U.S. stocks rose, sending the Standard & Poor's 500-stock index to its highest point since July 2, as the biggest decline in oil prices in three months allayed concern that fuel costs will slow earnings and economic growth.
Technology shares led gains after the chief executive of Texas Instruments said he was optimistic about demand for chips and a judge ruled that Oracle can proceed with its $7.7 billion hostile takeover offer for PeopleSoft.
The S&P 500 gained 5.54, or 0.5 percent, to 1123.92. The Nasdaq composite index, which gets 41 percent of its value from computer-related shares, added 24.66, or 1.3 percent, to 1894.31, a level not seen since July 20.
Alcoa said earnings will trail analysts' estimates, limiting the gain in the Dow Jones industrial average, which advanced 23.97, or 0.2 percent, to 10,313.07.
The S&P 500 and Dow had their fifth successive weekly gain, the longest streaks since January. The S&P 500 rose 0.9 percent and the Dow average was up 0.5 percent. The Nasdaq climbed 2.7 percent, for its third weekly advance in four.
Stocks also received a boost from a government report that showed an unexpected decline in an inflation measure last month. Prices paid to factories, farmers and other producers slid 0.1 percent, the Labor Department said. The core rate, which excludes food and energy, also lost 0.1 percent, the first drop since February.
Texas Instruments, which makes chips that supply half the world's mobile phones, added $1.17, to $21.94. Oracle, the world's third-largest software maker, added 53 cents, to $10.46. PeopleSoft, the No. 2 maker of business-management software, climbed $1.84, or 10 percent, to $19.79, for the steepest increase in the S&P 500.
Alcoa, the world's largest aluminum producer, shed $2.54, to $30.75.
The Dow Jones Transportation Average reached a five-year high, as a group of companies, including FedEx, won military flight contracts that may be worth as much as $2 billion, the Defense Department said. FedEx, which received a contract worth as much as $825.1 million to manage international movements of troops and military cargo, gained $1.71, to $85.66.
* The New York Stock Exchange composite index rose 23.99, to 6568.30; the American Stock Exchange index fell 0.62, to 1244.27; and the Russell 2000 index of smaller-company stocks rose 3.73, to 569.91.
* Advancing issues outnumbered declining ones by 3 to 2 on the NYSE, where trading volume fell to 1.26 billion shares, from 1.36 billion on Thursday. On the Nasdaq Stock Market, advancers outnumbered decliners by 7 to 4 and volume totaled 1.6 billion, down from 1.64 billion.
* The price of the Treasury's 10-year note rose 63 cents per $1,000 invested; its yield fell to 4.19 percent, from 4.20 percent Thursday.
* The dollar fell against the Japanese yen and the euro. In late New York trading, a dollar bought 109.50 yen, down from 109.77 late Thursday, and a euro bought $1.2271, up from $1.2194.
* Light, sweet crude oil for October delivery settled at $42.81, down $1.80, on the New York Mercantile Exchange.
* Gold for current delivery rose to $401.90 a troy ounce, from $398.50 on Thursday, on the New York Mercantile Exchange's Commodity Exchange.