SDF has been used with retraction cord and there aren’t any known interactions with the hemostatic agent.  However, the clinicians that I know that have done this decided not to do them again after seeing the stain caused by the retraction cord.  The cord will absorb and spread the SDF all the way around the tooth, and onto the gingival, leaving black stains on the entire surrounding gingival (which is temporary).
I recommend using the retraction cord first, then removing and using SDF after while the soft tissue is still slightly retracted from the tooth, but no cord is present.