U.S. stocks tumbled Friday after the Federal Reserve's most closely watched inflation measure came in stronger than expected, in another sign that price pressures have become sticky into 2023.

The S&P 500 (^GSPC) sank 1.1%, while the Dow Jones Industrial Average (^DJI) plopped more than 300 points, or 1%. The technology-heavy Nasdaq Composite (^IXIC) slid 1.7%. Friday marked the worst week for the S&P 500 and Nasdaq since December.

U.S. Treasury yields scrambled higher following the reading. The 2-year note surged 12 basis points to 4.81% while the 10-year note gained 7 basis points to top 3.95%.

The Personal Consumption Expenditures (PCE) price index — the Fed's preferred assessment of how quickly prices are rising across the economy — rose 0.6% in January and 5.4% from last year. On a "core" basis, which strips out volatile food and energy components, prices rose 0.6% for the month and 4.7% from last year.

The report from the Commerce Department also showed that consumer spending rose 1.8% last month from December after falling the previous month.

The numbers support recent indications inflation is not falling at the pace and extent investors have been hoping for, even as prices have stabilized from the peaks of the current inflation cycle.