Wall Street Holds Near Records Amid Weak Economic Update

US stock markets are holding near record levels despite a weak update on the economy. The S&P 500 added 0.1% Friday after setting its record the day before, while the Dow Jones Industrial Average dipped 136 points and the Nasdaq composite rose 0.2%. Treasury yields remained relatively steady following a report that showed shoppers spent less at U.S. retailers last month than the previous month.

The weak retail sales data could keep interest rates low, which is good news for Wall Street, but it also raises concerns about slow economic growth and high inflation. Oil prices moved little on Friday, despite a rebound in Brent crude to $87.31 per barrel early that day.

Stephen Innes of SPI Asset Management said 'the disinflation ducks are starting to line up, and with oil also backing off, the market has steadily stripped away the case for another near-term Fed hike.' This suggests that the Federal Reserve may hold off on raising interest rates if inflation appears to be in check.