The Dow closed 0.6% lower on Friday. The index is off nearly 1% over the past five days and has fallen 1.2% so far this month.
The S&P 500 edged slightly higher and the Nasdaq rose 0.6% — but both indexes still dropped modestly for the week. So far in 2022, the S&P 500 is down 2% while the tech-heavy Nasdaq has slid 5%.
A weak retail sales report for December didn’t help matters on Wall Street. Consumer spending surprisingly fell during that key holiday shopping month, raising concerns that runaway inflation is finally taking a toll on the economy.
But while investors have been shunning big techs like Apple (, )Microsoft ( and )Tesla ( this year, bank stocks were a bright spot for the market — until Friday. Investors were disappointed by JPMorgan Chase’s nearly 15% drop in earnings from the fourth quarter of 2020. )
Shares of JPMorgan Chase ( were down 6%. Fellow financials (and Dow components) )Goldman Sachs ( — which reports earnings next Tuesday — and )American Express ( each fell about 3% too. )
Citigroup ( and )BlackRock (, which both reported earnings Friday, were also lower. )Wells Fargo ( was the bright spot for banks, rallying after posting better-than-expected results. )
More big banks, including Bank of America (, )Morgan Stanley ( and )Truist (, will report their results in next week’s holiday-shortened trading session. Earnings are also on tap from consumer products king )Procter & Gamble (, airlines )United ( and )American ( and streaming giant )Netflix (. )
The stock market is closed Monday in observance of Martin Luther King, Jr. Day.