Stocks closed little-changed in moderate trading Monday, as U.S. investors registered a muted reaction to the weekend’s increase in hostilities in the Middle East.
Indeed, commodity prices, including oil and gold, fell, as traders banked gains scored last week when Israel and the Hezbollah faction in Lebanon began trading shots.
Treasury securities, which rallied as a safe haven last week, slipped.
Traders awaited events that could move markets later this week, including monthly reports on wholesale and consumer prices, and congressional testimony Wednesday and Thursday by Federal Reserve Board Chairman Ben Bernanke.
The Dow Jones industrial average added 8.01 points, to 10,747.36, thanks to Chicago-area Dow components Boeing and McDonald’s.
McDonald’s jumped $1.68, to $34.72, after issuing a stronger-than-expected second-quarter financial forecast.
Boeing added $1.70, to $78.95, though the aircraftmaker withdrew a premature announcement of a $4.9 billion order by Qatar Airways.
Another local stock, industrial distributor W.W. Grainger, sank $10, or nearly 14 percent, to $63. Chief Executive Richard Keyser said earnings growth for 2006 was on track from previous estimates, but sales would be hurt by “some softening” in North American economic growth.
Disappointing quarterly results by banking giant Citigroup and lower prices for major oil stocks, reflecting the day’s decline in crude oil futures, left the Standard & Poor’s 500 index slightly lower, down 1.71, at 1234.49. The Nasdaq composite index inched up 0.37, to 2037.72.
New York Stock Exchange volume reached 1.46 billion shares. Nasdaq volume totaled 1.52 billion. Losers topped winners by about a 3-2 ratio among NYSE-listed and Nasdaq stocks.
Treasury auction: Interest rates were mixed at Monday’s weekly auction of 3- and 6-month Treasury bills. The discount rate for 3-month bills was 4.96 percent, up from 4.92 percent at last week’s auction. The rate for 6-month bills was 5.09 percent, down from 5.10 percent.
The coupon-equivalent investment rates at Monday’s auction were 5.10 percent for 3-month bills and 5.30 percent for 6-month bills.
