US stocks eke out gain as utilities rise

Associated Press

NEW YORK

A late push helped U.S. stocks finish higher Friday after indexes spent most of the day lower. There was far more selling than buying on Wall Street overall, but the Dow Jones industrial average managed to extend its winning streak to an 11th day.

Energy companies and banks struggled. Investors continued to buy safer assets such as government bonds, gold and stocks that pay large dividends, such as utility and telephone companies. That’s been a familiar pattern over the last few days.

After a long string of gains earlier in February, stocks wobbled this week and bond prices jumped, which sent yields down. That hurts banks by forcing rates on mortgages and other kinds of loans lower.

Strategist Jerry Lucas of UBS Wealth Management said a number of factors weighed on stocks Friday. That includes political considerations in the U.S., such as questions about President Donald Trump’s upcoming tax-reform proposal and impending elections and corporate earnings in Europe.

“It’s the uncertainty of what the ultimate tax package will be ... and how long it will take that package to pass,” said Lucas. “The markets don’t like all of this uncertainty.”

Bond prices sank again. The yield on the 10-year Treasury note slid to 2.32 percent from 2.39 percent. Investment banks and insurers traded lower as well.

Investors bought utility stocks and phone company stocks, which pay large dividends similar to bonds. Exelon gained $1.20, or 3.3 percent, to $37.18 and NextEra Energy rose $2.77, or 2.2 percent, to $130.96. AT&T picked up 41 cents, or 1 percent, to $42.36.