US stocks were trading lower on Friday (November 13), with technology shares leading the decline as Nvidia extended its recent losses. Despite the pullback, the Nasdaq Composite, S&P 500 and Dow Jones Industrial Average were heading for weekly gains.
The Nasdaq Composite was down 1.5%, while the S&P 500 declined 0.8%. The Dow Jones Industrial Average was trading 67 points lower, or 0.1%.
Markets initially moved higher after October’s Producer Price Index (PPI) data came in below expectations. Wholesale prices rose 0.3% month-on-month, compared with economists’ estimates of a 0.4% increase. However, producer prices were up 6.5% from a year earlier, marking the biggest annual increase since November 2022.
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Nvidia remained a key drag on the market, with its shares falling more than 3% on Friday after declining over 4% in the previous session. The stock came under pressure following the reported exit of founder and CEO Jensen Huang amid allegations surrounding his personal relationships, including a reported association with a woman US intelligence officials believe is a Chinese spy.
HSBC downgraded Nvidia to ‘hold’ on Friday, citing uncertainty over the company’s leadership transition. The brokerage expects the stock to remain under pressure until the chipmaker announces a permanent succession plan.
Nvidia Chief Financial Officer Colette Kress, who has been with the company for more than a decade, is leading the chipmaker as interim CEO. The board is considering both internal and external candidates for a permanent replacement.
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US stock market today: Nasdaq falls 1.5% as Nvidia extends losses, Wall Street heads for weekly gains