BUSINESS

Higher interest rates, weaker retail outlooks send stocks lower; Dow posts worst week of year

08/16/2013 04:25 EDT | Updated 10/16/2013 05:12 EDT
NEW YORK, N.Y. - Stocks ended a tough week on a down note Friday, hurt by retailers and companies that are sensitive to rising interest rates. The Dow Jones industrial average had its worst week of the year.

The Dow edged down 30 points, or 0.2 per cent, to close at 15,081. The Standard & Poor's 500 index fell five points, or 0.3 per cent, to 1,655. The Nasdaq eased three points, or 0.09 per cent, to 3,602.

The possibility of a cutback in the Federal Reserve's massive bond-buying program in September has roiled the bond market. The 10-year Treasury note rose to 2.83 per cent, its highest level since July 2011. A week ago, the yield was 2.58 per cent.

Shares of utilities and telecommunications companies, which typically perform poorly in a higher interest-rate environment, closed broadly lower.