By Kate Gibson, MarketWatch
NEW YORK (MarketWatch) -- U.S. stocks pulled mainly higher on
Friday, with the S&P 500 on track to tally its longest monthly
win streak since 2009, as investors sorted through mixed economic
reports.
"The numbers paint the same picture we've seen for a while. The
economy is growing, albeit we'd love 5% GDP, but the 2.5% GDP is a
fine level; most CEOs say they can continue to make money," said
J.J. Kinahan, chief strategist at TD Ameritrade.
After falling by as much as 60 points and rising as much as 62,
the Dow Jones Industrial Average (DJI) was lately up 7.06 points at
15,331.59.
Intel Corp. (INTC) led gains that included 18 of the blue-chip
index's 30 components. Intel's gains came a day after Reuters
reported Samsung Electronics had picked an Intel processor to power
a new version of one of its tablets.
The S&P 500 index (SPX) declined nearly 1 point to 1,653.79,
with consumer staples and energy hardest hit and utilities and
technology faring best among its 10 industry groups.
Up 3.5% for the month so far, the S&P 500 is poised for its
seventh monthly advance, which would mark its longest monthly win
streak since one ending September 2009.
"I think bulls would consider it a victory to come out of today
with even a small loss. There has been so much pressure from Asia
all week and yet the S&P has hung in there," said Kinahan.
The U.S. dollar (DXY) on Friday fell to a three-week low against
the Japanese yen (USDJPY), with the American currency on track for
an eighth straight month of gains versus the yen. Expectations of
monetary easing moves by the Bank of Japan is expected to result in
further softening of Japan's currency.
The Nasdaq Composite (RIXF) gained 4.06 points to 3,495.35
Decliners outran advancers on the New York Stock Exchange, where
nearly 313 million shares traded as of 1:30 p.m. Eastern.
Composite volume neared 1.8 billion.
Equities shed their losses and turned higher after the release
of the Thomson Reuters/University of Michigan's final index of
consumer sentiment, which climbed to 84.5 for May, topping
forecasts and the highest level since 2007.
"The consumer sentiment is very encouraging for the market
overall; we had a quick bounce when that number came out," said
Kinahan at TD Ameritrade.
Casting the largest chunk of the U.S. economy on uncertain
footing, the Commerce Department on Friday reported household
purchases declined 0.2% last month, following a 0.1% rise in March;
incomes were static.
Equity futures held their drop after the spending report.
Separately, the Chicago PMI jumped to 58.7 in May, its best
reading in more than a year.
Dell Inc. (DELL) rose 1% as founder Michael Dell, the computer
maker's board of directors and its private-equity partners faced a
lawsuit by shareholders contesting Dell's effort to take the
company private.
Dell on Friday urged shareholders to vote for the $24.4 billion
buyout offer led by CEO Dell at a special meeting July 18, calling
it better than other options.
Among movers, Krispy Kreme Doughnuts Inc. (KKD)climbed after the
doughnut maker beat first-quarter profit and revenue estimates and
raised its outlook for the year.
U.S. stocks gained on Thursday as reports on economic growth and
jobless claims heightened thinking that the Federal Reserve would
continue its level of monthly bond purchases.
The central bank's monetary easing is a major factor in the bull
market, now in its fourth year.
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