U.S. Stocks Slide on Weak Jobs Data, Broadcom Soars on AI Chip Order

U.S. equities retreated Friday as a disappointing labor report fueled concerns over economic softening. The S&P 500 shed 0.32% to 6,481.50, erasing an earlier 0.5% gain, while the Nasdaq Composite narrowly avoided losses, dipping just 0.03% to 21,700.39. The Dow Jones Industrial Average bore the brunt, falling 220 points to 45,400.86.

August's meager 22,000 job additions—far below the 75,000 forecast—intensified speculation about Federal Reserve action. Market participants now price in either a 25 or 50 basis point rate cut later this month, per CME FedWatch data.

In tech, Broadcom shares surged 9.4% after CEO Hock Tan disclosed a $10 billion AI chip order from an undisclosed customer. The deal involves custom XPU processors, signaling continued momentum in artificial intelligence hardware demand.