NEW YORK – U.S. stocks closed mixed on Friday as a powerful rally in UnitedHealth shares lifted the Dow Jones Industrial Average to a positive close, while weakness in the technology sector pulled the S&P 500 and Nasdaq Composite lower.
The Dow finished 35 points higher after touching a record high earlier in the session. The blue-chip index was overwhelmingly lifted by a stunning 12% surge in UnitedHealth after a filing revealed that Warren Buffett’s Berkshire Hathaway had taken a major stake in the health insurer.
In contrast, the S&P 500 slipped 0.3% after briefly hitting its own record high, and the tech-heavy Nasdaq fell 0.4%. The declines were driven by weakness in chipmakers, highlighted by a 14% plunge in Applied Materials shares following a downbeat forecast. Chip leader Nvidia also lost 0.9%.
Investors spent the day digesting a mixed batch of economic reports. Retail sales for July rose a solid 0.5%, meeting expectations. However, a separate report showed the University of Michigan’s consumer sentiment index dropped unexpectedly as inflation concerns grew among households.
Geopolitical and trade policy concerns also added a layer of caution to the session. Markets were closely watching a meeting between President Trump and President Putin, while the prospect of new U.S. tariffs on steel and semiconductors added to trade uncertainty.
Despite the day’s mixed performance, all three major indexes were poised to close the week with gains, supported by persistent hopes that the Federal Reserve will cut interest rates by 25 basis points in September. Healthcare stocks were a notable bright spot, leading the market for the week.
