NEW YORK >> Investors vacillated between jitters about a possible war with Iraq and optimism from upbeat economic news for much of the day, finally sending the market's gauges higher in the final minutes of trading. The gains weren't enough to save most stocks from their third straight monthly declines. Stocks rise today,
post monthly lossesBy Amy Baldwin
Associated PressAnalysts remain dubious of Wall Street's ability to forge an upward path in the face of uncertainty about Iraq.
"I don't think there are any bits of good news sufficient enough to really drive the market higher on a sustained basis," said Richard A. Dickson, senior market strategist at Lowry's Research Reports in Palm Beach, Fla.
Rallies have been short-lived so far this year, often lasting only a day or fizzling out midway through a session. Investors are expected to continue holding back until it's clearer if and when there will be a war with Iraq and what impact it will have on the U.S. economy.
Advancing issues outnumbered decliners nearly 4 to 3 on the New York Stock Exchange, where trading volume was light.
The Dow Jones industrial average inched up 6.09, or 0.1 percent, to 7,891.08. Earlier, the Dow rose as much as 80.81.
The broader market was mixed. The Nasdaq composite index advanced 13.60, or 1 percent, to 1,337.54. The Standard & Poor's 500 index advanced 3.87, or 0.5 percent, to 841.15. The Russell 2000 index slipped 0.91, or 0.3 percent, to 360.52.
Most stocks ended the month with their third straight monthly declines as the Dow shed 2 percent and the S&P fell 1.7. However, the Nasdaq managed to gain 1.3 in February.
The price of the Treasury's 10-year note was up 11/32 point, while its yield fell to 3.70 percent from 3.74 percent late yesterday. Two-year Treasury notes gained 1/16 point to yield 1.52 percent, down from 1.57 percent yesterday.
Wall Street was encouraged by news that the U.S. economy, as measured by gross domestic product, grew at a 1.4 percent rate in the fourth quarter -- twice as fast as the government first estimated last month. While the performance, reported by the Commerce Department, is still considered below par, it showed that the economic recovery didn't languish as much as previously thought.
Technology was the market's strong suit today with such winners as IBM, up 67 cents at $77.95, and Intel, up 56 cents at $17.26.
But handheld computer maker Palm Inc. fell $1.46, or 11.2 percent, to $11.60 after announcing it would immediately lay off 19 percent of its nearly 1,170 workers. A spokeswoman said the across the board work force reduction would be completed today, which marks the end of Palm's fiscal third quarter, and is a reflection of the economy.
Overseas, Japan's Nikkei stock average finished essentially flat, rising just 0.04 percent. In Europe, France's CAC-40 rose 1.4 percent, Britain's FTSE 100 advanced 2.4 percent and Germany's DAX index gained 1.4 percent.
STOCK QUOTES/CHARTS/DATA
