By Kate Gibson, MarketWatch –
NEW YORK — U.S. stocks mostly declined Friday, limiting weekly gains and halting the Dow’s longest up ride in more than a year, after an index of consumer confidence unexpectedly fell in March.
“The data was mildly disappointing, but it’s important not to read too much into one number. There was nothing too concerning considering the strong data we’ve seen over the last couple of weeks,” said Brad Sorensen, director of market and sector analysis at the Schwab Center for Financial Research.
Up 2.4 percent for the week, the Dow Jones industrial average fell 20.14 points, or 0.2 percent, to 13,232.62. Friday’s loss halted a seven-session climb by the Dow, its longest winning streak since February 2011.
The S&P 500 added 1.57 point, or 0.1 percent, to 1,404.17, with energy leading sector gains and utilities losing the most ground among its 10 major industry groups. The index also rose 2.4 percent from the week-ago close.
The Nasdaq composite declined 1.11 points to 3,055.26, also rising 2.4 percent for the week.
Shares of Apple Inc. finished nearly unchanged at $585.57 as the technology giant’s third-generation iPad went on sale Friday.
Crude prices rose, with oil futures for April delivery rising $1.95 to end at $107.06 a barrel on the New York Mercantile Exchange.
The University of Michigan/Thomson Reuters confidence gauge, in a preliminary reading for March, reported sentiment dipping to 74.3 in March, its first decline since August. “We can of course point our finger directly at gasoline prices, which are up another 7 cents week over week,” said Miller Tabak equity strategist Peter Boockvar.
But “energy costs for the consumer are not what it would seem with the increase in gas prices,” said Sorensen, who adds that the rise in prices at the pump has been offset by the sharp drop in the cost of natural gas.
Americans also spent less heating their homes during the mild winter, and are already driving less to reduce the money spent filling their tanks, Sorensen noted.
Ahead of the opening bell, the Labor Department reported consumer prices rose less than expected last month, rising 0.4 percent versus expectations of a 0.5 percent increase. Core prices that remove volatile food and energy costs rose 0.1 percent versus expectations of a 0.2 percent uptick.
“The CPI is for many, the all-important measure of consumer prices throughout the economy and when viewed that way, the less-than-expected gain in core prices will be a welcome development,” said Dan Greenhaus, chief global strategist at BTIG LLC.
Other economic reports Friday had the Federal Reserve reporting the output of U.S. factories, mines and utilities held flat in February, while January production was revised to a 0.4 percent increase from an initial estimate of unchanged.
