US stocks mostly down on inflation fears, Israel-Hamas conflict

NEW YORK – Wall Street stocks mostly declined on Friday, closing out a volatile week as traders assessed bank earnings, inflation concerns and worries over the conflict between Israel and militant group Hamas.

The Dow Jones Industrial Average edged up 0.1 per cent to 33,670.29, while the broad-based S&P 500 Index slid 0.5 per cent to 4,327.78.

The tech-heavy Nasdaq Composite Index plunged 1.2 per cent to 13,407.23.

Early on Friday, banks JPMorgan Chase, Citi and Wells Fargo posted strong results, with US markets trading higher as markets opened.

But a consumer sentiment survey by the University of Michigan released later in the morning indicated that assessments of personal finances dipped, mainly on growing concerns over inflation.

“The consumer is in worse shape,” said Mr Edward Moya, of the OANDA trading platform, adding that monetary policy could drag on the economy.

“This is not a good environment for stocks,” he told AFP.

A potential escalation in the war between Israel and Hamas has also added to market jitters.

The latest development has “triggered a wave of buying of oil and gold,” Mr Moya said in a note.