Finance

While market capitalization-weighted indexes struggled due to their heavy exposure to mega-cap tech, the equal-weighted S&P 500 outperformed its traditional counterpart by the widest margin since 2020. This shift suggests a durable rotation where investors are moving capital into mid-cap and small-cap names that had previously lagged behind the broader market rally.

Chipmaker stocks faced significant pressure following reports that OpenAI may delay its initial public offering until 2027. Concerns over the sustainability of infrastructure spending led to sharp declines for sector leaders like ON Semiconductor and Sandisk, even as Micron reported strong earnings earlier in the week.

The 10-year Treasury yield fell to approximately 4.37% as consumer inflation expectations for the coming year trended lower. Simultaneously, Brent crude oil prices dropped nearly 4% to around $72.53 per barrel, returning to levels seen before recent geopolitical tensions in the Middle East.