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Stocks break weekly winning streak

Friday, June 13, 2014 - 02:23

June 13 - Intel guides market higher, but Iraq worries constrain buying and lead to weekly stock drop; Oil prices touch $107; Priceline buying OpenTable; International Game Technology courted - sources. Conway G. Gittens reports.

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PLEASE NOTE: THIS EDIT CONTAINS CONVERTED 4:3 MATERIAL The S&P 500 put a stop to its longest losing streak since April, but the situation in Iraq is keeping investors on edge. The Dow, the S&P 500 and the Nasdaq each edged higher, led by tech and energy. But, blue chips had their first weekly fall in a month, while the Nasdaq down for the first week in five. Violence in Iraq - looming large, especially when it comes to crude oil traded in New York and Brent crude traded in London. Jeff Grossman is president of BRG Brokerage. SOUNDBITE: JEFF GROSSMAN, PRESIDENT, BRG BROKERAGE (ENGLISH) SAYING: "We are still very sensitive to what goes on in the Middle East. There is no question that spills over and that's reflected in the Brent price usually and the Brent price is tied in with our price. There is no question it is a global market. Everything is inter related. So what goes on there affects us also." Crude oil prices touched $107 a barrel in New York for the first time in nine months. Intel kept a floor under stocks one day after boosting full-year guidance. The chip giant says personal computer demand from businesses is turning out to be stronger than anticipated. Shares of Intel jumping almost 7 percent, closing in on 30 bucks, highs not seen since in more than 10 years. Priceline.com is buying online reservation website OpenTable for $2.6 billion. The name-your-price travel website is adding OpenTable to a growing stable of websites including Kayak and rental.com as it looks for growth outside of its traditional segment. Shares of Priceline - down for the day but OpenTable surged on hopes of an even higher price tag. Websites like Yelp, GrubHub and Groupon also rallied on hopes they might become takeout candidates. In reaction to other potential deal making -shares of International Game Technology, a Las Vegas slot machine operator, rallying more than 10 percent. Sources say Italy's GTech and billionaire Ron Perelman's MacAndrews and Forbes Holdings are in a race to buy IGT. Producer prices fell slightly in May, a pullback after forging ahead the previous two months. The report does little to alter suggestions the economy is heating up. Consumer attitudes, however, cooling slightly in June. In Europe, Bank of England Governor Mark Carney -suggesting UK interest rates could rise earlier than thought. Shares were down in the UK as well as Germany and France.