U.S. stock indexes gave up their gains on Friday as a worse-than-expected consumer sentiment reading overshadowed strong retail sales numbers and earnings reports.
The Dow Jones Industrials dropped 58.86 points to move into lunch hour at 34,928.16
The S&P 500 slipped 5.33 points to 4,354.70
The NASDAQ docked 12.2 points to 14,530.93.
The S&P 500 is down roughly 0.3%, while the NASDAQ is tailing off 1.2%. The Dow is little changed on the week.
Weaker performance from technology stocks also weighed on the market. Shares of Netflix fell ahead of the streaming giant’s second-quarter earnings report next week. Nvidia shares also dropped.
Investors also digested strong earnings results from the first major week of second-quarter reports. Though some of the nation’s largest companies posted healthy profits and revenues amid the economic recovery, the reaction in the stock market has so far been muted.
Much of the market’s upward pressure over the last week has come from a handful of mega-cap internet and communications stocks. Apple, Netflix, Google-parent Alphabet and Microsoft are all up this week.
The U.S. consumer sentiment index from the University of Michigan came in at 80.8 for the first half of July, down from 85.5 last month and worse than economists estimated, who projected an increase.
The survey released Friday showed inflation expectations rising with consumers believing prices will increase 4.8% in the next year, the highest level since August 2008.
Retail and food service sales rose 0.6% in June, while economists surveyed by Dow Jones had expected a 0.4% decline. Excluding autos, those sales jumped 1.3%, beating economists’ estimate of a 0.4% gain.
Prices for 10-Year Treasurys were lower, raising yields to 1.31% from Thursday’s 1.30%. Treasury prices and yields move in opposite directions.
Oil prices gained 38 cents to $72.03 U.S. a barrel.
Gold prices slid $14.60 to $1,814.40 U.S. an ounce.