S&P above 5,000 but most markets little changed as investors track earnings
Wall Street's broad-based S&P 500 appeared headed to closing Friday above the 5,000-point mark for the first time but most global stock markets were little changed as traders digested company results and interest rate outlooks.
As has been the case recently, major U.S. tech stocks were mostly higher on the back of largely positive earnings reports this week. That penalised Europe, which has fewer such tech giants.
"While several US stock indices are trading in new record highs, their European peers find it difficult to keep up," said Axel Rudolph, Senior Market Analyst at online trading platform IG.
The narrower Dow was lower in midday trading but the tech-heavy Nasdaq advanced almost one percent. The S&P 500 had briefly touched 5,000 points Thursday, and opened above it Friday.
"There aren't many macro factors exerting undue influence on the equity market, which has been pre-occupied mostly with individual stock moves and the resilience to selling efforts despite a growing belief that the market -- or the mega-cap stocks at least -- seems due for a pullback," said Briefing.com.
Recent labour and price data in the United States underscored the resilience of the world's largest economy, helping to overcome Federal Reserve warnings that interest rates will not come down as early as hoped.
Figures released Thursday showing below-expectation US jobless claims reinforced the view that the labour market remains in good health despite interest rates sitting at two-decade highs.
But the figures also gave the central bank room to hold borrowing costs where they are for longer. The Fed hiked rates to a two-decade high last year in efforts to tame inflation.
December's consumer price index was revised downward Friday to 0.2 percent on a monthly basis from 0.3 percent previously. Traders now turn their attention to the January CPI next week.
Among individual stocks, Expedia shares dropped almost 20 percent as it reported lower earnings compared with the year-ago period.
PepsiCo fell more than 3 percent after the snacks and soft drinks company reported a drop in fourth-quarter sales.
London fell for the third day in a row ahead of a slew of UK economic data next week, and AstraZeneca continued its slide on what the market interpreted as disappointing results.
Paris closed slightly lower as cosmetics company L'Oreal fell more than seven percent after it reported disappointing fourth quarter earnings.
But luxury giant Hermes bucked the trend, rising almost five percent after posting record annual sales and net profit, propelling it above L'Oreal as France's second biggest company in terms of market value.
Stock markets in Milan, Brussels and Amsterdam inched higher.
Oil prices were little changed after rising most of the week on the back of Middle East tensions and tighter US gasoline stocks.
"The price surge is likely to continue if tensions remain high in the region," said IG's Rudolph.
- Key figures around 1640 GMT -
New York - Dow: DOWN 0.4 percent at 38,587.72 points
New York - S&P 500: UP 0.3 percent at 5,011.44
New York - Nasdaq: UP 0.9 percent at 15,942.65
London - FTSE 100: DOWN 0.3 percent at 7,572.58 (close)
Paris - CAC 40: DOWN 0.2 percent at 7,647.52 (close)
Frankfurt - DAX: DOWN 0.2 percent at 16,926.50 (close)
EURO STOXX 50: UP 0.1 percent at 4,715.87 (close)
Tokyo - Nikkei 225: UP 0.1 percent at 36,897.42 (close)
Hong Kong - Hang Seng Index: DOWN 0.8 percent at 15,746.58 (close)
Shanghai - Composite: Closed for a holiday
Euro/dollar: UP at $1.0785 from $1.0781 on Thursday
Dollar/yen: UP at 149.37 yen from 149.30 yen
Pound/dollar: UP at $1.2634 from $1.2620
Euro/pound: DOWN at 85.39 pence from 85.40 pence
West Texas Intermediate: UP 0.3 percent at $76.41 per barrel
Brent North Sea Crude: DOWN 0.1 percent at $81.60 per barrel
burs-lth/gv/giv
Jensen--RTC
