Live Markets-Wall Street weakens as Warsh comments fuel rate hike bets

• S&P 500 and Nasdaq ended modestly red; the Dow ended just below flat.
• Consumer discretionary led S&P 500 sector gainers; tech was the weakest group.
• The dollar rallied; U.S. crude slipped; bitcoin and gold both fell more than 3%.
• The U.S. 10-year Treasury yield rose to about 4.73%.

Technology was down the most of the S&P 500 sectors on the day, followed by rate-sensitive utilities.

Among the day's gainers, Gap shares shot up 13% after the company reported results and named industry veteran Michael Francis as CEO of Old Navy.

At the same time, shares of Ulta Beauty fell 4.2%, also following the company's quarterly results late Thursday.

Major U.S. stock indexes ended lower on Friday after comments by Federal Reserve Chairman Kevin Warsh fueled bets on a September rate hike.

Warsh said at the annual Jackson Hole symposium that the U.S. central bank will "have work to do" if policymakers don't get the confidence they need that inflation is heading down to the Fed's 2% target.

Fed funds futures traders are now pricing in 57% odds of a hike at the Fed's September 15 to 16 meeting, up from 35% before Warsh's comments. U.S. Treasury yields also jumped.

"While (Warsh) didn’t commit to a September rate hike, his assessment of persistently high inflation, economic resilience, and non-restrictive financial conditions seemed to keep a hike firmly on the table," Keith Lerner, chief investment officer at Truist Wealth, wrote in a note after the remarks.