The Standard & Poor's 500 index edged down 0.4% this week, led by financial stocks amid some weaker-than-expected earnings in the sector.
The market benchmark ended Friday's session at 6,915.61. This is the second consecutive weekly decline yet the S&P 500 is still up 1% for the month.
Quarterly earnings reports were mixed this week. Earnings from financial companies including Capital One Financial (COF) and Charles Schwab (SCHW) missed expectations, weighing on the market.
Worries about the technology sector also increased as chip maker Intel (INTC) issued a weaker-than-expected forecast for the current quarter despite posting higher-than-expected Q4 results.
The energy and materials sectors climbed, helping to minimize the S&P 500's overall drop, as companies including oilfield services company SLB (SLB) and metals company Freeport-McMoRan (FCX) still surpassed analysts' mean estimates.
The financial sector had the largest percentage decline this week, falling 2.5%, followed by a 2.4% loss in real estate and a 2% drop in utilities. Industrials and technology also moved lower.
Capital One Financial was among the financial sector's hardest-hit stocks, sliding 9.1%. The company's Q4 adjusted earnings per share missed analysts' mean estimates despite a slight revenue beat. The company also said it agreed to buy AI-powered financial software platform Brex for $5.15 billion in cash and stock.
Weighing on the technology sector, shares of Intel fell 4% as the company flagged supply disruptions. The company also said during its Q4 earnings call that it now expects higher 2026 capital expenditure compared with its initial guidance.
On the upside, the energy sector rose 3.1%, followed by a 2.6% advance in materials and gains of 1.1% each in communication services and health care. Consumer staples and consumer discretionary also edged higher.
SLB was among the energy sector's top performers, climbing 5.2%. The better-than-expected Q4 results from the company, formerly known as Schlumberger, were driven by double-digit revenue growth in its digital and production systems divisions, as well as stabilized global upstream activity.
Freeport-McMoRan rose 2.9%, boosting the materials sector. In addition to reporting better-than-expected Q4 adjusted earnings and revenue, the company said it is on track to launch a "phased restart" beginning in Q2 of Indonesia's Grasberg Block Cave underground mine.
Next week's earnings calendar features a number of large companies including UnitedHealth Group (UNH), Microsoft (MSFT), Meta Platforms (META), Tesla (TSLA), International Business Machines (IBM), AT&T (T), Apple (AAPL), Visa (V), Mastercard (MA), Caterpillar (CAT), Exxon Mobil (XOM), Chevron (CVX), American Express (AXP) and Verizon Communications (VZ).
Economic data will include delayed reports on the December producer price index and November durable goods orders. There will also be a two-day meeting of the Federal Reserve's Federal Open Market Committee, concluding with a rate decision on Wednesday.
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