U.S Dollar, Oil Tug on Wall St.
Stocks fell on Friday, hurt by near-record oil prices, concerns about the weaker dollar and profit-taking in sectors that had contributed to the market's recent gains.
The rise in crude added to concerns about the impact of high energy prices on consumers' spending and business costs.
Shares of technology, financial services and health-care companies dragged on the market as investors locked in profits.
Among tech shares, Apple Inc was one of the biggest drags on the Nasdaq 100 index, falling 0.6 percent to $153.61, while shares of Hewlett-Packard fell 1.3 percent to $49.63.
But shares of energy companies such as Exxon Mobil Corp. rose. With the dollar weaker, shares of major exporters such as plane maker Boeing Co and heavy equipment maker Caterpillar Inc advanced.
You're seeing some drag being reintroduced by the rising petroleum prices. The dollar is another headwind and it's having a very direct effect on the price of energy, said Peter Kenny, managing director at Knight Equity Markets in Jersey City, New Jersey.
The backdrop of today's session is the end of the quarter. The market has been up 8 of 11 sessions, so you're seeing some profit taking from some stocks, said Kenny.
The Dow Jones industrial average was down 33.73 points, or 0.24 percent, at 13,879.21. The Standard & Poor's 500 Index was down 4.28 points, or 0.28 percent, at 1,527.10. The Nasdaq Composite Index was down 8.77 points, or 0.32 percent, at 2,700.82.
Analysts said inflationary pressures from higher commodity prices and the drop in the dollar to record lows could hurt the case for further cuts in interest rates by the Federal Reserve.
Among health-care stocks, shares of drug maker Merck & Co declined 1.4 percent to $51.56, while among financial stocks, shares of JPMorgan Chase & Co. dropped 0.9 percent to $45.80.
But shares of Exxon Mobil climbed 0.3 percent to $93.28 on the NYSE, while shares of Caterpillar gained 0.7 percent. Shares of Alcoa also headed higher on rising global commodity prices. It rose 0.2 percent to $39.09.
In economic news, a government report showed a measure of consumer prices closely watched by the Federal Reserve -- core personal consumption expenditures -- in August posted the smallest year-over-year rise in about 3-1/2 years.
The Commerce Department also said U.S. consumers boosted their spending at the strongest rate in four months during August.
U.S. crude for November delivery rose 39 cents to $83.27 a barrel, not far from its all-time high of $83.90.
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