Stocks fell Friday, but managed to reduce losses by the end of the session, after a weaker-than-expected U.S. consumer-sentiment report raised concerns about the strength of any economic recovery. Stocks began the session slightly lower, as investors ignored reports that supported hopes for a U.S. economic recovery, including a mild reading on inflation and signs that factory production has started to increase. But the sell-off soon gained momentum after the release of the consumer-sentiment index. The University of Michigan said consumer sentiment fell to 63.2 in early August from 66 in July. Economists thought the index would rise to 69. The consumer price index was unchanged in July, as expected. Industrial production rose 0.5 percent in July after falling 0.4 percent the previous month. It was the first increase in nine months and could indicate that manufacturing is starting to rebound. Light sweet crude oil for September delivery fell $3.01 to $67.51 a barrel on the New York Mercantile Exchange. The U.S. dollar gained versus the euro and the yen. The Dow Jones industrial average fell 76.79, or 0.8 percent, to 9,321.40. Twenty-four of the index's 30 components fell, led by Boeing, IBM, Chevron, Exxon Mobil, McDonald's, and 3M. The broader Standard & Poor's 500 index fell 8.64, or 0.85 percent, to 1,004.09. The technology-heavy Nasdaq composite index fell 23.83, or 1.2 percent, to 1,985.52. The New York Stock Exchange composite index fell 66.28 to 6,537.82. The American Stock Exchange composite index fell 16.33 to 1,666.85. And the Russell 2000 index fell 11.29 to 563.90.
