U.S. stocks opened lower Friday as investors took a breather after the broader S&P 500's record rally, but the three major indices are poised to log monthly gains for May.
The S&P 500 opened at a new record intraday high of 1,920.33 points before turning lower as data showed U.S. consumers spending dropped in April, marking the first decline in a year.
U.S. personal consumption expenditure, which accounts for about 70 percent of the U.S. economic activity, decreased 0.1 percent in April, while personal income increased 0.3 percent, said the U.S. Commerce Department Friday. Analysts had expected consumer spending to gain 0.2 percent last month while personal income to increase 0.4 percent.
Adding pessimism into the market, U.S. consumer sentiment fell in May, with the Thomson Reuters/University of Michigan's final reading of its consumer sentiment index registered 81.9, slightly higher than the preliminary reading of 81.8, but was lower than April's 84.1.
On the previous trading day, the S&P 500 refreshed both record intraday and closing highs, as investors brushed off the downwardly-revised U.S. gross domestic product for the first quarter of this year.
The benchmark index settled above the psychologically important level of 1,900 points last Friday and has since repeatedly refreshed record highs.
On a monthly basis, the three major stock indices are on track to end in green territory, breaking the old market adage of "sell in May and go away."
Shortly after Friday's opening bell, the Dow Jones Industrial Average fell 43.44 points, or 0.26 percent, to 16,655.30. The broader S&P 500 lost 2.71 points, or 0.14 percent, to 1,917.32. The Nasdaq Composite Index was down 4.79 points, or 0.11 percent, to 4,243.15.