The Fed has two main objectives: maintain maximum employment and contain inflation. Although one single data point is never decisive, when inflation is high, the Fed generally raises interest rates to slow demand. When the unemployment rate is high, the Fed often lowers interest rates to stimulate consumer activity.

Indexes slipped as traders zeroed in on remarks from Fed Chair Jerome Powell, who said the central bank is in no hurry to cut rates amid a strong economy.

"The economy is not sending any signals that we need to be in a hurry to lower rates," Powell said Thursday in Dallas.

Powell says the Fed is not in any 'hurry' to lower interest rates:: Jerome Powell, Federal Reserve Chair"The labor market remains in solid condition. Inflation has eased substantially from its peak, and we believe it is on a sustainable path to our 2% goal.