By Yasin Ebrahim

Investing.com – The S&P 500 ended the week in the red Friday, as selling intensified into the close amid a rout in financials and energy.

They fell by 1% and 1.5% respectively, which is 532 points. The dropped 0.07%.

The financial stocks that include banking stocks fell by 2% as the yield on the 10-year bond dropped below 1.4% due to concerns over the Omicron variation’s impact.

Wells Fargo (NYSE:), People’s United Financial (NASDAQ:), and Goldman Sachs (NYSE:) were among the biggest decliners, with the latter ending the day down 4%.

Energy wasn’t far behind, down about 1% as investors continued to assess the threat of Omicron on energy demand.

The selloff in cyclical industries was exacerbated by the selling of industrials, even though FedEx (NYSE) surged following quarterly results that were better than expected.

FedEx posted $4.83 in earnings per share, which was higher than expected due to increased shipping costs.

“FDX reported fiscal 2Q results that were better than feared, and the company raised its full year guidance,” Deutsche Bank said as it lifted it price target on the FedEx to $310 from $299.

Although cyclicals trade along with the economy and were sold, many continued to back the economically vulnerable sector in order to achieve gains.

“Given our outlook on the economy that eventually once we get past the omicron impact, this economy is still post recessionary growth,” Peter Duffy, chief investment officer of credit at Penn Capital Management said in an interview with Investing.com on Friday.

“We would tend to favor economic cyclicality are kind of the value names as opposed to the growth themes,” Duffy added.

As investors reconsider their desire to invest in growth markets, they continue to lose faith in big tech despite expectations that rates will rise.

Facebook (NASDAQ 🙂 and Amazon(NASDAQ 🙂 were the exceptions to this selloff.

Health care was one of the few sectors in the green as a rally in health-care information company Cerner offset weakness in Johnson & Johnson (NYSE:) and Eli Lilly & Company.

After a Wall Street Journal report suggesting that Cerner was being considered for a sale to Oracle (NYSE :), Cerner rose more than 12%.

Johnson & Johnson fell 2.8% after an advisory panel for the Centers for Disease Control and Prevention voted to recommend vaccines from Pfizer and Moderna over the Johnson & Johnson vaccine. 

The CDC reported new data indicating that the JNJ vaccine could increase blood clots.

Eli Lilly (NYSE:) fell 4% amid concerns about its Alzheimer’s disease securing approval after The European Union’s drug regulator on Friday rejected Biogen (NASDAQ:) Alzheimer’s drug, Aduhelm.

In other news,  General Motors (NYSE:) fell more than 5% after Dan Ammann, CEO of its autonomous vehicle business Cruise, reportedly left the company.