Equities finished the week mixed as a renewed tug-of-war played out between bullish investors focused on the prospect of lower interest rates and bearish investors concerned about stretched valuations and emerging bubble risks.
The Dow Jones Industrial Average fell by 0.67 percent for the week to 48,134, holding slightly above the week’s low reached on Dec. 17. The S&P 500 edged up by 0.10 percent to 6,834, while the tech-heavy Nasdaq Composite rose by 0.48 percent. The small-cap Russell 2000 ended the week down by 0.86 percent.
Market volatility declined, with the Chicago Board Options Exchange Volatility Index falling 5.27 percent for the week to 14.91.
Stocks opened higher on Dec. 15 as bargain hunters stepped in following the sharp sell-off at the end of the previous week. However, sellers quickly regained control, pushing all major indexes into negative territory. Small-cap and technology stocks led the decline, as Broadcom and Oracle resumed losses amid ongoing valuation concerns….