Stock Market Today: Stocks End With Biggest Weekly Loss in 2 Months

NEW YORK (TheStreet) -- U.S. stocks rallied into the close Friday, but couldn't make up for losses earlier in the week, ending with the biggest weekly decline since Aug. 1 as the S&P 500 failed to reclaim the 2,000 level. An upward revision to U.S. second-quarter GDP figures fueled expectations that the Federal Reserve will stay the course on ceasing QE by October and raising rates by the second quarter of next year.

The Dow Jones Industrial Average  jumped 0.99% to 17,113.15, but fell 0.96% for the week. The S&P 500  gained 0.86% to 1,982.85, but with a 1.37% weekly loss. The Nasdaq  was higher by 1.02% to 4,512.19, ending the week lower by  1.48%.

Micron jumped 6.72% after reporting fiscal fourth-quarter earnings and revenue that topped analysts' forecasts.

Struggling smartphone maker BlackBerry rose 4.69% after posting a narrower-than-expected loss of 2 cents a share as the company continues to sharpen its focus on enterprise mobility and security.

Nike  (NKE) soared 12.23% after the athletic apparel company -- which has become a bellwether for global consumer strength and economic activity --  posted fiscal first-quarter earnings of $1.09 a share, up from 86 cents a share a year earlier and above analysts' estimates of 88 cents.

Apple (AAPL)   were recovering after a pronounced drop on Thursday. The tech giant released a new update late Thursday that the tech giant said would repair the problems caused by software it released Wednesday morning. Shares were up 2.94%.

The U.S. economy expanded by 4.6% in the second quarter, the government said Friday, matching estimates and coming in higher than the prior estimate of 4.2%.

The biggest contributor to the upward revision to overall GDP was business investment, noted Paul Ferley, RBC Economics' assistant chief economist. The growth rate for this component was raised to 9.7% from a previously estimated 8.4%, which added an additional 0.2 percentage points to overall second-quarter GDP growth. 

"I would take encouragement from this strengthening in business investment," he said. "It implies businesses are confident enough to spend and invest. This reinforces the impression provided by the sustained solid gains in employment so far this year." Ferley said Friday's GDP numbers are consistent with his view that growth in business investment will rise rise around 6.5% this year and 8% in 2015, up from a 3% gain in 2013.

The final reading on the University of Michigan Consumer Sentiment Index for September held steady at 84.6.

In other news, Pimco founder Bill Gross announced Friday he was resigning from the bond giant and would be joining Janus Capital (JNS) on Monday. Janus surged 43.02%. 

GM
(GM)  gained 0.91% after Standard & Poor's raised its debt rating on the automaker to investment grade. 

-- By Andrea Tse and Kurumi Fukushima in New York

Follow @AndreaTTse

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