Wall Street drifts as Intel tumbles and gold’s price rises to another record

U.S. markets closed mixed Friday, ending a volatile week marked by presidential tariff threats and subsequent policy reversals. The S&P 500 edged up 0.1%, though remained on track for its second consecutive weekly decline. The Dow Jones Industrial Average fell 288 points, or 0.6%, while the Nasdaq composite gained 0.3% in late trading.

Most stocks declined, with semiconductor giant Intel tumbling 17.8% despite reporting better-than-expected results for late 2025. Investors focused instead on Intel’s disappointing forecast for the first quarter of 2026. The company’s CFO David Zinsner cited industry-wide supply shortages, predicting conditions would bottom out early this year before improving in spring. CEO Lip-Bu Tan emphasized the company’s positioning to capitalize on artificial intelligence opportunities.

The U.S. bond market showed relatively modest movements following sharp fluctuations earlier in the week, though other markets displayed signs of lingering anxiety.

Currency markets reflected persistent investor concerns as the U.S. dollar weakened against the Japanese yen, Swiss franc, and several other currencies. This followed a significant drop earlier in the week after President Donald Trump threatened to impose 10% tariffs on European nations that opposed his ambitions to acquire Greenland.

The combined decline in both the dollar and U.S. Treasury bond prices had suggested international investors might be retreating from American markets. Some relief emerged Wednesday when Trump announced “the framework of a future deal with respect to Greenland” and withdrew the tariff threats, though specific details remain scarce.

Gold prices continued their ascent to another record on Friday, approaching $5,000 per ounce – a clear indication that investors are still seeking safe-haven assets. The precious metal has already gained nearly 15% year-to-date, reflecting persistent economic uncertainty.

In corporate news, Capital One Financial dropped 6.9% after disappointing fourth-quarter earnings. The financial services company also announced its acquisition of corporate card provider Brex for $5.15 billion in cash and stock.

Railroad operator CSX provided a bright spot, climbing 3.4% despite reporting weaker-than-expected profits. Analysts highlighted the company’s optimistic forecast for operating profit margins in 2026.

Clorox shares rose 1.2% after announcing the $2.25 billion cash acquisition of GOJO Industries, maker of Purell hand sanitizer.

In economic indicators, the University of Michigan’s consumer survey showed one-year inflation expectations improved to 4% – still double the Federal Reserve’s 2% target but the lowest reading in a year. This improvement could help avoid a scenario where high inflation expectations create a self-reinforcing cycle that exacerbates price increases.

Overall consumer sentiment was slightly stronger than economists had predicted, suggesting continued consumer spending could support U.S. economic growth. A preliminary report from S&P Global indicated ongoing expansion in U.S. business activity.

Treasury yields eased slightly, with the 10-year Treasury yield slipping to 4.23% from 4.26%. The Federal Reserve is widely expected to maintain current interest rates at its meeting next Wednesday.

Overseas markets showed mixed performance. European indices varied while most Asian markets rose. Japan’s Nikkei 225 added 0.3% after the Bank of Japan kept its key interest rate unchanged at 0.75%, in line with market expectations. The central bank has been gradually raising rates from negative territory, with its most recent increase occurring in December.

Global market volatility has subsided after a rapid surge in Japanese government bond yields earlier in the week, sparked by concerns that Prime Minister Sanae Takaichi might pursue policies that would significantly increase Japan’s already substantial government debt burden.