Investors were disappointed by the latest reading on the U.S. economy, which showed the economy grew slower than expected in the first quarter.
U.S. stock futures added to earlier declines following the GDP report.
The government said GDP grew at an annual pace of 2.5% in the first quarter. That fell short of the 2.8% economists were predicting and up from a measly 0.4% in the fourth quarter of 2012.
Meanwhile, investors continue to parse through mixed earnings reports.
Chevron reported better-than-expected earnings, but revenue fell short of forecasts.
D.R. Horton's stock price surged in premarket trading after the home builder reported a near doubling of quarterly net income on Friday, riding the wave of the recovering housing market.
Burger King Worldwide reported a slump in revenue, including same-store sales, but an increase in net income.
Starbucks came under pressure after issuing downside guidance for the current quarter and reaffirming its revenue outlook for the year.
J.C. Penney shares surged after hedge fund mogul George Soros said late Thursday that he had taken a 7.9% stake in the ailing retailer.
Amazon shares dipped after the online retailer reported a profit decline.
U.S. stocks closed slightly higher Thursday.
European markets were easing back in midday trading, on the heels of three consecutive trading days of significant gains. The Euronext 100 index declined by roughly 1%.
Asian markets ended mixed. The Shanghai Composite declined 1.0% and the Hang Seng added 0.7%.
The Nikkei lost 0.3% after the Bank of Japan said it would maintain its stimulus program. A separate report showed prices fell 0.5% last month in Japan, underscoring the monumental task facing policymakers as they attempt to reverse 15 years of deflation.