S&P 500 Falls 1.01%, Nasdaq-100 Slides 1.49% on Friday as Netflix Earnings Disappoint, Chip Stocks Extend Losses

U.S. stock indexes fell sharply on Friday as Netflix's mixed second-quarter results and downbeat guidance weighed on the tech sector. The S&P 500 declined 1.01%, the Nasdaq-100 dropped 1.49%, and the Dow Jones Industrial Average fell 0.77%.

Netflix shares tumbled over 7% after reporting revenue of $12.56 billion below estimates, though earnings per share of $0.80 beat expectations. The company's softer Q3 guidance and announcement to reduce engagement data releases starting in 2027 sparked concerns about subscriber trends. Semiconductor stocks remained under pressure following Taiwan Semiconductor's capex guidance hike to $60–64 billion from $52–56 billion earlier in the week, with the VanEck Semiconductor ETF losing 2.18%.