Highlights

  • Nasdaq 100 extends its upward trend after core PCE inflation lands exactly at 2.8%.
  • Markets now price in a near-certain 25 bps Fed rate cut next week.
  • Warner Bros. Discovery jumps on asset-sale news as Netflix feels investor pushback.

As the trading week wrapped up, the tech-driven Nasdaq 100 showcased firm resilience, shrugging off recent turbulence and closing on an optimistic note. With a key inflation reading finally released, traders set aside political noise and lingering macro uncertainty, redirecting their full attention to the Federal Reserve’s upcoming policy meeting.

Friday’s trade opened on uneven footing as markets oscillated between nerves and relief. The turning point arrived with the long-delayed Personal Consumption Expenditures (PCE) report—the Fed’s most closely watched inflation barometer. Core PCE rose 2.8% year over year, precisely matching expectations.

For investors, this alignment was the clarity they had been waiting for. The shutdown-related “data blackout” had temporarily obscured the macro landscape, but the inline PCE print reassured markets that inflation remains on a cooling trajectory. Treasury yields steadied, and traders now overwhelmingly anticipate a 25-basis-point rate cut at the Fed’s meeting next week.

Corporate Moves Steal Some of the Spotlight

Outside the macro lens, stock-specific catalysts shaped notable action within the media and entertainment sector.
Warner Bros. Discovery surged after reports confirmed a partial asset sale to Netflix—widely seen as a necessary strategic lever for the highly leveraged studio. At the same time, Netflix shares slipped as investors reassessed the acquisition’s steep price tag and the complexities associated with integrating new assets into its already sprawling content ecosystem.