U.S. stocks edged lower on Friday, as investors weighed prospects for an interest rate increase in the coming months. Bobbi Rebell reports.
Stocks taking a step back on Friday dragged down by utility shares as investors worried about rate hikes. The Nasdaq's fall being cushioned by Applied Materials. That stock surged on a strong current-quarter profit forecast. For the week, stocks were mostly lower. Ken Kamen of Mercadien Asset Management: (SOUNDBITE) KEN KAMEN, PRESIDENT, MERCADIEN ASSET MANAGEMENT (ENGLISH) SAYING: "I know the feeling is that we've had this kind of flattish market for the last couple of weeks. That the market is banging its head on the ceiling. I'm not in that camp. I think once in a while you have to relax and enjoy the ride. There is a number of things that make me believe that. I mean the Fed certainly seems to be on hold. I think they are not going to do anything until December. I think there is some symmetry in that they did a quarter point last December and a quarter point this December. That sounds like gradual to me. " Among the losers: Estee Lauder. The cosmetics maker's quarterly sales rose thanks to strong demand for its makeup brands, but it was less than analysts had expected. Deere stock bucking the trend, surging after it raised its full-year profit outlook. In Europe, stocks posting their worst weekly loss since the middle of June.