U.S. stock markets concluded Friday, August 15, 2025, with a mixed performance, as investors navigated a landscape of hotter-than-expected inflation data, ongoing hopes for a Federal Reserve interest rate cut, and significant corporate news. While the Dow Jones Industrial Average (DJI) notched a new intraday high, the S&P 500 (SPX) and Nasdaq Composite (IXIC) pulled back from recent record levels, reflecting a cautious sentiment across broader markets.
Major Index Performance Recap
The Dow Jones Industrial Average (DJI) was the standout performer on Friday, climbing 0.1% to finish the session higher, after briefly surging to its first all-time high since December in the opening minutes of trading. The blue-chip index was significantly buoyed by a substantial gain in healthcare stocks. At one point, the Dow rose 99.11 points, or 0.22%, to 45,011.45.
In contrast, the S&P 500 (SPX) shed 0.3% today, snapping a three-day streak of record closing highs. Despite this daily dip, the S&P 500 still managed to advance just 2 points to finish at 6,468.54, marking a new closing high for the index, and gained nearly 1% for the week. Eight out of the 11 broad sectors of the S&P 500 ended in negative territory, with Materials Select Sector SPDR (XLB), Industrials Select Sector SPDR (XLI), and Consumer Staples Select Sector SPDR (XLP) all falling around 1% or more.
The tech-heavy Nasdaq Composite (IXIC) also experienced a slight decline, finishing at 21,710.67, decreasing a mere 2.47 points. The Nasdaq fell 0.14% at 10:11 AM ET, to 21,681.10, primarily due to the weak performance of technology stocks and profit-taking pressures. Despite the Friday dip, the Nasdaq also posted a weekly gain of nearly 1%.
Overall, Wall Street closed mixed on Thursday (referring to the previous trading day's closing data available on Friday morning), following a choppy session influenced by hotter-than-expected inflation data. However, strong second-quarter earnings results helped to recover investor confidence to some extent, leading to tepid movement in either direction.
Upcoming Market Events
Looking ahead, the market's focus will shift to several key events that could influence monetary policy and market sentiment. The upcoming week will host significant events, particularly concerning the outlook of monetary policy. Policymakers from central banks are slated to speak at the Federal Reserve's Jackson Hole Symposium, including Chairman Powell, who may offer comments on the current U.S. economic backdrop and calls for lower interest rates. Minutes from the Federal Open Market Committee (FOMC)'s last meeting are also expected to be released, providing insights into dissenting members Waller and Bowman, who are also scheduled to speak throughout the week.
On the economic data front, housing data will take the spotlight next week, with the NAHB Housing Market Index, building permits, housing starts, and existing home sales all due for release. Additionally, markets will assess results from the S&P flash PMIs for August. Retail sales data for July showed an increase, but the University of Michigan's consumer confidence index declined due to rising inflation expectations.
Major Stock News and Developments
Several major companies made headlines today, influencing individual stock movements:
UnitedHealth Group (UNH) shares soared, jumping over 11% after news late Thursday that Warren Buffett's Berkshire Hathaway (BRK.A, BRK.B) had taken a significant stake in the health insurer. This strategic investment, a $1.57 billion purchase of 5.04 million shares, signaled strong institutional confidence and boosted the healthcare sector.
Applied Materials (AMAT) saw its stock plunge by 12.5% despite reporting better-than-expected results for the latest quarter. The decline was attributed to the semiconductor equipment manufacturer's weaker-than-expected guidance for the current quarter, citing a "dynamic macroeconomic and policy environment" and "increased uncertainty and lower visibility," particularly concerning its China business. The company anticipates current-quarter adjusted earnings per share between $1.91 and $2.31, and revenue between $6.20 billion and $7.20 billion, falling short of analyst expectations.
Intel (INTC) shares bucked the broader downturn in the semiconductor sector, jumping nearly 3% following reports that the Trump administration is weighing the possibility of taking a stake in the beleaguered chipmaker.
Other mega-cap technology stocks showed mixed performance. Tesla (TSLA) declined 1.5%, while Microsoft (MSFT) and Apple (AAPL) fell slightly. Nvidia (NVDA) and Broadcom (AVGO), two of the largest market capitalization chipmakers, were down 0.9% and 1.6% respectively.
In other corporate news, MGE Energy, Inc. (MGEE) announced an increase in its regular quarterly dividend rate by 5.6% to $0.4750 per share, marking its 50th consecutive year of dividend increases.
Earnings Announcements
For earnings announcements that happened after the market close on Friday, August 15, 2025, several companies were expected to report. While specific after-hours results are still being processed, companies such as Flowers Foods (FLO), Tuniu (TOUR), So-Young International (SY), and Nano Labs Ltd. Sponsored ADR Class A (NA) were on the earnings calendar for today. Investors often monitor options activity ahead of these announcements for insights into potential stock movements.
The second quarter 2025 earnings season has largely been positive for the S&P 500, with 80.2% of reporting companies exceeding analyst expectations, compared to a long-term average of 67%. The year-over-year earnings growth for the S&P 500 is expected to be 12.9%.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.