More Inflation Fears

Renewed inflation fears spooked the U.S. markets, as strong growth in the service sector and record oil prices drove stocks down sharply Friday, with shares finishing mostly lower for the fourth straight week. The Dow Jones industrial average fell 99.46 points, or 0.95 percent, to close at 10,404.30, while the Nasdaq slid 14.42 points, or 0.72 percent, to close at 1,984.81. A weaker-than-expected job-creation report Friday initially boosted the market, as investors saw it as a sign that American economic growth would be manageable. But the service-sector gains and a sharp jump in consumer prices caused investors to fear that an inflation-skittish Federal Reserve might push for interest-rate hikes. WPP, trading as American Depository Receipts on the Nasdaq, closed 6 percent higher at $59.76. On the Big Board, Omnicom finished 0.4 percent higher at $87.55, and IPG ended at $12.18, up 0.9 percent.