The U.S. stock market declined for a fourth consecutive week as conflict in the Middle East continued and the Federal Reserve announced no rate change. The market experienced a broad-based sell-off and the Russell 2000 moved into correction territory.
Sector Performance
The market saw a sharp rotation as investors fled growth and cyclical sectors for defensive havens.
- Energy was an outlier and top performer, gaining as global oil prices (Brent crude) rose nearly 9% for the week to approximately $112 a barrel.
- Financials ended the week under pressure with a marginal gain of 0.19% at the Friday close.
- Technology was among the hardest hit, falling 2.1% for the week with broader retreats in AI-related issues including Nvidia.
- Utilities stocks saw significant selling pressure, dropping over 4% on Friday alone.
- Consumer Discretionary and Industrials sectors each experienced declines throughout the week due to reduced consumer confidence and rising energy costs.
CBOE VIX
The VIX rose as trading anxiety increased, with the VIX up approximately 80% year-to-date.
- Friday Close: The VIX ended the week at 26.78, an 11.3% rise.
- The Weekly High: The Quadruple Witching Friday session saw the VIX at an intraday high of 29.28 approaching a shift into a high-volatility territory.
