The Standard & Poor's 500 index edged 0.6% lower this week after quarterly results from hyperscalers disappointed investors, undermining the boost to risk sentiment from Anthropic's initial public offering announcement and a pause in monetary policy.
The market benchmark ended the week at 7,580.07. The index is now down 0.9% for the quarter but up 11% this year.
Anthropic on Monday filed with the US Securities and Exchange Commission for an initial public offering of Class A common stock on the Nasdaq Global Select Market under the ticker symbol "ANT."
The Federal Open Market Committee kept interest rates steady and said it needs more information before it can consider making a policy change. The core personal consumption expenditures price index, the Fed's preferred inflation measure, grew in line with expectations in September.
The healthcare sector in the S&P 500 had the largest percentage gain of the week, up 3.1%, followed by a gain of about 2% each in materials and utilities.
Eli Lilly's (LLY) shares jumped 11% after the healthcare giant reported a year-over-year jump in Q3 non-GAAP earnings and revenue and raised its full-year 2026 revenue outlook.
International Paper (IP) reported a stronger-than-expected swing to adjusted operating earnings in Q3, from a loss a year ago. Its shares closed up 9.6%.
S&P 500's two declining sectors this week were communication services and information technology, down 8.5% and 1.8%, respectively.
Alphabet's (GOOG, GOOGL) Q3 earnings unexpectedly declined with sales lagging as artificial-intelligence-led summaries used in search undermined Google's revenue. Class A shares fell almost 13% and class C shares declined 12%.
Reddit (RDDT) shares sank 36% after the company reported Q3 earnings that missed analyst expectations. Goldman Sachs slashed its price target on the company to $140 from $215, among several firms to make adjustments to forecasts.
Companies reporting quarterly results next week include Apple (AAPL), Palantir Technologies (PLTR), Advanced Micro Devices (AMD), Arista Networks (ANET), Arm (ARM), Qualcomm (QCOM), Uber (UBER), ConocoPhillips (COP), Monster Beverage (MNST), and Cloudflare (NET).
Economic data due includes the ISM manufacturing and services purchasing managers' index, job openings and labor turnover survey, nonfarm payrolls, and Michigan consumer sentiment and inflation expectations.
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