05:07 PM EDT, 08/15/2025 (MT Newswires) -- The S&P 500 snapped a three-day record run on Friday as traders digested a set of downbeat economic data, including a survey showing deteriorating consumer sentiment amid heightened inflation worries.

The S&P 500 fell 0.3% to 6,449.8 after three days of record closing highs. The Nasdaq Composite declined 0.4% to 21,623, while the Dow Jones Industrial Average edged up 0.1% to 44,946.1.

Among sectors, financials led decliners, while heath care paced the gainers.

For the week, the three major benchmarks posted back-to-back weekly gains, with the Dow rising 1.7%, the S&P 500 advancing 0.9% and the Nasdaq climbing 0.8%.

US consumer sentiment unexpectedly fell in August as inflation expectations rose, preliminary results from a University of Michigan survey showed.

"This deterioration largely stems from rising worries about inflation," said Joanne Hsu, Surveys of Consumers director. "Current personal finances declined modestly amid growing concerns about purchasing power."

Recent data showed that US producer prices rose at the fastest pace in about three years in July, while consumer inflation slowed down in July on a sequential basis.

Those reports indicate that there is "not much tariff-driven goods inflation evident at the consumer level yet, though the inflation talk could be giving cover to services businesses to further raise prices," BMO Chief US Economist Scott Anderson said in a report published Friday.

"While a September interest rate cut is still our baseline forecast, it is no longer a sure thing," Anderson said. "Some (Federal Open Market Committee) voters will clearly argue for another cautious hold, given the uncertain outlook and near-term risks to both sides of the dual mandate."

The probability that the Federal Reserve will lower its benchmark lending rate by 25 basis points next month dropped to about 85% on Friday from 92% on Thursday, while the odds of another pause rose to 15% from nearly 8%, according to the CME FedWatch tool.

US retail sales rose less than projected in July amid declines in purchases of building materials and electronics, government data showed.

"Although labor market conditions are softening, the mighty consumer continues to showcase resiliency," BMO Capital Markets said in a separate note. "That, combined with still-stirring price pressures, will keep Fed officials cautious."

US Treasury yields were higher, with the 10-year rate rising three basis points to 4.32% and the two-year rate adding 1.8 basis points to 3.76%.

West Texas Intermediate crude oil was down 1.3% at $63.10 a barrel in Friday late-afternoon trade.

Talks between US President Donald Trump and Russian leader Vladimir Putin got underway in Alaska. Trump, who wants Putin to agree to a peace deal with Ukraine, previously said there would be serious consequences if Moscow doesn't accept a ceasefire.

Trump recently announced an additional 25% tariff on imports from India in response to the Asian country's continued purchasing of sanctioned Russian oil.

The US will set tariffs on semiconductors in the coming two weeks, Bloomberg News reported Friday, citing Trump.

In company news, Applied Materials ( AMAT ) shares slumped 14%, the steepest decline on the S&P 500. The semiconductor equipment maker late Thursday posted stronger-than-expected fiscal third-quarter results, though its outlook for the current three-month period trailed Wall Street's estimates.

Flowers Foods ( FLO ) lowered its full-year outlook Friday as the packaged bakery food producer reported fiscal second-quarter revenue below market expectations amid softening traditional loaf sales and increased competition. The company's shares fell 5.4%.

UnitedHealth ( UNH ) shares jumped 12%, the top gainer on the Dow and the S&P 500. Berkshire Hathaway ( BRK/A ) (BRK.A, BRK.B) disclosed in a filing that it purchased more than 5 million shares in the health insurance giant in the second quarter. Berkshire's class A shares fell 0.2%, while B shares were down 0.4%.

Gold was little changed at $3,381.90 per troy ounce, while silver slipped 0.1% to $38.02 per ounce.