The S&P 500, Nasdaq, and Dow drifted down in the short week, but the Russell 2000 ticked up.
After a volatile couple of weeks when stocks fluctuated wildly, things settled down a bit this week, although the major indexes finished mostly lower.
In a short week due to the stock market being closed on Good Friday, the S&P 500 finished down about 1.5% to 5,283 while the Dow Jones Industrial Average dropped 2.7% to 39,142. The Nasdaq Composite was also down, dropping 2.6% t0 16.286.
But it was not all negative as the small-cap Russell 2000 rallied, rising 1.1% to 1,881 for the week.
The S&P 500 ends the week down 10.2% year-to-date (YTD) while the Dow has plummeted 8% YTD. The Nasdaq has dropped 15.9% so far this year while the Russell 2000 has declined 15.6% YTD.
Solid corporate earnings
The week got off to a rocky start after President Donald Trump said the administration was investigating the idea of placing tariffs on imported semiconductor chips. No specific tariffs were put in place, but the idea rattled investors.
Also, the largest chip maker, NVIDIA (NASDAQ:NVDA), saw its stock tank Wednesday after disclosing it will need a license to export chips to China.
It was also the first full week of first quarter earnings, and overall, it was a solid start. Financial firms like Charles Schwab, Bank of America, Goldman Sachs, and American Express all posted strong results in the first quarter, beating estimates.
In addition, chip marker Taiwan Semiconductor reported excellent earnings, as did streamer Netflix.
The positive earnings were offset by some straight talk from Fed Chair Jerome Powell. In an address delivered in Chicago, Powell said the tariffs will likely lead to higher inflation and slower growth. He also reiterated the Fed is being patient and will wait for more clarity before adjusting monetary policy.
Top stocks of the week
As mentioned, it was a short, four-day week for markets, and it wass much less volatile than the previous two weeks.
The top stock of the week was pharmaceutical company ELI Lilly (NYSE:LLY), which soared about 16% this week. The catalyst was a report of a successful Phase 3 trial for a GLP-1 treatment for type 2 diabetes.
Another top performer was The Mosaic Company (NYSE:MOS), a potash and phosphate mining company. Mosaic stock rose about 12.7% this week.
The third best performer was Diamondback Energy (NASDAQ:FANG), an oil and gas producer. Diamondback stock jumped 11.8% on the week after reporting robust first quarter operating and production results.
The worst performer this week was UnitedHealth (NYSE:UNH). The healthcare insurer saw its stock tank 23% after missing first quarter earnings estimates and slashing its guidance for the year.
