The Dow Jones industrial average fell 23.38, or 0.2%, to 10,139.78, more than giving up a 75-point gain from earlier in the session. The Standard & Poor's 500 index fell 5.30, or 0.5%, to 1,101.39, and the tech-heavy Nasdaq composite index fell 29.56, or 1.6%, to 1,883.15, its lowest close since May 17. For the week, the Dow fell 0.7%, the S&P fell 1%, and the Nasdaq fell 3.3%. It was the third straight down week for the Nasdaq, the fourth for the Dow, and the fifth for the S&P 500.
The InformationWeek 100 ended the week on a down note, falling 5.78, or 2%, to 284.00. For the week, the index lost 4.9%. The Nasdaq 100 tracking stock fell 40 cents to $34.67 as more than 120.3 million shares changed hands.
The consumer price index rose just 0.3% in June--half the previous month's rise--and core prices, excluding energy and food, were up just 0.1%. That's good news for companies, since the Federal Reserve was expected to be less likely to aggressively raise benchmark interest rates, currently at 1.25%, while prices remain relatively steady. But investors sent prices tumbling because of other concerns, such as Friday's spike in oil prices due to a terrorist attack on an Iraqi pipeline.
IBM and Dell both closed the week strongly. IBM, which reported its second-quarter financials after Thursday's bell, beat Wall Street expectations by 4 cents per share and issued a strong positive outlook for the rest of the year. Dell also issued with a bullish outlook prior to its Aug. 12 earnings report. IBM climbed 26 cents to $84.28, while Dell rose 55 cents to $35.42.