STORY: U.S. stocks closed slightly lower on Friday, with the Dow shedding almost half a percent, the S&P 500 dipping about a third of a percent and the Nasdaq ending roughly flat.
A weak August jobs report initially pushed stocks higher on optimism that the Federal Reserve would lower interest rates.
But worries of an economic slowdown soon reversed those gains, says Michael Landsberg, chief investment officer at Landsberg Bennett Private Wealth Management.
“Part of the concern with stocks here has been … Is the economy in a little bit worse shape than we thought? So I think that's the concern, obviously, with jobs being a weak number. I think people are concerned about that. They're excited about getting the cut or cuts. And now they're realizing, well, maybe getting cuts is not a great thing. Maybe we are in a bit of trouble.”
Friday's notable stock moves included Kenvue, which fell more than 9% after the Wall Street Journal reported that U.S. Health Secretary Robert Kennedy Jr. plans to announce that use of the company's popular Tylenol medication in pregnant women is potentially linked to autism.
Kennedy did not include evidence for the claims.
Kenvue in a statement said it believes there is no causal link between Tylenol use during pregnancy and autism.
Shares of Broadcom gained more than 9% a day after the chip designer forecast fourth-quarter revenue above estimates and said it expected AI revenue growth to improve significantly in fiscal 2026.
And shares of Lululemon Athletica plunged sharply for a second straight day, losing more than 18% on Friday, after the yogawear retailer signaled a tepid holiday season, citing lackluster demand and steep tariff costs.
