1. Stock Market Today: Nasdaq Rises While Dow and S&P 500 Face Pressure

U.S. stocks are mixed on Friday as technology shares stabilize following Thursday’s steep selloff, while rising oil prices and concerns about artificial intelligence spending continue to weigh on investor sentiment.

In a midday market snapshot, the Nasdaq Composite gained 0.32%, supported by advances in semiconductor stocks, while the S&P 500 slipped 0.11% and the Dow Jones Industrial Average fell 0.95%, according to Reuters market coverage.

Intel ($INTC) and Micron Technology ($MU) helped support the Nasdaq, rising 3.8% and 2.5%, respectively. The Philadelphia Semiconductor Index also advanced as investors returned to selected chip stocks after recent losses.

However, the broader market remained weak. Eight of the 11 S&P 500 sectors declined during the reported session, and falling share prices outnumbered advancing stocks across both the New York Stock Exchange and Nasdaq.

Thursday’s selloff remains a major concern. The Nasdaq dropped 2.6% in its sharpest daily decline in four months, while the S&P 500 fell 1.2%. Concerns over Meta Platforms’ ($META) escalating AI expenditure helped accelerate the downturn.

The market is now balancing two competing forces: continued demand for AI infrastructure and the growing cost of financing that investment. Meanwhile, higher energy prices are adding to inflation concerns ahead of next week’s Federal Reserve meeting.

For investors, Friday’s trading reinforces an important theme: gains in individual technology stocks do not necessarily indicate a broad market recovery.

2. SpaceX Wireless Expansion Sends AT&T, Verizon and T-Mobile Lower

One of Friday’s biggest stock market stories is a reported plan by SpaceX ($SPCX) to build a nationwide wireless network, potentially introducing a major new competitor to established U.S. telecommunications companies.

According to Reuters’ report on the SpaceX wireless expansion, the company is in discussions with cellular infrastructure providers to secure access to at least 80,000 sites across the United States. The report, originally published by Bloomberg, identifies Crown Castle as one of the companies involved in discussions.

SpaceX is also pursuing nationwide low-band wireless spectrum, which could help support a terrestrial mobile network alongside its existing satellite communications business.

The potential expansion sent shares of major wireless carriers lower during Friday trading.

AT&T ($T), Verizon Communications ($VZ), and T-Mobile US ($TMUS) declined between approximately 1.3% and 5.6% during the reported session as investors considered the possibility of greater competition.

Why Crown Castle and American Tower Are Moving Higher

The same development has created opportunities for companies that own and operate cellular infrastructure.

Crown Castle ($CCI) surged approximately 11.1%, while American Tower ($AMT) gained 4.8% in the reported trading session.

If SpaceX proceeds with a large-scale wireless network, it could require access to tens of thousands of existing sites. Leasing agreements could create additional business for tower operators, although the financial impact will depend on the terms, timing, and eventual scale of any agreements.

The reported 80,000-site target is substantial relative to the approximately 158,500 purpose-built cell towers operating in the United States during the previous year, according to figures cited in the Reuters report.

However, discussions do not constitute a finalized rollout plan. Investors will need additional information on network construction, spectrum availability, capital requirements, and potential commercial agreements.

The broader market lesson is that technological disruption can create both winners and losers. A potential new wireless competitor may threaten established carriers while increasing demand for the infrastructure companies that support mobile connectivity.

3. Oil Prices Reach a Five-Month High as Middle East Supply Risks Grow

Energy prices are creating another challenge for financial markets on Friday.

Brent crude climbed above $114 per barrel, reaching its highest level since early May, as escalating Middle East tensions raised concerns about potential disruptions to global oil supplies.

According to Reuters’ oil market report, prices were supported by reports of Houthi attacks in Saudi Arabia, a tanker-related oil spill near the United Arab Emirates, and reduced production from two oilfields in Libya.

These developments have raised concerns about the reliability of energy shipments and production at a time when geopolitical risks are already elevated.

Higher oil prices can benefit energy producers and oilfield services companies. However, they also create additional expenses for airlines, transportation companies, manufacturers, and consumers.

For households, rising gasoline prices can reduce discretionary spending. For businesses, higher fuel and logistics costs can squeeze profit margins or force companies to raise prices.

This matters particularly for the inflation outlook. If energy prices remain elevated, inflation could prove more persistent than investors previously expected, making it harder for the Federal Reserve to justify lower interest rates.

Markets broadly expect the Fed to leave rates unchanged at its October 27-28 meeting. Nevertheless, continued energy-price increases could complicate the outlook for December and beyond.

