The S&P 500 Index ($SPX) (SPY) Friday closed down -1.32%, the Dow Jones Industrials Index ($DOWI) (DIA) closed down -0.70%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed down -2.40%.
Stocks retreated Friday, with the S&P 500 and Nasdaq 100 falling to 1-1/2 week lows and the Dow Jones Industrials falling to a 1-week low. Signs of a hawkish Fed pushed the 10-year T-note yield to a 5-1/2 month high Friday and pressured stocks. On Thursday, Fed Chair Powell signaled the Fed was in no hurry to cut interest rates. Also, Boston Fed President Collins shared that view when she said Friday that a December interest rate cut by the Fed isn't a "done deal." The hawkish Fed comments reduced the chances of a Fed rate cut next month to 58% from 82% a day ago. Stocks added to their losses as bond yields rose further after today’s US economic news showed that retail sales and the Nov Empire manufacturing survey rose more than expected, a hawkish factor for Fed policy.
