Dow Jones Drops as Strong Economy Data Revives 'Good News Is Bad News' Reflex

The Dow Jones Industrial Average declined on Friday as markets reverted to an old pattern: when the economy looks too strong, equities get nervous. The phenomenon, often called the 'good news is bad news' reflex, was triggered by data suggesting the economy may be overheating, raising concerns about prolonged high interest rates. Friday's move brought the Dow lower, reinforcing the idea that in the current environment, robust economic releases can weigh on risk assets.