If you only glanced at the screen on Friday afternoon, here is the headline: the stock market this week ended with a thud. Wall Street closed out October with a sharp, tech-led sell-off that sent the S&P 500 to its worst day since June and left the Nasdaq nursing its roughest month in more than a year.
Big Tech earnings, AI-spending jitters, a chip-sector meltdown and a jump in oil all collided on the final trading day of the month. Here is the full recap, plus what to watch when markets reopen Monday.
Friday’s Close: The Numbers That Matter
According to Associated Press market data, the S&P 500 fell 140.32 points, or 1.8%, to 7,580.07. It was the index’s biggest one-day drop since June. The Dow Jones Industrial Average slid 572.25 points, or 1.1%, to 51,770.31, and the Nasdaq composite dropped 747.73 points, or 2.9%, to 25,437.00.
Small caps did not escape. The Russell 2000 shed 47.37 points, or 1.7%, to 2,811.84.
| Index | Friday close | Day | Week |
|---|---|---|---|
| S&P 500 | 7,580.07 | -1.8% | -0.6% |
| Dow Jones Industrial Average | 51,770.31 | -1.1% | -0.9% |
| Nasdaq Composite | 25,437.00 | -2.9% | -2.0% |
| Russell 2000 | 2,811.84 | -1.7% | +1.3% |
Source: Associated Press market data via La Nacion.
One quirk worth noting: despite Friday’s carnage, small caps actually finished the week higher, up 1.3%, while the big-tech-heavy indexes took the hit.
Fear gauges jumped too. Yahoo Finance’s market blog showed the VIX volatility index up about 13% to 19.42. TheStreet reported the VIX climbed as high as 22.75 during the session, its highest level since June, and that nearly 70% of U.S. issues fell.
Why Stocks Sold Off: Big Tech, AI Spending and Intel
The common thread was a growing question: is all that AI spending going to pay off?
Yahoo Finance said disappointing earnings from Amazon and Alphabet, plus a weak outlook from Intel, renewed concerns about Big Tech’s AI outlays. TheStreet added that the S&P 500’s tech sector fell nearly 5% on the day.
Truist’s Keith Lerner, quoted by Yahoo Finance, put the pullback down to high expectations for tech earnings, scrutiny of AI returns and rising borrowing costs. He said tech’s roughly 10% decline “does not appear abnormal” compared with earlier pullbacks in this bull market.
That is a calming take. It is also a reminder that sell-offs inside bull markets are common, even when they feel awful in real time.
The Earnings Movers: Amazon, Intel, Reddit and More
Friday’s earnings reaction was brutal for some names and a lifeline for others.
- Amazon: Yahoo Finance reported shares fell about 2% after a third-quarter miss. The company’s trailing 12-month free cash flow was an outflow of more than $42 billion, a record, as it spent about $77 billion on property and equipment in the quarter versus $35 billion a year earlier. We broke down the details in our Amazon Q3 earnings story.
- Intel: TheStreet reported the chipmaker fell about 29%, its worst day since 1974. Yahoo Finance said the drop followed a fourth-quarter outlook that came in short, with the company citing sluggish PC sales.
- Reddit: Shares plunged after weaker user numbers and a softer revenue forecast. Yahoo Finance put the drop at 24%, while TheStreet reported a close down about 29%.
- Roblox: Down 16% as daily active users fell 9% from a year ago to 138 million, per Yahoo Finance.
- Pinterest: Down 6% after third-quarter revenue of $1.17 billion missed the $1.21 billion analysts expected, according to Yahoo Finance.
- Exxon Mobil and Chevron: The bright spot. MarketScreener reported Exxon closed at $187.25, up 2.16%, and Chevron at $235.52, up 1.75%, after both beat third-quarter profit expectations on strong refining margins (adjusted EPS of $4.23 and $5.28).
Apple, meanwhile, was not a headline mover in the sources we reviewed Friday, though it remains a name investors are watching closely in the days ahead.
For the broader earnings picture, see our scorecards on Alphabet and Microsoft and the winners and losers beyond Big Tech.
October Recap: Dow Up, Nasdaq Hammered
Zoom out and the month looks lopsided. Yahoo Finance reported the Dow finished October up about 1.5%, the S&P 500 down about 1.2%, and the Nasdaq composite down roughly 5%, its worst month since March 2025.
The same Yahoo Finance report noted that several of the “Magnificent 7” are well off their 52-week highs. Meta and Alphabet were each down more than 20%, which is bear-market territory. Tesla was down 19.2%, Amazon 15.1% and Nvidia 12.2%.
Oil, Treasury Yields and the Fed
Oil. Crude kept climbing. Yahoo Finance listed December crude at $102.95 a barrel, up 0.9%, and said Brent was around $112 and up 12% in October, hitting a six-month high, on signs the U.S. may resume strikes on Iran. TheStreet cited tanker attacks in the Strait of Hormuz as another factor. We explained what $100-plus oil means for your wallet in our oil price explainer.
Treasury yields. Bonds rallied as stocks fell. Yahoo Finance showed the 10-year Treasury yield at 4.929%, down 0.06 percentage point on the day, as AI-related selling drove a flight to safety.
The Fed. Yahoo Finance said the central bank voted in a split decision this week to hold rates steady despite sticky inflation, and that the Fed’s preferred inflation gauge showed prices heated up in September, solidifying expectations for a December hike. Richmond Fed President Tom Barkin said the Fed needs to raise rates further, with the question being by how much. Catch up on the decision in our Fed recap.
What to Watch Next Week: Midterms, the Jobs Report and More Earnings
The calendar is packed. A CNBC headline on Friday flagged midterm elections, Apple earnings and the jobs report as the big events ahead. Here is the economic rundown from Newsquawk’s week-ahead preview:
- Monday: ISM manufacturing for October. Consensus is 54.7, versus 54.5 previously.
- Tuesday, Nov. 3: U.S. midterm elections, plus JOLTS job openings and factory orders.
- Wednesday: Treasury quarterly refunding announcement, ADP private payrolls and ISM services.
- Thursday: Challenger job cuts.
- Friday, Nov. 6: The October jobs report.
On the jobs report, Newsquawk lists a consensus of +55,000 payrolls (up from +29,000 previously) and an unemployment rate of 4.2%, unchanged. Continuum Economics is a touch lower, forecasting +50,000 and noting that the expected cooler pay growth and shorter workweek could hint at a slowdown in the fourth quarter.
Why it matters: with the Fed leaning toward higher rates, a surprisingly strong report could push yields up and add pressure on tech. A weak one could revive the soft-landing debate.
The Takeaway for Investors
One ugly Friday does not make a trend, but it does show how sensitive this market has become to AI-spending news. Here is how to keep perspective:
- Check your exposure. If most of your portfolio rides on a handful of mega-cap tech names, Friday was a stress test.
- Do not trade on headlines alone. Intel and Reddit moved on company-specific news, not a market-wide collapse.
- Mark the dates. Tuesday’s elections and Friday’s jobs report are the next major catalysts.
Want more? Bookmark our market news section and check back Monday for the open. For more on what has been moving tech stocks, see our look at the Anthropic IPO filing and Meta’s $95 billion raise.
Market data cited here comes from Yahoo Finance’s Oct. 30 market blog and Newsquawk’s week-ahead preview; figures can differ slightly across outlets.
This article is for informational purposes only and is not financial advice.
