US benchmark equity indexes were lower intraday after data showed the economy added fewer jobs than projected in January, while a survey pointed to surging inflation expectations among consumers.

The Nasdaq Composite was down 0.8% at 19,628.3 after midday Friday, while the Dow Jones Industrial Average and the S&P 500 fell 0.5% each to 44,504.3 and 6,056.2, respectively. Among sectors, consumer discretionary saw the biggest drop, while energy led the gainers.

In economic news, total nonfarm payrolls in the US rose by 143,000 last month, the Bureau of Labor Statistics reported. The consensus was for a 175,000 increase, according to a survey compiled by Bloomberg.

"With inflation progress having stalled in recent months and heightened uncertainties on how far the new administration will go on tariffs, the (Federal Reserve) is likely to remain more cautious on rate cuts and hold the policy rate steady until sometime this summer," TD Economics said.

US consumer sentiment reached its lowest level since last July, while year-ahead inflation expectations hit the highest since November 2023, preliminary February results from the University of Michigan's Surveys of Consumers showed. The survey indicated concerns regarding the negative impact of the Trump administration's tariff policy.

Earlier this week, China announced a series of retaliatory tariffs against the US, which paused planned tariffs on Mexico and Canada for a month.

Trump intends to announce reciprocal tariffs on many countries next week, Reuters reported Friday, citing sources.

The US two-year yield was up 7.1 basis points at 4.28% intraday, while the 10-year rate added 5.7 basis points to 4.5%.

In company news, Amazon.com (AMZN) shares fell 3.6%, the steepest decline on the Dow and among the worst on the S&P 500 and the Nasdaq. The e-commerce and technology giant late Thursday logged stronger-than-expected fourth-quarter results, though its revenue outlook for the first quarter fell short of Wall Street's estimates.

Elf Beauty's (ELF) shares were down nearly 20% intraday Friday. The cosmetics company lowered its fiscal 2025 outlook late Thursday.

Expedia (EXPE) shares jumped 15% intraday Friday, the best performer on the S&P 500. The company late Thursday delivered a fourth-quarter beat and reinstated a quarterly dividend.

West Texas Intermediate crude oil was up 0.5% at $70.96 a barrel intraday. Prices rose after new sanctions were imposed on Iran's crude exports, D.A. Davidson said in a note to clients.

Gold was up 0.4% at $2,889 per troy ounce, while silver dropped 0.5% to $32.47 per ounce.