technology and growth-oriented stocks.

The broader market has held up reasonably well in the face of both rising crude oil prices and another semiconductor selloff, but weakness in heavily weighted technology names continues to limit the major averages. With Q3 earnings season set to accelerate this week, including reports from several major banks, investors are also looking ahead to corporate results for a clearer picture of earnings growth and the outlook for the broader market.

There is no economic data of note today.

[BRIEFING.COM] The S&P 500 (flat), Nasdaq Composite (-0.3%), and DJIA (+0.4%) continue to move in a tight range as headlines remain relatively quiet today.

While the consumer discretionary sector (-0.5%) is a laggard today, EBAY is the best-performing S&P 500 stock, rising toward its record high from May (119.31) after Morgan Stanley named eBay (EBAY 116.76, +4.57, +4.07%) its Top Pick and raised its price target from $127 to $132, citing Live Commerce growth and estimating it drives ~40% of growth.

Meanwhile, Lumentum (LITE 994.88, -108.47, -9.83%) and Ciena (CIEN 408.50, -41.27, -9.18%) are the index's worst performers as AI infrastructure names lag alongside semiconductor stocks today.

[BRIEFING.COM] The major averages remain mixed at midday.

Biogen (BIIB 234.33, +8.62, +3.82%) is one of the best-performing S&P 500 sectors today after being upgraded to Overweight from Neutral at JPMorgan, with a target price of $300.

The health care sector (+0.3%) trades modestly higher, but is held back by some weakness in biotechnology stocks, with the iShares Biotechnology ETF down 0.7%.

Bristol-Myers (BMY 57.28, -1.84, -3.11%) has reversed a solid opening gain that followed positive Phase 3 readouts for RYZ101 and admilparant strengthened two differentiated growth opportunities as the company prepares for further legacy-product erosion.

[BRIEFING.COM] The S&P 500 (flat), Nasdaq Composite (-0.3%), and DJIA (+0.5%) are mixed just before midday as semiconductor stocks face another relatively sharp retreat against a backdrop of broad strength.

The PHLX Semiconductor Index is down 2.7% as NVIDIA (NVDA 225.80, -3.48, -1.52%) and a host of other high-profile semiconductor stocks weigh on the information technology sector (-1.1%).

Weakness across mega-cap stocks is not ubiquitous, however, as Apple (AAPL 339.56, +2.92, +0.87%) trades higher while Meta Platforms (META 747.50, +28.83, +4.01%) and Alphabet (GOOG 350.84, +2.98, +0.86%) lead the communication services sector (+1.6%) to a firm gain.

Nine total S&P 500 sectors trade higher, with the energy sector (+1.4%) another outperformer as crude oil rises following escalating conflict between Saudi Arabia and Houthi forces, which President Trump said the U.S. could become involved in.

Higher crude oil prices are weighing on the consumer discretionary sector (-0.4%), although their impact on the broader market remains relatively limited, with most sectors trading higher.

Outside the S&P 500, the Russell 2000 (-0.2%) and S&P Mid Cap 400 (-0.1%) are both modestly lower.

[BRIEFING.COM] The major averages remain mixed, settling into a relatively stable trading range. 

Amazon (AMZN 260.95, -1.48, -0.56%) is edging lower following a Wall Street Journal report that it is discussing a roughly $7 bilion acquisition of AI startup Decart, potentially strengthening its custom-chip ecosystem while adding another investment commitment. Decart's technology could help Amazon improve AI computing efficiency and accelerate Trainium adoption, but undisclosed deal terms leave the potential financial returns difficult to assess.

IonQ (IONQ 36.18, -3.72, -9.31%) is trading lower after announcing an agreement to acquire Elisity, a Zero Trust security company, in an all-stock transaction valued at up to $1.3 billion. The combination will pair IonQ's post-quantum cryptography (PQC) and quantum key distribution (QKD) capabilities with Elisity's Zero Trust technology platform, helping enterprise and government customers address current cybersecurity threats while preparing for the quantum era. IonQ is trading lower following the announcement, which likely reflects concerns about dilution from the all-stock transaction, alongside the execution challenges associated with its broader acquisition strategy as the company continues ramping its quantum computing business.

[BRIEFING.COM] The Nasdaq Composite (-0.4%) is beginning to slip lower as tech continues to struggle this morning, with NVIDIA (NVDA 225.37, -3.91, -1.71%) a notable mega-cap laggard.

