NEW YORK (CNNMoney.com) -- Technology led a broader market selloff Friday morning, as investors shed some of the stocks that fueled the recent rally, due in part to revived worries about the economic slowdown.

The Nasdaq composite (down 16.68 to 2,221.07, Charts) lost about 0.9 percent around an hour into the session.

The Dow Jones industrial average (down 23.93 to 11,509.30, Charts) and the Standard & Poor's 500 (Charts) index both saw smaller declines.

Stocks slumped Thursday after a weak reading on manufacturing in the Philadelphia area sparked worries about the economy - and gave investors a good reason to back track after the recent rally.

That negativity continued Friday morning, with the technology sector feeling the brunt of the selloff. Even a reversal in the price of oil - which turned lower - failed to help the market.

Stocks have rallied over the last few weeks in response to lower oil prices and relief that the Federal Reserve Board seems to be set to keep interest rates unchanged for now. That rally had pushed the Dow to within 110 points of its all-time high from 6-1/2 years ago and had left the S&P 500 not far from a 5-1/2 year high.

Treasury prices rose for a second session Friday, lowering the yield on the benchmark 10-year note to 4.60 percent from 4.64 percent late Thursday. Bond prices and yields move in opposite directions.

In corporate news, KB Home (up $0.54 to $43.59, Charts) reported quarterly revenue Friday morning that rose from a year earlier and topped estimates, on home sales that slumped from the prior year. The company did not release quarterly earnings, due to an ongoing internal probe of its stock option grants.

The homebuilder also said a difficult market was unlikely to improve in the future, echoing the concerns of others in its industry.

Boston Scientific (down $1.69 to $14.67, Charts) warned late Thursday that third-quarter sales and earnings will miss forecasts due to weakness across most of its businesses. The medical device maker also warned that sales of its top-selling drug coated stent will fall from last quarter and miss estimates. Shares tumbled 10 percent Friday morning.

Late Thursday, Nike (up $3.04 to $85.50, Charts) reported quarterly earnings that fell from a year earlier but nonetheless beat estimates. The shoe retailer jumped in Friday trade.

Market breadth was negative. On the New York Stock Exchange, losers beat winners five to two on volume of 310 million shares. On the Nasdaq, decliners beat advancers three to one on volume of 420 million shares.

U.S. light crude oil for November delivery turned negative, falling 80 cents to $60.77 a barrel on the New York Mercantile Exchange.

COMEX gold for December delivery rose $4.70 to $593 an ounce.

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