Stocks fell last week as the chip-stock trade entered a selloff phase, despite upbeat news on inflation. The Standard & Poor’s 500 Index fell 1.55%, while the Nasdaq Composite Index declined 2.90%. The Dow Jones Industrial Average slipped 0.93%. The MSCI EAFE Index, which tracks developed overseas stock markets, lost 0.80%.

Stocks largely advanced over a V-shaped week as the AI trade, led by chip stocks, pushed the S&P 500 and Nasdaq averages higher amid renewed conflict. The S&P 500 Index rose 1.23%, while the Nasdaq Composite Index advanced 1.74%. The Dow Jones Industrial Average declined 0.50%. The MSCI EAFE Index, which tracks developed overseas stock markets, lost 1.42%.

Markets posted strong second-quarter gains as upbeat economic data, easing Middle East tensions, and solid corporate earnings boosted investor confidence. The S&P 500 rose 14.87%, the Nasdaq gained 21.41%, and the Dow added 12.90%.

Markets posted solid gains during the shortened trading week as investors welcomed ongoing Middle East diplomatic efforts. The S&P 500 rose 1.77%, the Nasdaq 2.12%, the Dow 1.97%, and the MSCI EAFE Index 1.81%.