The Standard & Poor's 500 index slipped 0.1% this week as the market digested a quarter-point rate increase from the Federal Reserve.

The S&P 500 fell for a second straight week and ended Friday's session at 7,650.50. The market benchmark is down 0.5% for September but up 12% this year.

The Fed's policy-setting committee on Wednesday raised its benchmark lending rate by 25 basis points in a unanimous vote to combat sticky inflation. The move lifted the federal funds rate to a range of 3.75% to 4%, the first time the Federal Open Market Committee has tightened monetary policy since July 2023.

The Fed's Summary of Economic Projections showed the median policy rate at 4.1% by the end of 2026, up from 3.8% projected in June, signaling another rate increase later this year.

The utilities sector had the largest percentage drop this week falling 3%, followed by a 2.35% fall in financials, a 2.3% decline in real estate and a 1.9% slip materials. Industrials, consumer discretionary, energy and consumer staples also moved lower.

Constellation Energy (CEG) led the decline in utilities, falling 11% on the week. Last week, the company said it agreed to acquire RISEC Holdings, owner of the Rhode Island State Energy Center, from Shell's (SHEL) North America energy unit, for $715 million.

Goldman Sachs (GS) was among the hardest-hit stocks in the financial sector, sliding 8.5%. Earlier this week, the company said its asset management alternatives unit raised $11.7 billion across its newest private equity funds and other vehicles.

Nucor (NUE) was among the materials sector's decliners, falling 4.3%, as the steelmaker forecast Q3 earnings per share below analysts' mean estimate at the time. Nucor said its Q3 earnings "are expected to increase in the steel mills and steel products segments, while decreasing in the raw materials segment."

Three sectors rose this week as health care climbed 1.8%, communication services gained 1.2% and technology was up 1.1%.

Revvity (RVTY) led the gainers in health care, jumping 15% on the week. The company said it agreed to acquire Human Cell Design. The acquisition is expected to bolster Revvity's Life Sciences portfolio, including GLP-1 therapies, the companies said. Financial terms weren't disclosed.

Meta Platforms (META) gave the communication services sector a boost, climbing 2.7% as the Facebook parent launched Meta One, a new subscription service offering enhanced AI capabilities and premium features across Instagram, Facebook, WhatsApp and Meta AI. Meta said the subscriptions are part of a broader effort to diversify revenue beyond digital advertising.

Earnings reports next week are expected from companies including Costco Wholesale (COST), AutoZone (AZO), Darden Restaurants (DRI), Cintas (CTAS), Paychex (PAYX) and General Mills (GIS).

Economic data will include the US Manufacturing Purchasing Managers' Index for September, as well as August new home sales and durable goods.