Top Midday Decliners

Health care stocks dropped Friday afternoon with the NYSE Health Care Index easing 0.1% and the Health Care Select Sector SPDR Fund (XLV) down 0.4%.

The iShares Biotechnology ETF (IBB) shed 0.3%.

In corporate news, Novo Nordisk resolved its shortage of weight-loss drugs Ozempic and Wegovy, according to an update on the US Food and Drug Administration website. Companies such as Hims & Hers Health will no longer be legally allowed to make and sell compounded alternatives. Novo Nordisk shares jumped 5%, while Hims & Hers tumbled 23%.

Bluebird bio shares plunged 41% after the company agreed to be acquired by funds managed by Carlyle (CG) and SK Capital Partners.

UnitedHealth Group on Friday refuted a report by The Wall Street Journal that the US Department of Justice started an investigation into the health insurer's Medicare billing practices. UnitedHealth shares fell 7%.

Tech stocks were in the red Friday afternoon, with the Technology Select Sector SPDR Fund (XLK) falling 1.8% and the SPDR S&P Semiconductor ETF (XSD) dropping 2.8%.

The Philadelphia Semiconductor index retreated 2.8%.

In corporate news, Apple Chief Executive Tim Cook promised President Donald Trump to move the company's manufacturing to the US from Mexico, Trump told a gathering of governors Friday, according to a Bloomberg report. Apple shares were rising 0.7%.

Akamai Technologies has "limited" short-term growth opportunities, BofA Securities said in a note Friday, following the company's Q4 results overnight. BofA downgraded Akamai to neutral from buy and cut its price target to $100 from $125. Akamai shares dropped 20%.

The Department of Justice and the Securities and Exchange Commission are investigating a $32 million deal between CrowdStrike and Carahsoft to provide cybersecurity tools to the Internal Revenue Service, Bloomberg reported. CrowdStrike shares fell 4.9%.

US benchmark equity indexes were lower intraday as markets analyzed the latest economic data, including a survey showing a slump in consumer sentiment.

The Nasdaq Composite was down 1.6% at 19,634.5 after midday Friday, while the Dow Jones Industrial Average slid 1.4% to 43,543.5. The S&P 500 lost 1.3% to 6,037.1. Barring consumer staples, all sectors were lower, led by consumer discretionary and industrials.

In economic news, US consumer sentiment tumbled 9.8% sequentially to 64.7 in February, while year-ahead inflation expectations soared, according to a survey by the University of Michigan.

The survey indicated "fears that tariff-induced price increases are imminent," Surveys of Consumers Director Joanne Hsu said.

Output growth in the US private sector unexpectedly slowed in February as the services sector contracted, while optimism waned amid worries over the impact of tariffs and domestic spending cuts, according to S&P Global's flash purchasing managers' index.

Existing home sales in the US dropped more than projected in January amid elevated mortgage rates and house prices, according to National Association of Realtors data.

"Mortgage rates have refused to budge for several months despite multiple rounds of short-term interest rate cuts by the Federal Reserve," NAR Chief Economist Lawrence Yun said. "When combined with elevated home prices, housing affordability remains a major challenge."

The 10-year US Treasury yield was down 7.9 basis points at 4.42% intraday, while the two-year rate lost 5.5 basis points to 4.21%.

In company news, Akamai Technologies shares sank 20%, the steepest decline on the S&P 500. The company late Thursday provided downbeat quarterly and full-year financial expectations.

UnitedHealth Group on Friday refuted claims by The Wall Street Journal that the US Department of Justice had launched an investigation into the health insurer's Medicare billing practices. The company's shares were down 7%, the worst Dow performer.

MercadoLibre shares jumped 7.5%, the top gainer on the Nasdaq. The company late Thursday delivered a quarterly beat.

West Texas Intermediate crude oil was down 2.5% at $70.66 a barrel intraday Friday.

Gold fell 0.1% to $2,953.80 per troy ounce, while silver fell 1.5% to $33 per ounce.

