Dow falls +550 points as trade war fears pummel stocks

Stocks fell sharply on Friday as worries of a trade war brewing between the U.S. and China grew. Wall Street also digested disappointing employment data.

The Dow Jones industrial average fell 572.46 points to 23,932.76, closing back in correction. Boeing and Caterpillar were the biggest decliners in the 30-stock index. The S&P 500 declined 2.2 percent to 2,604.47, with industrials as the worst-performing sector. The Nasdaq composite dropped 2.3 percent to close at 6,915.11.

Equities hit their session lows in the final two hours of trading — with the Dow falling as much as 767.02 points — after Fed Chief Jerome Powell indicated the central bank would continue hiking rates this year. Some traders were hoping the Fed Chief would acknowledge the recent market volatility caused by the trade dispute.

For the week, the major averages closed lower as volatile trading persisted. The Dow and S&P 500 declined 0.7 percent and 1.4 percent this week, respectively. The Nasdaq composite dropped 2.1 percent.