US stocks ended higher on Friday after Ford Motor Co raised its earnings forecasts but gains on the Nasdaq were checked after wireless technology provider Qualcomm Inc said an accounting review may reduce pre-tax income.
Oil stocks rose as crude oil futures surged almost $2 a barrel to their highest close in more than three weeks amid concerns over how Hurricane Ivan and new storms might affect oil production.
Some analysts worried that higher oil prices would hurt economic growth and cut into corporate profits outside the energy sector.
Exxon Mobil Corp rose 1.7 percent to $48.37 and ChevronTexaco Corp climbed 1.9 percent to $51.95. October crude on the New York Mercantile Exchange settled up $1.71, or 3.9 percent, at $45.59 a barrel. "Oil continues to move higher - this has been a stormy month and there's another one coming after Ivan," said Michael Murphy, managing director at Wachovia Securities.
The Dow Jones industrial average was up 39.97 points, or 0.39 percent, at 10,284.46.
The Standard & Poor's 500 Index was up 5.05 points, or 0.45 percent, at 1,128.55.
The technology-laced Nasdaq Composite Index was up 6.01 points, or 0.32 percent, at 1,910.09.
It was the S&P 500's highest weekly close since June 27.
Trading in stock markets was active due to "quadruple witching" - a term used to describe the expiration of four different options and futures contracts - on Friday.
About 1.4 billion shares changed hands on the New York Stock Exchange, equal to the 1.4 billion daily average for last year. About 1.6 billion shares were traded on Nasdaq, just under the 1.69 billion daily average last year.
On the NYSE, the number of stocks on the rise outnumbered those on the decline by about 7 to 5. On Nasdaq, declining issues were about equal to advancers.
General Electric Co rose two percent to $34.22 after Prudential Equity Group recommended investors buy shares of GE ahead of an expected rebound in
the conglomerate's energy business. Altria Group Inc fell almost 1 percent to $48.48, making it one of the biggest drags on the blue-chip Dow Jones index.
The Los Angeles Times reported that California's top court has for the first time upheld a damages award in a smoking and health case.
The newspaper said the court dismissed an appeal by Altria's Philip Morris USA of a $10.5 million judgment won by a lung cancer victim and longtime Marlboro cigarettes smoker.
Internet conglomerate InterActiveCorp rose almost 7 percent to $23.50 on market rumours that Chief Executive Barry Diller was taking the company private, analysts said.
A spokeswoman for InterActiveCorp declined to comment.
Alpharma Inc rose 10 percent to $18.95 after a federal appeals court cleared the way for Alpharma to launch a generic form of Pfizer Inc's Neurontin capsules to treat epilepsy.
Ford was up 27 cents, or 1.9 percent, to $14.22 on the New York Stock Exchange. Qualcomm shares fell $1.57, or 3.9 percent, to $38.83.
Cisco Systems Inc also dragged on technology stocks after the maker of gear that routes traffic on the Internet was downgraded by Lehman Brothers. Its stock fell more than 2 percent to $19.16.
Circuit City Stores Inc, the No. 2 US electronics chain, was up 61 cents, or 4.3 percent, at $14.72 after it reported a smaller quarterly loss.
Orthopaedic device maker Biomet Inc rose 3.7 percent to $47.47 after the firm reported higher quarterly earnings excluding items on higher sales of hip and knee replacements.
Sealed Air Corp dropped more than 9 percent to $45.49 a day after the Bubble Wrap and packaging firm cut its full-year profit forecast because of lower sales to the US beef market and rising raw materials costs.