New York – Wall Street ended an erratic session little changed Thursday as strength in energy stocks offset weak manufacturing data and a disappointing forecast from Wal- Mart Stores Inc.
Big oil companies were bolstered by a five-session rally in the price of crude, which is trading at its highest point since mid-September. Light, sweet crude was up 41 cents at $62.87 on the New York Mercantile Exchange.
However, the markets were weighed down by a disappointing reading of the Chicago Purchasing Managers index, which fell to 49.9 in November from 53.5 in October and pointed to slowing Midwest manufacturing. A reading below 50 suggests economic contraction; it was the first reading below 50 since April 2003.
Also curbing the market’s advance was Wal-Mart’s announcement that sales at stores open at least a year, an important retail benchmark known as same-store sales, would likely be flat to up 1 percent in December.
The forecast from the world’s largest retailer raised concerns about the health of consumer spending.
“Some of what we’re seeing is a lot of people who are making a year-end play, setting themselves up for next year,” said Doug Johnston, head of U.S. trading at Boston-based Canaccord Adams. “Big investors are going to peel out the stocks that have been losers and begin to go with the momentum trades.”
The Dow Jones industrial average fell 4.80, or 0.04 percent, to 12,221.93. Broader stock indicators were mixed.
The Standard & Poor’s 500 index rose 1.17, or 0.08 percent, to 1,400.65, and the Nasdaq composite index fell 0.46, or 0.02 percent, to 2,431.77.
Bonds rose, with the yield on the benchmark 10-year Treasury note falling to 4.46 percent from 4.52 percent late Wednesday.
