My wife and I were sitting on our back porch facing north in our home in Peoria, when we observed a fireball that looked like a comet only very large and close. This fireball went out and then then appeared to be just plane lights, with a red light and a white strobe, just like any other plane at light. Something then dropped from this object, whatever it was had a white light. At first we believed it was a plane burning up with a piece that fell off, but whatever it was appeared have a small white light on it, not like a burning object falling. That object did not appear to fall as fast as something falling to earth. It could have been something dropped with a parachute with a light attached. We watched it with appeared to be plane lights which then appeared to fly in a circle for about a couple of minutes. Then it straightened out and headed in the direction of Sky Harbor airport in Phx, descending as would a normal plane coming in for a landing.This whole time we believed it might be a plane with some serious mechanical problems, but whatever it dropped was out of the ordinary and we couldn’t find any mention of any unusual occurrences on any news reports.