SPY ETF Dips Slightly Amid Tech Volatility and Fed Rate Cut Concerns
The SPDR S&P 500 ETF Trust (SPY) edged 0.02% lower on Friday, weighed down by turbulence in the technology sector and growing skepticism over the timing of Federal Reserve rate cuts. Energy, Technology, and Real Estate sectors eked out gains, while Materials, Financials, Communication Services, and Healthcare lagged.
Market participants are bracing for potential volatility from upcoming US economic data releases, Fed speeches, and the Ripple effects of the recent government shutdown. Nvidia's Q3 earnings—given its outsized influence as the S&P 500's largest component and an AI bellwether—could prove pivotal for near-term sentiment.
Investors withdrew $4 billion from SPY over five days, reflecting caution. Meanwhile, the S&P 500 Index (SPX) dipped 0.05%, while the Nasdaq 100 (NDX) managed a 0.06% gain, underscoring the tech sector's mixed performance.
