American markets lost money for the third week in a row on Friday, despite a strong August jobs report.
At 31,318.44, the Dow Jones Industrial Average ended with a loss of 337.98 points, or 1.1%. The Nasdaq Composite dropped 1.3% and saw its first six-day losing streak since 2019. The S&P 500 also decreased by 1.1%.
Early in the morning, after the jobs report indicated 315,000 hirings in the previous month, stocks started to rise. The Nasdaq sank 4.2%, while the Dow and S&P lost about 3% and 3.3%, respectively, for the week.
This year, tech stocks have continued to slump, with Microsoft losing 1.67%, Google falling 1.72%, and Apple sliding 1.36%. Lululemon Athletica, the market leader in activewear apparel, reported significant sales and earnings growth, which caused its stock to rise 6.7%.
Investors are concerned that the Federal Reserve will continue to implement significant interest rate hikes as a result of hawkish remarks made by Fed Chairman Jerome Powell and other Fed officials.
According to Callie Cox, a U.S. investment analyst at eToro, "there's still a lot of trepidation about what we'll see over the next few months." "Yes, the job market and inflation are regaining their previous equilibrium, but at what cost? That is still a mystery to the markets."
At its most recent policy sessions, the Fed sharply raised interest rates in an effort to rein in increasing prices, which have been mostly fueled by energy costs.
The dollar dipped on Friday, which was good for risk assets, and after gaining earlier in the week, government yields modestly decreased. The 10-year yield was close to 3.21% in late morning trade, a decrease from earlier this week's highs of 3.27%.