Meanwhile, the DJIA (+0.4%) continues to move higher as participation in the broader market improves. The financials sector (+0.6%) is among the better performers today ahead of a relatively busy week of bank earnings, with the PowerShares KBW Bank Portfolio (KBWB 88.02, +0.42, +0.48%) up modestly. 

[BRIEFING.COM] The S&P 500 (flat), Nasdaq Composite (-0.2%), and DJIA (+0.3%) are little changed as stocks opened to mixed strength amid a quiet morning of headlines.

Breadth figures are nearly even on the NYSE, though decliners outpace advancers by a roughly 4-to-3 clip on the Nasdaq.

The top-weighted information technology sector (-0.5%) is firmly lower as semiconductor stocks continue to face pressure, with the PHLX Semiconductor Index down 1.9%. Several of the S&P 500's worst performers are semiconductor stocks, with memory names Sandisk (SNDK 1477.25, -104.57, -6.61%) and Micron (MU 986.41, -42.59, -4.14%) among the laggards.

The consumer discretionary sector (-0.6%) also faces pressure, with higher crude prices weighing on a variety of names this morning. Crude oil is currently up $1.92 (+2.1%) to $93.77 per barrel following an escalation in the conflict between Saudi Arabia and Houthi forces over the weekend. As a result, the energy sector (+1.9%) is a standout this morning, though the broader market is handling the surge in oil prices relatively well.

Eight S&P 500 sectors are trading higher, led by the communication services sector (+1.4%), as Meta Platforms (META 741.50, +22.83, +3.18%) rallies following an Abab News report that Mark Zuckerberg hinted at a new "Watermelon" AI model in a recent interview, while wireless providers recover some of Friday's losses.

Gains elsewhere are much more modest.

The stock market remains on track for a relatively flat opening, with weakness in semiconductor stocks weighing on the Nasdaq Composite.

Oil continues to tick higher following an escalation in conflict between Saudi Arabia and Houthi forces in the region over the weekend, with President Trump saying the U.S. is considering getting involved in the fight against the Houthis. The bond market is closed for Columbus Day today.

Meanwhile, on the corporate front, CNBC reported that Starbucks (SBUX 92.08, +1.33, +1.5%) is not considering an acquisition of Chipotle Mexican Grill (CMG 30.75, -0.84, -2.7%), contradicting reports last week suggesting a potential deal.

U.S. equity futures continue to drift sideways in the premarket.

Asian markets finished mixed on Monday, with lower oil prices providing some relief while elevated U.S. Treasury yields and concerns surrounding AI investment costs kept broader risk appetite in check. China's Shanghai Composite fell 0.4%, while the Shenzhen Component tumbled 2.0%, with Foxconn Industrial Internet (-7%), Zhongji Innolight (-7%), Eoptolink Technology (-6%), Luxshare Precision Industry (-3%), and Zijin Mining (-2%) among the notable decliners. Sentiment in mainland China remained pressured by concerns about exports and weak domestic consumption despite regulators proposing lower entry requirements for equity mutual funds in an effort to encourage investment. Hong Kong's Hang Seng Index gained 0.3%, supported by Beijing's market-stabilization efforts and modest gains in Tencent, AIA (+1%), MiniMax (+1%), and Meituan. Japan's Nikkei 225 was closed for the Sports Day holiday.

• In economic data:
  • There was no economic data of note.

European markets extend Friday's gains on Monday, with softer oil prices and bond yields supporting sentiment as investors look ahead to the start of the U.S. earnings season and upcoming inflation data. Germany's DAX rises 0.7%, with Volkswagen (+2%) advancing ahead of an investor update and third-quarter sales figures, while investors also monitor domestic political developments following Brbel Bas's decision to step down as Labour Minister and leader of the Social Democratic Party. France's CAC 40 gains 0.2%, with LVMH (+1%) higher ahead of its quarterly results and Herms (+2%), Kering (+2%), Socit Gnrale (+2%), and BNP Paribas (+1%) also advancing. London's FTSE 100 climbs 0.7%, led by gains in HSBC (+2%), Standard Chartered (+2%), Lloyds Banking Group (+1%), and NatWest (+1%), while BP and Shell lag as lower crude prices weigh on the energy sector. Oil prices remain under pressure after President Trump said Russia and Ukraine agreed to an immediate ceasefire targeting energy infrastructure, although continued tensions in the Middle East temper the improvement in risk sentiment. The broader STOXX Europe 600 rises 0.6%, while Italy's FTSE MIB (+0.7%) and Spain's IBEX 35 (+0.9%) also advance.

• In economic data:
  • There was no economic data of note.

