US benchmark equity indexes were lower intraday as markets evaluated the latest economic data, including a survey showing a drop in consumer sentiment and an increase in inflation expectations.

The Nasdaq Composite was down 0.5% at 19,952.5 after midday Friday, while the Dow Jones Industrial Average and the S&P 500 fell 0.2% each to 44,460.3 and 6,106.6, respectively. Among sectors, energy and technology saw the biggest drops, while communication services led the gainers.

In economic news, US consumer sentiment in January declined for the first time in six months as inflations expectations rose, final results from the University of Michigan's Surveys of Consumers showed.

"Concerns over the future trajectory of inflation were visible throughout the interviews and were tied to beliefs about anticipated policies like tariffs," Surveys of Consumers Director Joanne Hsu said.

US private-sector output growth slowed on a sequential basis in January, reaching a nine-month low of 52.4, according to S&P Global's (SPGI) flash purchasing managers' index.

"US businesses are starting 2025 in an upbeat mood on hopes that the new (Trump) administration will help drive stronger economic growth," S&P Global Market Intelligence Chief Business Economist Chris Williamson said.

Existing home sales in the US rose more than expected in December, logging the biggest year-over-year increase since June 2021, according to data released by the National Association of Realtors.

"We expect sales in 2025 to hover around the late-2024 pace, but see some risk to the upside if mortgage rates decline as we expect," Oxford Economics said.

The US two-year yield fell 1.3 basis points to 4.27% intraday, while the 10-year rate lost one basis point to 4.63%.

In company news, Texas Instruments (TXN) shares slid 7.6%, the worst performer on the S&P 500 and the Nasdaq, after the company issued a downbeat first-quarter earnings outlook late Thursday.

Microchip Technology (MCHP) was the second-worst performer on the S&P 500 and the Nasdaq intraday Friday, down 5.9%, as B. Riley adjusted its price target on the stock to $85 from $93.

NextEra Energy (NEE) shares rose 4.9%, the top gainer on the S&P 500. The company reaffirmed its 2025 adjusted per-share earnings outlook after logging higher fourth-quarter bottom-line results year over year.

Novo Nordisk (NVO) said its investigative weight loss drug, amycretin, led to a body weight reduction of up to 22% in an early-stage trial. The Danish pharmaceutical giant's US-listed shares jumped 8.2%.

West Texas Intermediate crude oil was up 0.1% at $74.69 a barrel intraday.

Gold rose 0.6% to $2,780.80 per troy ounce, while silver added 1.1% to $31.18 per ounce.