U.S. stocks closed

U.S. stocks slipped, with benchmark indexes near records, before data Friday that may show the economy contracted in the first quarter while investors watch for progress on Greek debt talks.

Greece's international creditors have since lined up to say that the two sides are still far apart on a debt-relief deal before a payment deadline next week. While Greece isn't on the G-7's official agenda, the topic may dominate discussions on the sidelines, as ministers from the world's biggest economies urged a resolution of the crisis to stop it from spilling beyond Europe's borders.

Meanwhile, investors continue to assess economic reports for clues on the timing of a Federal Reserve interest-rate increase. Data today showed jobless claims increased by 7,000, but remained below 300,000 for the 12th straight week. In a separate report, a measure of pending home resales climbed more than forecast to the highest level in nine years.

A report due Friday may also show the U.S. economy contracted in the first quarter, according to economists' estimates, compared with a prior reading showing growth. Fed policy makers are preparing to raise rates that they've held near zero since December 2008, with economists expecting a first increase in September, according to a survey.

Fed Bank of San Francisco President John Williams said Thursday the U.S. will likely raise rates later this year as the world's biggest economy recovers from a weak first quarter. His comments echo those of Fed Chair Janet Yellen, who said last week she still expects to raise borrowing costs this year if the economy meets her forecasts, with a gradual pace of tightening to follow.

Global markets retreated Thursday after Chinese stocks plunged the most in four months, as brokerages tightened lending restrictions and the central bank drained cash from the financial system.