US stocks close week in red

The New York Stock Exchange closed the week’s final trading day with a decline, seeing a negative trend as a wave of selling continued in AI-related chip stocks.

The Dow Jones Industrial Average fell 44.51 points, or 0.09%, to close at 51,876.11.

The S&P 500 dropped slightly by 0.05% or 3.47 points to 7,354.02, while the tech-heavy Nasdaq Composite lost 0.24% or 60.99 points to end the session at 25,297.62.

The Volatility Index (VIX), often referred to as the market’s “fear index,” dropped 2.54% to 18.41.

Shares of chip companies lost value following reports in the US press that OpenAI is considering postponing its initial public offering (IPO) until next year due to SpaceX’s weak post-IPO performance and the general volatility in AI-related stocks.

Nvidia shares fell 1.6%, Advanced Micro Devices shares fell 2%, Intel shares fell 3.4%, Broadcom shares fell 3.7%, and Micron Technology shares fell nearly 7%.

Meanwhile, gains in the shares of companies operating in the healthcare sector drew attention, with Eli Lilly shares rising 7% and Johnson & Johnson and AbbVie shares each rising 4%.

On the macroeconomic data front, the US goods trade deficit rose 27.4% in May compared to the previous month, reaching $105.8 billion.

The University of Michigan’s consumer sentiment index was revised upward to 49.5 in June.

Consumers’ short-term inflation expectations fell from 4.8% to 4.6% in June, while long-term inflation expectations dropped from 3.9% to 3.3%.

European markets

European stocks saw a negative course, with the pan-European Stoxx Europe 600 index decreasing 0.68% to close at 635.88 points.

The UK’s FTSE 100 lost 0.21% to 10,508.02, Germany’s DAX 40 dropped 1.29% to 24,671.22, and France’s CAC 40 fell 0.55% to 8,384.87 points.

Italy’s FTSE MIB 30 went down by 1% to 51,265.35, while Spain's IBEX 35 declined 0.45% to close midweek at 19,425.30.