Stocks Opened Lower on Oil Weakness

U.S. stocks opened lower on Friday, as precipitous declines in oil prices continued to stoke fears that the global economy is succumbing to deflation. The Dow Jones industrial average lately fell 70.58 points, or 0.37%, to 17,525.76. The S&P 500 lost 7.47 points, or 0.37%, to 2,027.86. The Nasdaq Composite dropped 14.29 points, or 0.30%, to 4,693.87.

U.S. producer prices sank across the board in November led by a another sharp decline in energy prices.U.S. producer prices fell a seasonally adjusted 0.2% in November, the second decline in the last three months, the Labor Department said Friday.

The price of oil has fallen further after the International Energy Agency forecast weaker demand in 2015. The IEA, a consultancy to 29 countries, said supply and demand would take “some time” to respond to sharp falls in oil prices.

The U.S. Securities and Exchange Commission is preparing a sweeping set of rules to target mutual funds whose rapid growth and migration into more complex strategies could pose risks to the financial system, the agency’s chairman said.

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