Stocks decline, led again by tech sector

Wall Street capped another turbulent week of trading Friday with a broad slide in stocks that left the S&P 500 with its third straight weekly loss.

The S&P 500 fell 1.1%, led once again by a sell-off in technology companies, with Apple, Amazon and Alphabet weighing particularly on the market. Technology stocks and other companies that powered the market’s strong comeback this year have suddenly lost momentum this month amid worries that they have become too expensive.

The sell-off wiped out the last of the solid gains the market saw to start the week. The S&P 500 is on track for its first monthly loss since March. September is historically the worst month for stocks.

The S&P 500 fell 37.54 points to 3,319.47. The decline marks the first three-week losing streak for the benchmark index since last October. The Dow Jones industrial average dropped 244.56 points, or 0.9%, to 27,657.42. The Nasdaq composite shed an early gain, losing 116.99 points, or 1.1%, to 10,793.28.

Smaller stocks also fell, with the Russell 2000 index of small-cap stocks giving up 5.82 points, or 0.4%, to 1,536.78.

Momentum in the market shifted Wednesday after the Federal Reserve said the outlook for the U.S. economy remains uncertain and policymakers expect shortterm interest rates to stay at record lows through 2023. Low rates typically turbocharge the market by encouraging investors to pay higher prices for stocks, but some investors may have been looking for the Fed to be more aggressive.

Growth in some areas of the economy has also slowed after supplemental unemployment benefits and other aid from the federal government expired, and disagreements in Congress are holding up a possible renewal of support. Investors say it’s essential that such aid arrives.

Big Tech stocks have stumbled sharply this month on worries that their prices have grown too expensive after their stellar performance through the pandemic.

Apple dropped 3.2%, Microsoft fell 1.2% and Amazon slid 1.8%.