Akamai Technologies, Inc. (AKAM) is currently at $78.58, down $19.45 or 19.84%

• Would be lowest close since May 5, 2023, when it closed at $78.56
• On pace for largest percent decrease since July 31, 2008, when it fell 25.31%
• Currently down three of the past four days
• Currently down two consecutive days; down 21.62% over this period
• Worst two day stretch since the two days ending July 28, 2011, when it fell 22.32%
• Down 21.34% month-to-date
• Down 17.85% year-to-date
• Down 76.02% from its all-time closing high of $327.62 on Dec. 31, 1999
• Down 27.36% from 52 weeks ago (Feb. 23, 2024), when it closed at $108.17
• Down 30.36% from its 52-week closing high of $112.83 on March 7, 2024
• Would be a new 52-week closing low
• Traded as low as $78.00; lowest intraday level since May 5, 2023, when it hit $77.25
• Down 20.43% at today's intraday low; largest intraday percent decrease since July 30, 2009, when it fell as much as 22.25%
• Worst performer in the S&P 500 today

All data as of 1:26:15 PM ET

Source: Dow Jones Market Data, FactSet

US equity indexes declined in midday trading Friday following a drop in government bond yields after a consumer sentiment gauge was revised lower and private sector output growth unexpectedly slowed.

The Nasdaq Composite slumped 1.4% to 19,689.7, with the S&P 500 down 1.1% to 6,051.2 and the Dow Jones Industrial Average 1.3% lower at 43,603.9. All peer groups were in the red intraday, with consumer discretionary and industrials leading the decliners. The consumer staples sector was the sole gainer.

In economic news, the University of Michigan consumer sentiment index was revised downward on Friday to 64.7 for February from 67.8 in the preliminary estimate, compared with expectations for no revision in a survey compiled by Bloomberg. That latest print was below the upwardly revised final reading of 71.7 in January.

Respondents in the Michigan survey expected a 4.3% inflation rate over the next year and 3.5% annual inflation over the next five years, up from 3.3% and 3.2%, respectively, in January.

Output growth in the US private sector unexpectedly slowed in February as the services sector contracted, while optimism waned amid worries over the impact of tariffs and domestic spending cuts, S&P Global's (SPGI) flash purchasing managers' index showed. The composite output gauge fell to a 17-month low of 50.4 from 52.7 in January, compared with the 53.2 consensus in a survey compiled by Bloomberg.

The pace of annual rates for seasonally adjusted US existing home sales fell to 4.08 million in January from 4.29 million in December, compared with the 4.13 million expected in a survey compiled by Bloomberg, data from the National Association of Realtors showed. Sales were up 2% from a year earlier.

US Treasury yields fell, with the 10-year down 6.8 basis points to 4.43% and the two-year was 3.8 basis points lower at 4.23%.

Further, in economic news, the February flash reading of manufacturing conditions from S&P Global Friday rose to an eight-month high of 51.6 from 51.2 in January, above an expected 51.4 in a survey compiled by Bloomberg. The index indicates expansion, in line with the Empire State and the Philadelphia Fed manufacturing readings released earlier in the week.

In company news, UnitedHealth Group is under scrutiny by the US Department of Justice for allegedly encouraging doctors to record diagnoses that result in extra payments to the insurer's "Medicare Advantage" plans, the Wall Street Journal reported Friday, citing people familiar with the matter. Shares of the company slumped 8.8%, among the worst performers on the S&P 500.

Akamai Technologies has "limited" short-term growth opportunities, BofA Securities said in a note Friday, following the company's Q4 results overnight. BofA downgraded Akamai to neutral from buy and cut its price target to $100 from $125. Akamai shares sank 19.6% intraday, the steepest decliner on the S&P 500.

MercadoLibre's Q4 diluted earnings and sales late Thursday beat the average analyst estimate compiled by FactSet. Shares jumped 8.3% intraday, the top performer on the Nasdaq.

West Texas Intermediate crude oil futures slumped 2.1% to $70.97 a barrel.

Gold futures were fractionally lower at $2,955.4, and their silver counterparts dropped 1.2% to $33.4.