U.S. equities finished out the week solidly lower on the day, while also notching weekly losses, as global growth concerns ratcheted higher amid disappointing economic reports out of China and the Eurozone, overshadowing a stronger-than-expected U.S. November retail sales report. News on the equity front didn’t help, as both Costco and Adobe disappointed with their earnings reports, while Starbucks’ longer-term outlook garnered scrutiny. Treasury yields were lower, along with crude oil and gold prices, while the U.S. dollar was higher.

The Dow Jones Industrial Average (DJIA) plunged 497 points (2.0%) to 24,101, the S&P 500 Index dropped 51 points (1.9%) to 2,600, and the NASDAQ Composite tumbled 160 points (2.3%) to 6,911. In heavy volume, 982 million shares were traded on the NYSE and 2.2 billion shares changed hands on the NASDAQ. WTI crude oil fell $1.38 to $51.20 per barrel and wholesale gasoline was down $0.05 at $1.43 per gallon. Elsewhere, the Bloomberg gold spot price lost $3.45 to $1,238.54 per ounce, and the Dollar Index—a comparison of the U.S. dollar to six major world currencies—increased 0.4% to 97.44. Markets were lower for the week, as the DJIA fell 1.2%, the S&P 500 Index declined 1.3%, and the NASDAQ Composite decreased 0.8%.

Advance retail sales for November rose 0.2% month-over-month (m/m), above the Bloomberg forecast of a 0.1% gain, and October’s figure was revised solidly higher to a 1.1% gain. Last month’s sales ex-autos were up 0.2% m/m, matching expectations, and compared to October’s favorably-revised 1.0% increase. Sales ex-autos and gas grew 0.5%, compared to estimates of a 0.4% gain, and October’s figure was revised higher to a 0.7% rise. The control group, a figure used to calculate GDP, increased 0.9%, well above projections of a 0.4% gain, and compared to October’s favorably-revised 0.7% increase. Non-store retail sales—which includes online activity—rose solidly to lead the way, along with purchases at electronics and appliance stores and at furniture and home furnishing establishments. Building materials and clothing sales dipped, while sales at gasoline stations fell.

The preliminary Market U.S. Manufacturing PMI Index showed growth slowed more than expected, declining to 53.9 in December, from November’s 55.3 figure, and versus estimates calling for a dip to 55.0. Moreover, the preliminary Market U.S. Services PMI Index showed growth also decelerated more than expected for the key U.S. sector, decreasing to 53.4 from November’s 54.7 figure, versus expectations to nudge lower to 54.6. Readings above 50 for both indexes denote expansion.

The Federal Reserve’s industrial production report showed a 0.6% m/m rise in November, compared to estimates of a 0.3% gain and October’s downwardly-revised decrease of 0.2%. Manufacturing output was flat, while mining and utilities production both grew. Capacity utilization rose to 78.5% from the prior month’s downwardly-revised 78.1% rate, and versus forecasts of 78.6%. Capacity utilization is 1.3 percentage points below its long-run average.

Business inventories increased 0.6% m/m in October, matching forecasts and following September’s upwardly-revised 0.5% gain.

Treasuries were higher, as the yield on the 2-year note fell 3 basis points (bps) to 2.73%, while the yield on the 10-year note and the 30-year bond declined 2 basis points to 2.89% and 3.14%, respectively.

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