Stock Market Today: Nasdaq Marks Record Close as Dow, S&P 500 Fall; Tesla, Broadcom, Adobe, Nvidia, GameStop, RH, and More Movers; Treasury Yields Fall (2024)

The S&P 500 and the Dow Jones Industrial Average dipped on Friday.

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The University of Michigan’s consumer sentiment index ticked down to a reading of 65.6 in the first two weeks of June from 69.1 in May, according to preliminary data released Friday. Economists polled by FactSet had expected the index would rise to a reading of 73.

The Nasdaq Composite turned higher in the final minutes of trading to mark its fifth record close in five days. The S&P 500 snapped its own streak at four.

The Dow Jones Industrial Average finished down 58 points, or 0.2%. The S&P 500 dipped less than 0.1%, while the Nasdaq Composite gained 0.1%.

The Dow lagged the two other indexes for most of the week. The S&P 500 and Nasdaq Composite still gained on the week, while the Dow was down solidly.

The University of Michigan’s consumer sentiment index fell to 65.6 in the first two weeks of June from 69.1 in May, according to preliminary numbers. That was below the consensus estimate at 73. Inflation expectations for the year ahead were steady, but long-run expectations were up to 3.1% from 3% in May.

The S&P 500’s information technology and consumer sentiment were the only major sectors that posted gains. Materials and industrials stocks struggled especially. Fewer than one-third of the S&P 500 stocks rose on the day.

“The themes remain the same; technology leads on the day, the month, and the year, with communication services in 2nd place,” writes Navellier & Associates founder Louis Navellier. “Momentum remains positive thanks to Mega Tech, and it's hard to forecast what it will take to bring a correction here. At the same time, there's plenty of sub-sectors that are far behind these leaders, and it's also not clear what will energize them to join the rally.”

A tough week for the Dow Jones Industrial Average continued on Friday, but this time it was joined by the S&P 500.

The Dow was down 142 points, or 0.4%. The S&P 500 was down 0.2%. The Nasdaq Composite was up slightly.

The Dow is on track to fall 322 points, or 0.8%, this week. It’s fallen every day this week so far. It’s now off 3.8% from its record close of 40,003.59 points from May 17, according to Dow Jones Market Data.

The S&P 500 has marked record closes in the past four sessions. Friday’s move would end that streak. It’s still up 1.4% this week and 2.7% over the past two weeks.

The Nasdaq Composite is up 3% this week. It needs to hold on to its meager gains to close at a record for the fifth straight session.

The Dow has lagged behind because it has less exposure to technology stocks than the other two indexes. Apple’s artificial intelligence pitch sent AI stocks soaring on Tuesday, and they’ve done well pretty much every day this week.

Market breadth has been poor, as more stocks are set to fall this week than rise in the S&P 500. The Invesco S&P 500 Equal Weight ETF is set to fall 0.7% this week, because it counts the Nvidias of the world the same as the Campbell Soups. In a week where tech and AI outperformed, those betting on breadth were left behind.

IN8bio shares fall 29% to $1.20 despite favorable data from a Phase 1 leukemia study.

Mizuho analysts Uy Ear and Leo Watson are "surprised" by the sell-off and "believe it's overdone, particularly after yesterday's better-than-expected one-year INB-100 data."

They write that "Based on what we're hearing, this sell-off is likely due to profit-taking (along with the continued cash overhang) as the stock was up 55% from June 3."

Mizuho reiterates its buy rating.

IN8bio said Thursday that 100% of evaluable leukemia patients remained alive, progression-free, and in durable complete remission through one year. The company said INB-100 has had a favorable safety and risk profile.