Industrial stocks decline in premarket trading as July low looms

Industrial stocks fell in premarket trading on Friday as investors brace for a test of July's lows. The Industrial Select Sector SPDR ETF (NYSEARCA:XLI), whose holdings include large-cap industrial companies, slipped 1.1% to $85.44 a share at 8:04 a.m. ET. The fund hit a 52-week low of $84.28 intraday on July 14.

Stocks have been under pressure as the Federal Reserve raises interest rates to grapple with a 40-year high in inflation. Industrial stocks in the past year have been vulnerable to jumps in the price of energy, a key input for manufacturers.

Among the premarket decliners on Friday:

• Generac (GNRC) -2.8%
• Nutrien (NTR) -2.7%
• Caterpillar (CAT) -2.2%
• Johnson Controls (JCI) -2.1%
• Deere (DE) -2%
• Boeing (BA) -2%
• Textron (TXT) -1.8%
• Dow Inc. (DOW) -1.7%
• General Electric (GE) -1.6%