US Stocks Retreat from Record High Amid Weak Economic Data

U.S. stocks retreated from their all-time high on Friday following weak economic data. The S&P 500 dipped 0.2% and the Dow Jones Industrial Average fell by 45 points, or 0.1%, due to lower-than-expected retail sales. This unexpected pullback could keep interest rates low, but it also raises concerns about slowing economic growth amidst high inflation.

Oil prices rose $1.50 a barrel, reaching $88.80, as uncertainty persists over the Iran war's impact on oil tankers. The Federal Reserve faces a challenging task in balancing inflation and economic growth. Some analysts warn against overreacting to weak retail sales data, which may be a temporary adjustment after unusually high sales last month.

U.S. consumer sentiment is weakening, according to a University of Michigan survey. Despite the risks, Reddit jumped 11.6% as it's set to join the S&P 500 index on Tuesday. Applied Materials fell 5.4%, despite reporting stronger profit and revenue than expected, likely due to high expectations.

The bond market saw Treasury yields rise, following oil prices. In international markets, indexes were mixed in Europe and Asia, with South Korea's Kospi jumping 2.4% for its third straight gain.