Wall Street report: Friday close

INVESTORS betwixt and between seemed content to ride out the last trading day of the week without moving markets much one way or the other.

The Dow Jones Industrial Average, after fluctuating within a fairly tight range, closed up 43.63 points or 0.6% to 7986.02. The Nasdaq added 4.64 points or 0.4% to 1221.09. On the week, the Dow dropped 4% to its lowest levels since July and the Nasdaq retreated 5.4%. It was the fourth straight losing week for the major US markets.

The indecisive trading came after a volatile week and amid distortions in volume caused by 'triple witching' - the expiration of share options, futures and share index options.

The mounting list of uncertainties also prompted caution ahead of a weekend during which President Bush will be consulting allies on a timetable for possible military intervention in Iraq. Also in the investment equation are earnings jitters caused by a sluggish economy, continuing revelations about corporate misconduct and the US mid-term election in November which could bring a change of control to either or both arms of Congress.

Bleak earnings news was uppermost in the energy sector after Duke, a major power generator, said lower electricity prices had knocked its profit expectations. Duke shares fell $1 or 5% to $20.40.

Trading was mixed in companies which had warned of or reported diminishing returns earlier in the week. Computer services firm EDS, which lost more than half its value on Thursday following an earnings warning, recovered 59 cents or 3.4% to $17.79. Software maker Oracle slid another 12 cents or 1.5% to $7.99, fast food chain McDonald's regained 10 cents or 0.6% to $17.95, investment services giant JP Morgan came back 31 cents or 1.6% to $20.18 and rival Morgan Stanley closed higher by 52 cents or 1.5% to $34.42.

Citigroup, the giant financial services company, fell another 82 cents or 3% to $26.83 on reports that Nasdaq's enforcement arm was mulling action against the company's Salomon Smith Barney broker subsidiary on allegations that analyst Jack Grubman had misled clients.

Reports of negotiations by Verizon Wireless, 45%owned by Britain's Vodafone, to buy troubled Qwest Communications' mobile telephone interests received a mixed reaction. Vodafone's US shares rose 83 cents or 6.3% to $13.93. Verizon Communications, which owns the remaining 55% of Verizon Wireless, rose 23 cents or 0.8% to $29.66 after the company denied it had reached a deal.

Projections by mobile 'phone chip maker Qualcomm that demand would be strong in the fourth quarter for its advanced semiconductors helped its shares move up $2.34 or 9% to $28.08. US shares in handset makers Nokia gained 42 cents or 3.4% to $12.84 and Ericsson added 19 cents or 4% to 52 cents.

Among stronger components of the Dow were Walt Disney, higher by 43 cents or 3% to $15.24, and defence contractor United Technologies, up $1.03 or 1.8% to $58.23.