Meanwhile, crude futures slipped more than 2% to settle under $87 a barrel.
U.S. Oil Fund (NYSEArca: USO) lost 2.4% on fears a slowing economy will sap demand for energy.
In bond ETFs, iShares Barclays 20+ Year Treasury Bond (NYSEArca: TLT) rallied more than 3% on Friday and set a new 52-week high.
Max Chen contributed to this article.