Weak economic data and worries over the retail sector dragged the markets lower Friday. Fred Katayama reports.
Worries over retailers and weak economic data pulled down Wall Street Friday, and the markets lost ground for the week. Stocks once again traded in a narrow range. Investors avoided risk, buying gold, pushing its price up by the most in a month. Recon Capital's Kevin Kelly: SOUNDBITE: KEVIN KELLY, CHIEF INVESTMENT OFFICER, RECON CAPITAL PARTNERS, (ENGLISH) SAYING: "The consumer is walking on egg shells right now. And I think that's what the markets are really trying to digest because oil has stayed low for long so we haven't seen a trickle up in gas prices that should really hurt." Retail stocks were a big drag. Like Macy's, Kohl's, and Nordstrom, J.C. Penney reported a drop in quarterly same-store sales that was worse than analysts had expected. Nordstrom was among the S&P's biggest losers. The day's major decliner on the Dow: General Electric. Deustche Bank downgraded the industrial giant's shares to "sell" from "hold". Spotify plans to go public. A source said the music streaming service will list on the New York Stock Exchange later this year or early next year. Mixed economic data: U.S. retail sales rose broadly in April. Consumer prices rebounded. But consumer spending rose at its weakest pace since 2009. European stocks charged higher. Telecom and healthcare stocks led the rally.