For investors, oil has become one of the most important variables to monitor alongside corporate earnings and AI spending.

4. U.S. Business Activity Remains Strong, but Inflation Pressures Intensify

New economic data released Friday presents a complicated picture of the U.S. economy.

The S&P Global Flash Composite Purchasing Managers’ Index, or PMI, declined to 57.6 in October from 58.4 in September. Despite the decrease, the reading remained well above 50, indicating that private-sector business activity continued to expand.

Manufacturing activity strengthened, offsetting a slight slowdown in services. New orders also increased, supported by domestic demand, export growth, and companies building inventories.

However, the survey raised concerns about rising prices.

The output prices index climbed to 59.8, its highest level since August 2022. Input costs remained elevated at 64.9, while supplier delivery times deteriorated to their weakest level in more than four years.

According to Reuters’ coverage of the October PMI report, strong demand and worsening supply-chain bottlenecks are making it easier for businesses to pass higher costs on to customers.

For the stock market, this creates a difficult combination. Continued economic growth supports corporate revenue, but accelerating prices could keep borrowing costs higher for longer.

Companies with strong pricing power may be better positioned to protect margins, while businesses operating on thinner margins could struggle if their expenses rise faster than sales.

Consumer Sentiment Remains Near Historic Lows

The latest University of Michigan survey offered a less encouraging view of the household economy.

The final October consumer sentiment index came in at 48.0, down slightly from September’s 48.1. The index remains substantially below its year-earlier level of 53.6.

The current economic conditions component fell to 46.7 from 50.9 in September, although the expectations component improved.

Consumers’ year-ahead inflation expectations increased to 4.7%, up from 4.6% in September. Long-term inflation expectations rose to 3.5% from 3.4%.

The results indicate that Americans remain concerned about living costs, purchasing power, and the direction of the economy.

The combination of strong business activity and weak consumer confidence is especially important for investors. Businesses may continue expanding while households face increasing pressure from energy prices and borrowing costs.

Read the University of Michigan’s October consumer sentiment results.

5. American Express Raises Its 2026 Earnings Outlook as Spending Holds Up

American Express ($AXP) delivered another encouraging earnings report on Friday, raising its full-year profit forecast after stronger spending by affluent consumers supported third-quarter performance.

The credit card company reported third-quarter adjusted earnings of $4.68 per share, exceeding analysts’ expectations of approximately $4.53.

Revenue reached $20.06 billion, an increase of about 9% year over year, although it came in slightly below some analyst forecasts.

Net income increased 28% to $3.71 billion. Cardholder spending also remained resilient, with total billed business rising 8% to $454 billion. Travel and entertainment spending was particularly strong.

The company raised its 2026 adjusted earnings-per-share outlook to a range of $18.30 to $18.60, up from its previous forecast of $17.30 to $17.90.

These results suggest that higher-income consumers continue to spend on travel, dining, and other purchases despite broader concerns about inflation and economic uncertainty.

However, the report also included a workforce reduction plan affecting approximately 3,500 employees, or 5% of the company’s workforce. Management described the move as part of an effort to improve operational efficiency rather than a response to weakening customer demand.

For investors, American Express provides a useful indicator of spending among wealthier households. Its results suggest that consumer demand has not collapsed, even as confidence remains weak.

The key question is whether higher energy costs and persistent inflation eventually begin to affect spending patterns more broadly.

Read the Reuters report on American Express’ third-quarter earnings.

6. SLB Earnings Beat Expectations as Oilfield Activity Improves

Oilfield services company SLB ($SLB), formerly known as Schlumberger, also reported better-than-expected third-quarter results on Friday.

The company recorded revenue of $9.45 billion, up 6% year over year. Adjusted earnings reached $0.64 per share, exceeding analysts’ expectations of approximately $0.62.

SLB shares gained around 7% following the report as investors welcomed the results and management’s more optimistic outlook for 2027.

The company indicated that activity in the Middle East could strengthen as customers increase investment in existing production and recovery rates. North American demand also contributed to revenue growth.

SLB expects fourth-quarter revenue of approximately $10 billion, representing sequential growth of 5% to 7%.

The results come as elevated oil prices create incentives for energy producers to invest in production capacity and operational efficiency. However, geopolitical risks can also disrupt projects, delay investment decisions, and increase costs.

SLB’s performance highlights the contrast within the current market. Higher energy prices can create inflationary pressure for the economy, but they may also support earnings for companies serving the oil and gas industry.

