** S&P 500 .SPX falls second straight week, loses ~2% in volatile trade, as Fed's hawkish interest rate cut triggers selloff .N

** This after SPX hit a wall, putting breadth in a freefall, though on Fri, after 14-day slide, SPX advance/decline line finally turns up

** And after the benchmark index was walloped, traders wonder if it was a wash out

** Dow .DJI loses 2.3% for the week, Nasdaq Composite .IXIC down 1.7%; but both indexes pare losses, Dow ends longest daily losing streak since 1974

** VIX .VIX surges to a high of 28.32, but by Fri, back below 20.00 level

** U.S. 10-Year Treasury yield US10YT=RR hits 4.594%, but then dips back toward 4.50%. Still, the tilt on the charts is to the upside

** Every sector has whiteout as energy, real estate, and materials get dumped on most; indeed, cyclicals freeze up in December, but is a thaw around the corner?

** Energy .SPNY sinks 5.6%. Sector falls as Chinese economic data renews demand concerns, and investors remain cautious on Fed rate decision

** Industrials .SPLRCI down 2.6%. FedEx FDX.N down on week even with Q2 earnings beat; analysts view FedEx's freight trucking division spinoff as beneficial; lift PT

Honeywell HON.O edges up on the week after co says considering separation of aerospace business amid activist investor Elliott's breakup push

** Consumer Discretionary .SPLRCD down ~2.6%. Nike NKE.N slips after delivering a muted forecast

But Olive Garden owner Darden Restaurants DRI.N hits record high after raising sales forecast, banking on higher menu prices, more people dining out. DRI easily top SPX performer with 12.5% weekly gain

** Consumer Staples .SPLRCS fall 2.5%. Lamb Weston LW.N slumps ~22% on annual sales forecast cut, CEO change

And General Mills GIS.N soggy on lower annual profit outlook as Cheerios maker ramps up promotions to win back customers

** Healthcare .SPXHC loses 2.2%. Pharmacy benefit managers fall after Trump says 'going to knock out the middlemen'. CVS CVS.N down ~10%, UnitedHealth UNH.N off ~4%

Eli Lilly LLY.N gains Fri after Novo Nordisk's next-gen obesity drug underperforms in study

** Tech .SPLRCT dips ~0.7%. Memory chipmaker Micron MU.O plunges ~12% as qtrly forecast signals weak demand for PCs and smartphones

Semiconductor index .SOX sheds ~3.6%

** Meanwhile, individual investors have their bitcoin doubts

** SPX performance YTD:

(Lance Tupper and Terence Gabriel are Reuters market analysts. The views expressed are their own)

((lance.tupper@tr.com

terence.gabriel@tr.com))