The S&P 500 futures currently trade two points above fair value.

Semiconductor names are on track for a lower open, with the VanEck Semiconductor ETF (SMH) down 0.8% in the premarket. Micron (MU 1,004.70, -24.20, -2.4%) is a laggard, with CNBC reporting that China's CXMT plans to begin producing next-generation memory chips, potentially intensifying competition with U.S. and South Korean chipmakers.

Equity futures point to a subdued start to the week as investors prepare for the unofficial start of the Q3 earnings season, with several major banks scheduled to report results in the coming days.

Stocks are coming off a winning week in which broader market participation helped offset weakness in technology stocks, a reversal of the recent trend of narrow market leadership. The Equal-Weight S&P 500 snapped a seven-week losing streak, highlighting the improvement in participation beyond the largest stocks.

The AI infrastructure buildout remains in focus this morning, with several notable M&A headlines drawing attention to the space.

Meanwhile, crude oil prices are moving higher despite comments from President Trump that Russia and Ukraine have agreed to an "energy ceasefire." According to Axios, Ukrainian President Volodymyr Zelensky said the agreement was "news to me," although he indicated that Ukraine would also agree to an energy ceasefire if Russia committed to one.

There are no U.S. economic releases remaining today, though this week will feature some key inflation data with the release of the September Consumer Price Index on Wednesday and Producer Price Index on Thursday. 

In corporate news:

• Bristol Myers Squibb (BMY 61.67, +2.55, +4.31%) is indicated higher after the interim analysis of its Phase 3 ACTION-1 study met the primary endpoint, showing a statistically significant and clinically meaningful improvement in progression-free survival.
• Salesforce (CRM 238.31, +9.18, +4.0%) was double upgraded to Buy from Underperform at Bank of America. 
• Super Micro Computer (SMCI) will plead guilty to diverting NVIDIA (NVDA 228.82, -0.46, -0.2%) chips to China, according to Reuters.

Reviewing overnight developments:

Asian trading was mixed as lower oil prices provided some relief, while elevated U.S. Treasury yields and concerns about AI investment costs remained limiting factors, according to Nikkei.

In news:

• Mainland China remained pressured by concerns about exports and weak domestic consumption despite a regulatory proposal to lower entry requirements for equity mutual funds.
• Beijing's market-stabilization efforts supported sentiment in Hong Kong. Japan was closed for the Sports Day holiday.

There is no economic data of note.

Equity Markets:

• Japan's Nikkei: closed for holiday
• Hong Kong's Hang Seng: +0.3%
• China's Shanghai Composite: -0.4%
• India's Sensex: -0.8%
• South Korea's Kospi: -3.7%
• Australia's All Ordinaries: +0.7%

Softer oil prices and bond yields have supported sentiment as investors look ahead to the U.S. earnings season and upcoming inflation data.

In news:

• Volkswagen is in focus ahead of an investor update and third-quarter sales figures, while German investors are also monitoring domestic political developments.
• Lower crude prices have weighed on the energy sector, while continued tensions in the Middle East have limited the improvement in sentiment.

Ther is no economic data of note.

Equity Markets:

• STOXX Europe 600 : +0.6%
• Germany's DAX : +0.7%
• U.K.'s FTSE 100 : +0.7%
• France's CAC 40 : +0.2%
• Italy's FTSE MIB : +0.7%
• Spain's IBEX 35 : +0.9%

[BRIEFING.COM] The stock market finished broadly higher on Friday, with gains extending across most sectors and market capitalizations despite another subdued showing from semiconductor stocks. The S&P 500 (+0.6%), Nasdaq Composite (+0.6%), and DJIA (+0.9%) ended with solid advances, while the Russell 2000 (+0.5%) and S&P Mid Cap 400 (+0.5%) also participated in the rally. The positive finish secured weekly gains for the major averages, providing a favorable conclusion to a week marked by intermittent selling pressure in technology stocks.

Friday's advance was driven largely by company-specific developments, which produced some pronounced differences in sector performance. The real estate sector (+1.9%) led the market, benefiting from a sharp rally in communications tower operators following SpaceX's (SPCX 162.57, +2.00, +1.25%) agreement to acquire a nationwide wireless spectrum portfolio from Grain Management. The announcement raised expectations that Starlink's expansion into terrestrial wireless services could generate additional demand for existing tower infrastructure, sending Crown Castle (CCI 79.64, +10.75, +15.60%) and related names sharply higher.

