MARKET SNAPSHOT

U.S. stocks ended August on a downbeat note, with market favorite Nvidia and other AI-linked stocks leading a broad retreat. Treasury yields were mostly higher, gold prices gained and the dollar edged lower as market expectations for an interest rate cut by the Fed in September increased. Oil futures declined.

MARKET WRAPS

EQUITIES

U.S. stocks ended August on a downbeat note, with market favorite Nvidia and other AI-linked stocks leadingFriday's broad retreat.

The Nasdaq Composite dropped 1.2% after Dell became the latest tech company to post soft results or guidance for an artificial intelligence-related segment. The S&P 500 retreated from its Thursday record, falling 0.6%. The Dow industrials lost 0.3%.

The latest installment of the Federal Reserve's preferred measure showed the inflation rate held roughly steady last month. As expected, the personal-consumption expenditures price index rose 2.6% in the 12 months through July.

Investors are watching inflation and other data with a view to the likelihood of a September interest-rate cut. Futures pricing suggests traders see an 87% chance the Fed lowers rates then, CME Group data show, up from 63% a month ago.

Earlier Friday, markets in China climbed.

The Shanghai Composite Index saw a 0.4% increase, while the Shenzhen Composite Index rose by 0.5%. The tech-heavy ChiNext Price Index jumped 2.2%. Hong Kong's Hang Seng Index gained 0.3%.

Japan's Nikkei Stock Average gave back 0.3%, weighed by retail and real-estate stocks.

Australia's S&P/ASX 200 slipped 0.1%, as Qantas Airways shares dropped.

In New Zealand, the S&P/NZX 50 rose 0.2%.

COMMODITIES

Oil futures ended the week slightly higher despite Friday's losses going into the long U.S. Labor Day weekend.

Expectations of lower post-summer demand and higher OPEC+ output have offset geopolitical premium around the Russia-Ukraine war and possibility of tighter U.S. sanctions.

"Refinery activity likely declines seasonally from here as crude imports are apt to increase with some of the strong OPEC production gains finding their way into the U.S.," Ritterbusch said. "The crude deficit should begin to narrow next month in reviving a price downtrend that was disrupted during the past couple of weeks by geopolitical factors."

WTI settled down 0.9% at $64.01 for a 0.5% weekly gain. October Brent went off the board at $68.12 a barrel, down 0.7% on the day and 0.6% higher than a week ago.

Gold futures rose as the latest U.S. inflation data raised expectations of an interest rate cut.

Front month Comex gold for September delivery gained 1.2% to settle at $3473.70 per troy ounce.

TODAY'S TOP HEADLINES

Nasdaq Composite Leads Major Indexes Downward on AI Worries

U.S. stocks are poised to end August on a downbeat note, with market favorite Nvidia and other AI-linked stocks leading Friday's broad retreat.

The Nasdaq composite dropped about 1% after Dell became the latest tech company to post soft results or guidance for an artificial intelligence-related segment. Dell's stock slid by as much as 10%, while Nvidia, Broadcom and Oracle dropped 3% or more.

The latest installment of the Federal Reserve's preferred measure showed the inflation rate held roughly steady last month. As expected, the personal-consumption expenditures price index rose 2.6% in the 12 months through July.

Consumer Spending Comes In Strong as Inflation Data Point to Rate Cut

Inflation ticked up slightly in July, but that didn't stop shoppers from opening their wallets.

Consumer spending grew by 0.3% last month, the Bureau of Economic Analysis reported Friday, the strongest gain in four months. The increase, fueled by rising compensation, shows households are still willing to spend even as inflation remains elevated.

The July personal consumption expenditures price index, while showing prices moving higher, came in line with economists' expectations, leaving the Federal Reserve on track to consider a September rate cut.

U.S. trade deficit in goods widened sharply in July as firms raced to avoid tariffs

The U.S. trade deficit in goods widened 22.1% to $103.6 billion in July from $84.9 billion, according to the Commerce Department's advance estimate released Friday.

The deficit was much wider than expected. Economists expected the deficit to widen to $87.7 billion, according to the Econoday research firm.

Economists said that imports surged ahead of the Trump White House's deadline in early August for country-specific tariffs.

Spirit Airlines Files for Second Bankruptcy in a Year

Spirit Airlines has filed for bankruptcy for the second time in a year after an earlier reorganization failed to put it on stable financial ground.

The discount airline said Friday it needs to slash costs and make sweeping changes to its business as it grapples with flagging travel demand and challenges to the no-frills business model it once pioneered.

The airline will continue flying and selling tickets through the bankruptcy process. It made the chapter 11 filing in bankruptcy court in the Southern District of New York.

Kraft Heinz Nears Big Breakup

Kraft Heinz is closing in on a plan to break itself up, according to people familiar with the matter.

The decision would effectively undo much of the work done from the infamous merger of Kraft and Heinz in 2015, a deal orchestrated by Warren Buffett and Brazilian private-equity firm 3G Capital Partners.

A transaction could be announced as soon as early next week, the people said, cautioning the plans and timing could still change at the last minute.

Expected Major Events for Monday

00:00/SKA: Aug Trade data

00:30/JPN: Aug Japan Manufacturing PMI

00:30/SKA: Aug South Korea Manufacturing PMI

00:30/TAI: Aug Taiwan Manufacturing PMI

00:30/THA: Aug Thailand Manufacturing PMI

00:30/INA: Aug Indonesia Manufacturing PMI

00:30/PHI: Aug Philippines Manufacturing PMI

01:00/AUS: Aug Melbourne Institute Monthly Inflation Gauge

01:30/AUS: Jul Building Approvals

01:30/AUS: 2Q Business Indicators

01:30/AUS: Aug ANZ-Indeed Job Ads

01:45/CHN: Aug China Manufacturing PMI

04:00/INA: Jul Trade Balance

04:00/INA: Aug CPI

05:00/JPN: Aug Auto sales

06:30/AUS: Aug Commodity Price Index

08:00/TAI: Aug CIER PMI

08:30/HK: Jul Retail Sales

10:59/THA: Jul Trade data

22:45/NZ: 2Q International Trade - Overseas Trade Indexes (Volumes / Prices)

23:00/SKA: Aug CPI

23:50/JPN: Aug Monetary Base

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(END) Dow Jones Newswires

August 31, 2025 16:30 ET (20:30 GMT)

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