Investors will be watching whether stronger activity can continue into 2027, particularly if Middle East production and investment recover.

The company’s official third-quarter earnings release provides further details on revenue, cash flow, and its business outlook.

7. Meta’s AI Spending Continues to Weigh on Technology Stocks

Despite Friday’s modest recovery in the Nasdaq, investors remain concerned about the cost of developing artificial intelligence infrastructure.

Meta Platforms ($META) was at the center of Thursday’s selloff after its shares fell nearly 8%. The company reported strong revenue growth, but its expanded AI investment plans raised questions about the financial returns it can generate from the technology.

Meta increased the lower end of its 2026 capital expenditure forecast by $5 billion, putting its expected spending range at $135 billion to $145 billion.

The company is investing in data centers, computing equipment, and AI products, including its Muse AI agent. It has argued that these investments can improve advertising performance, user engagement, and new revenue opportunities.

However, the financial burden is becoming more visible. Meta reported a free cash flow deficit of $2.12 billion in the third quarter, compared with positive free cash flow a year earlier.

Investors are now asking whether rapid AI development will deliver sufficient incremental revenue to justify the investment.

These concerns extend beyond Meta to other companies involved in AI chips, cloud computing, and data center construction.

CoreWeave ($CRWV), Nvidia ($NVDA), and other AI-related stocks have experienced volatility as investors reassess financing requirements and expected returns.

The debate is not whether AI will remain important. Instead, the question is which companies will capture enough value from its adoption to support their valuations.

Next week, earnings from Microsoft ($MSFT), Alphabet ($GOOGL), and Amazon ($AMZN) could provide further evidence about enterprise AI demand, cloud growth, and infrastructure spending.

According to Reuters, expectations for third-quarter earnings growth across S&P 500 companies have increased to 32.3%, based on LSEG data. Strong results could support the broader market, but investors may remain cautious if higher profits require disproportionately greater investment.

Read Reuters’ analysis of Meta’s AI spending and investor concerns.

8. Stock Market Outlook: What Investors Should Watch Next Week

Friday’s trading highlights several factors likely to influence markets in the coming sessions.

First, the Federal Reserve will be in focus ahead of its October 27-28 meeting. With business activity expanding, inflation pressures increasing, and consumer confidence remaining weak, policymakers face a difficult balancing act.

Second, oil prices may continue influencing expectations for interest rates and corporate profits. A sustained rise in energy costs could intensify inflation pressure, while a decline could offer relief to consumers and businesses.

Third, the next round of technology earnings will help investors evaluate the sustainability of AI investment. Microsoft, Alphabet, and Amazon are particularly important because of their exposure to cloud computing, AI infrastructure, and enterprise software.

Finally, SpaceX’s potential entry into the wireless market creates an additional theme for investors to monitor. Any future agreements with tower operators could affect infrastructure revenue expectations while increasing competitive pressure on established telecom providers.

Final Takeaway

The stock market news for October 23, 2026, reflects a market caught between continued economic expansion and growing financial risks.

The Nasdaq is recovering modestly as selected semiconductor stocks advance, but the Dow and S&P 500 remain under pressure. SpaceX’s reported wireless expansion plans are shaking up telecom shares, while rising oil prices and persistent inflation concerns complicate the outlook for interest rates.

American Express ($AXP) and SLB ($SLB) delivered encouraging earnings, demonstrating that spending and energy-related activity remain resilient. At the same time, concerns about Meta’s AI expenditure show that investors are increasingly focused on the cost of growth, not just its potential.

The coming week will be important as investors assess the Federal Reserve’s decision and earnings from major technology companies.

The central market theme is that strong demand alone is no longer enough. Investors want to see sustainable profits, manageable costs, and clear evidence that major investments will generate attractive returns.

This article is for informational purposes only and is not investment advice.

Sources

• Reuters: Nasdaq Ticks Up as Tech Stocks Steady; SpaceX Worries Hit Telecoms
• Reuters: Oil Prices Reach a More Than Five-Month High Amid Supply Concerns
• Reuters: U.S. Business Activity Cools in October as Price Pressures Intensify
• University of Michigan: Final October 2026 Consumer Sentiment Results
• Reuters: American Express Raises 2026 Profit Forecast
• SLB: Official Third-Quarter 2026 Earnings Release
• Reuters: Meta’s AI Spending Raises Concerns Across Technology Stocks
• Reuters: SpaceX Seeks Access to 80,000 U.S. Cell Sites for Wireless Network