Wall Street regains footing as banks recover from sell-off

"The U.S. stock market seems to be steadying on Friday, as banks recover some of their sharp losses from the day before. The S&P 500 slipped 0.2% in midday trading. The Dow Jones Industrial Average was up 23 points, or 0.1%, as of 11:30 a.m. Eastern time, and the Nasdaq composite was 0.5% lower. All three indexes drifted between gains and losses through the morning, but the moves weren't as jarring as the big hour-to-hour swings they had earlier in the week."

"Drops for Big Tech stocks weighed on the market, including a 0.5% dip for Nvidia. They're fighting criticism that their stock prices have soared too high because of the frenzy around artificial-intelligence technology, even though their profits have also been growing quickly. Bank stocks stabilized after several reported stronger profits for the latest quarter than analysts expected, including Truist Financial, Fifth Third Bancorp, and Huntington Bancshares."

The U.S. stock market steadied on Friday as banks recovered some of their sharp losses from the previous day. The S&P 500 slipped 0.2% midday, the Dow rose about 0.1%, and the Nasdaq fell 0.5%, with index moves less volatile than earlier in the week. Big Tech stocks declined, including Nvidia, amid criticism that AI-driven valuation gains may outpace fundamentals despite rapid profit growth. Several banks reported stronger-than-expected quarterly profits, helping stabilize the sector after concerns about potentially bad loans at smaller and mid-sized banks. Rising scrutiny of loan quality followed First Brands Group's Chapter 11 filing, raising broader exposure questions.

Read at Fast Company