NEW YORK (AP) â” Stocks are little changed in morning trading Friday, keeping the stock market on course for its first weekly drop in a month. Intel jumped after raising its revenue forecast for the second quarter.
KEEPING SCORE: The Standard & Poor’s 500 index was up two points, or 0.1 percent, at 1,932 as of 10:21 a.m. Eastern time. The Dow Jones industrial average rose 22 points, or 0.1 percent, to 16,755. The Nasdaq composite gained three points, or 0.1 percent, to 4,301.
COMING OFF THE HIGHS: After climbing to all-time highs at the start of the week, stocks have fallen back. The market is under pressure from lackluster economic reports and higher oil prices on the back of escalating violence in Iraq that threatens to disrupt supplies. The S&P 500 is down 1.1 percent for the week.
OIL: The price of crude continued to climb as Iraq’s widening insurgency raised concerns that exports from OPEC’s No. 2 oil producer could be hurt. The price rose 21 cents, or 0.2 percent, to $106.73 a barrel Friday. For the week, oil has risen 4 percent
OIL IMPACT: If the turmoil in Iraq continues and the price of oil keeps rising, U.S. growth in the second half of the year may fall short of current estimates, said David Lafferty, the chief market strategist for Natixis Global Asset Management.
FUEL COSTS: Airline stocks have taken a big hit from the rising price of oil because fuel makes up a large portion of carriers’ operating costs. United Continental’s stock is down 12.5 percent this week and American Airline’s has plunged almost 10 percent.
THE CHIPS ARE UP: Intel jumped $1.75, or 6.3 percent, to $29.71 after the world’s largest chipmaker said sales of computers for business have been stronger than expected, and raised its revenue forecast. The company now expects revenue of $13.4 billion to $14 billion in the second quarter.
DINNER FOR TWO: OpenTable jumped $33.38, or 47 percent, to $103.80 after Priceline agreed to buy the online restaurant reservation company for $2.6 billion. Priceline fell $12, or 1 percent, to $1,214.
10-YEAR: In U.S. government bond trading, the yield on the 10-year note rose to 2.62 percent early Friday from 2.60 on Thursday. The yield on a bond prices when its price falls.