The same development had the opposite effect on established wireless carriers. T-Mobile US (TMUS 148.58, -22.73, -13.27%), AT&T (T 22.17, -2.42, -9.85%), and Verizon (VZ) faced substantial selling pressure as investors considered the prospect of another nationwide competitor. Their losses weighed heavily on the communication services sector (-0.4%), which finished at the bottom of the sector rankings despite the broader market's strength.

The consumer discretionary sector (+1.7%) was another standout, supported by strength in Tesla (TSLA 382.70, +7.70, +2.05%) after Reuters reported that September sales of Shanghai-built Model 3 and Model Y vehicles increased 5% year-over-year, accelerating from August's 3.6% growth. Amazon (AMZN 262.43, +8.37, +3.29%) also advanced, contributing to a generally positive showing among mega-cap stocks.

The health care sector (+1.6%) enjoyed a strong rebound following Thursday's weakness, with several company-specific catalysts providing support. Humana (HUM 431.03, +43.91, +11.34%) surged after regaining four-star status for a major Medicare Advantage contract, restoring eligibility for CMS bonus payments in 2028. Biotechnology stocks also rallied, including Moderna (MRNA 225.00, +28.00, +14.21%), after The New York Times reported that experimental cancer vaccines could receive fast-track designation.

Technology stocks presented a more mixed picture. The information technology sector (+0.4%) underperformed the broader market as semiconductor stocks struggled to sustain an early rebound. Reports that OpenAI's annualized revenue remains on track to meet or exceed $70 billion initially provided some relief following Thursday's Financial Times report suggesting a figure closer to $50 billion, but the improvement proved insufficient to generate sustained buying across chipmakers. The PHLX Semiconductor Index fell 0.4%.

Apple (AAPL 336.68, -3.74, -1.10%) was another notable laggard following a Nikkei report that the company had asked some suppliers to reduce component production for its iPhone refresh by as much as 20%, pressuring shares of supplier Skyworks (SWKS 76.35, -4.40, -5.45%) as well.

Elsewhere within technology, however, software and cybersecurity stocks showed considerable strength, helping offset semiconductor weakness. Palantir Technologies (PLTR 209.05, +10.27, +5.17%) reached a new all-time high amid favorable analyst commentary, including an upgrade from Goldman Sachs on Thursday and a bullish initiation from Barclays on Friday. 

Meanwhile, the energy sector (-0.2%) joined the communication services sector as the only two S&P 500 sectors to finish lower, even as WTI crude oil futures settled $0.45 higher (+0.5%) at $91.92 per barrel. On the energy policy front, Reuters reported that President Trump was preparing a directive to bypass state and local diesel fuel regulations and invoke the Defense Production Act to increase domestic production. The president also said via Truth Social that Russia had agreed to supply additional diesel fuel to U.S. and global markets following a conversation with Russian President Putin.

The broad participation was particularly notable given the market's recent dependence on a relatively narrow group of technology leaders. Friday's gains across nine S&P 500 sectors, alongside solid advances in small- and mid-cap stocks, helped offset continued weakness in several semiconductor and mega-cap technology names. The result was a constructive finish to the week, with the major averages securing gains despite the uneven performance of the AI trade.

Looking ahead, attention will shift toward the upcoming earnings season, with major banks and other financial companies scheduled to report next week alongside several prominent health care names. Taiwan Semiconductor Manufacturing (TSM 453.28, -4.71, -1.03%) will also be closely watched for insight into semiconductor demand and the outlook for AI infrastructure spending.

U.S. Treasuries finished the week on a mostly lower note, though even with Friday's losses, the entire complex secured a higher finish for a week that saw the setting of fresh 2026 highs in 10-year, 20-year, and 30-year note yields. On Monday, the Treasury market will be closed in observance on Columbus Day while the New York Stock Exchange will be open for a regular session. The 2-year note yield settled up three basis points to 4.79% (-3 basis points this wek), and the 10-year note yield settled up one basis point to 5.24% (-4 basis points this week). 

• Nasdaq Composite: +17.7% YTD
• S&P 500: +14.1% YTD
• Russell 2000: +13.1% YTD
• S&P Mid Cap 400: +11.0% YTD
• DJIA: +7.5% YTD

Reviewing today's data:

• The preliminary reading for the University of Michigan Consumer Sentiment Index for October decreased to 46.3 (Briefing.com consensus: 48.1) from the final reading of 48.1 for September. In the same period a year ago, the index stood at 53.6.
  • The key takeaway from the report is that consumer sentiment continues to deteriorate as the frustrations with the higher cost-of-living increase.