Despite a record earnings season and strong recovery from losses after the U.S. credit downgrade last week, the Standard & Poor’s 500 Index was down just about 0.75% to under 1,200 in the morning session. Decliners outnumbered advancers by better than 4-to-1. There were 41 stocks hitting new lows in the morning, with only 17 reaching new highs. Trading more than 5.3% lower for the year, the S&P 500 is off more than 1.5% for the week despite three strong days in a row.

Disappointing earnings from Urban Outfitters (NASDAQ:URBN) had the retailer down more than 8%, about $2.40 lower to under $26. A strong retail report from July has Urban Outfitters up more than 8% for the week. An analyst note projected that sales and revenues will remain “weak” for Urban Outfitters for the rest of 2011.

Another retailer, Abercrombie & Fitch (NYSE:ANF), was lower by about $2, more than 3%, to under $68. Abercrombie & Fitch reports its earnings before the opening bell tomorrow, and a preview was not what Wall Street had expected. For the week, Abercrombie & Fitch is up about 18%.

News that legendary investor George Soros was trimming his holdings of financial shares in Citigroup (NYSE:C) had the stock trading lower by more than 2.5% to under $30.50, shedding about 50 cents per share. The financial sector is the worst-performing group in the market for 2011. Up almost 12% for the week, Citigroup is down almost 20% for the month and 25% for the quarter.

Forest Laboratories (NYSE:FRX) was up about a dollar, almost 4%, to over $35.70 on an announcement of an accelerated share repurchase program and continuing battle for control with Carl Ichan. Forest Laboratories is up more than 4% for the week. It also is trading more than 4% above its 200 day moving average.

Rebounding by almost 3%, about a dollar, was Gilead Sciences (NASDAQ:GILD). A “buy” recommendation from Summerstreet Research this morning took the stock to around $38.20 a share. Gilead also was added to JP Morgan’s focus list and issued new target estimates for earnings, all of which pleased Wall Street. Gilead is coming back from a month that has it down about 10%.

Also bouncing back was DeVry (NYSE:DV), the for-profit educator, gaining more than 75 cents per share to over $45, more than a 1.75% pickup in price. Declining enrollment had DeVry off earlier in the month, as it is down about 16% for the week. A favorable article this morning and rebound buying had the shares regaining lost ground.

Jonathan Yates does not own any of the stocks mentioned in this article.