Wall Street weakens after Microsoft, Amazon.com and Broadcom results spark selling.
NEW YORK (CNNMoney.com) -- Technology led a bigger selloff Friday as disappointment about quarterly results from Microsoft, Amazon.com and Broadcom gave investors a reason to retreat after the recent rally.
The Dow Jones industrial average (INDU) lost 25 points, or 0.3%, with under three hours left in the session. The S&P 500 (SPX) index slipped 4 points, or 0.4%. The Nasdaq composite (COMP) fell 21 points, or 1%.
"Microsoft's revenues were light and the quality of the earnings wasn't so great," said Timothy Ghriskey, chief investment officer at Solaris Asset Management.
He said that the reason the market's reaction has been so strong is that Microsoft has raised worries about the ability of technology to continue leading the market.
"Technology has been one of the strongest sections of the market year to date and in the recent run," he said.
Broadcom and Amazon.com also reported results that prompted a negative response from Wall Street Friday.
Better-than-expected corporate results and housing sales propelled stocks Thursday, leaving the Dow and S&P 500 at more than eight-month highs and the Nasdaq at a more than nine-month high. After that run, stocks were vulnerable to a pullback and the financial reports seemed to provide the impetus.
Results: Shares of Microsoft (MSFT, Fortune 500) fell 10% Friday on disappointment about the company's quarterly results released late Thursday. The tech leader reported weaker earnings that topped estimates and weaker revenue that missed estimates, blaming a slowdown in the global PC and server markets.
Online retailer Amazon.com (AMZN, Fortune 500) reported weaker earnings that beat estimates on higher revenue that missed forecasts in a late Thursday report. Amazon also forecast third-quarter revenue in a range that met analysts' predictions. The company recently announced it was buying online shoe retailer Zappos.com for $928 million.
Amazon.com fell 8% Friday.
Also late Thursday, Broadcom (BRCM, Fortune 500) reported weaker quarterly sales and earnings that nonetheless topped estimates. The chipmaker also issued a current-quarter revenue forecast that is above analysts' forecasts. However, investors knocked down its shares in the broader tech selloff.
Dow component American Express (AXP, Fortune 500) reported weaker quarterly earnings as a result of the cost of paying back the loan it received from the government last year. However, the earnings still managed to top analysts' forecasts. Shares fell 1.6%.
Sentiment: Consumer sentiment remains weak, according to the latest University of Michigan survey released Friday. Sentiment inched up to 66 from 64.6, versus forecasts for a rise to 65.
Bonds: Treasury prices slipped, raising the yield on the benchmark 10-year note to 3.67% from 3.66% Wednesday. Treasury prices and yields move in opposite directions.
Other markets: In global trade, European markets mostly ended lower, while Asian markets ended higher.
In currency trading, the dollar fell against the euro and the Japanese yen.
U.S. light crude oil for September delivery fell 21 cents to $67.37 a barrel on the New York Mercantile Exchange.
COMEX gold for August delivery fell $2 to $952.80 an ounce.
Market breadth was negative. On the New York Stock Exchange, losers beat winners by a narrow margin on volume of 510 million shares. On the Nasdaq, decliners topped advancers by a narrow margin on volume of 1.34 billion shares. 
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