04:36 PM EDT, 08/02/2024 (MT Newswires) -- US benchmark equity indexes retreated Friday, dragged lower in part by post-earnings selloffs in Intel ( INTC ) and Amazon ( AMZN ) shares, as markets parsed the latest jobs report.

The Nasdaq Composite slumped 2.4% to 16,776.2, while the S&P 500 fell 1.8% to 5,346.6. The Dow Jones Industrial Average dropped 1.5% to 39,737.3. Consumer discretionary saw the steepest decline among sectors, down 4.6%, while consumer staples led the gainers.

For the week, the Nasdaq tumbled 3.4%, while the Dow and the S&P 500 lost 2.1% each.

In company news, Intel ( INTC ) shares plunged 26%, the worst performer on all three indexes. The chipmaker late Thursday reported Q2 financial results that fell short of Wall Street's views. The company outlined a $10 billion cost-cutting plan, including a headcount reduction of more than 15%, and said it will suspend dividend starting in Q4.

Amazon ( AMZN ) was among the worst performers on all three indexes Friday, down 8.8%. The ecommerce giant late Thursday logged Q2revenue that trailed Wall Street's estimates.

MercadoLibre ( MELI ) shares jumped nearly 11%, the top gainer on the Nasdaq. The company late Thursday logged stronger-than-expected quarterly results.

Apple ( AAPL ) rose 0.7% Friday. The tech giant late Thursday posted better-than-expected fiscal third-quarter results, as gains in iPad and Mac sales more than offset a decline in its iPhone product.

The US two-year yield sank 28.1 basis points to 3.88% Friday, while the 10-year rate declined 17.8 basis points to 3.8%.

In economic news, the US economy added 114,000 jobs last month, the Bureau of Labor Statistics reported. The consensus was for a 175,000 gain, according to a survey compiled by Bloomberg. The unemployment rate increased to 4.3% from June's 4.1%, which was the market view for July.

The report gives the Federal Reserve "the green light to start cutting (interest) rates in September, and the market's attention will now shift focus toward how many and how deep the coming cuts will be," BMO said in a note to clients.

On Wednesday, the central bank's Federal Open Market Committee kept its benchmark lending rate unchanged at 5.25% to 5.50%, its eighth straight pause.

Markets are now weighing a nearly 75% likelihood for a more aggressive 50-basis-point rate cut next month, up from 22% on Thursday, according to the CME FedWatch tool.

West Texas Intermediate crude oil declined 3% to $74 a barrel Friday.

Gold was little changed at $2,479.50 per troy ounce, while silver rose 0.5% to $28.63 per ounce.