Stocks see gains for third week

U.S. stocks closed modestly higher Friday, giving the market its third straight week of gains.

Consumer staples and healthcare stocks were among the biggest gainers as investors assessed the latest company earnings and economic news.

After several weeks speculating about the implications of a slowdown in China and the timing of an interest rate increase by the Federal Reserve, traders are squarely tuned into company earnings as they hunt for insight into how the global economy is doing.

“That’s what the market is focused on,” said Quincy Krosby, a market strategist at Prudential Financial. “Are we seeing a pickup in demand overseas and in the United States, and if so, which sectors? That’s what this is about.”

General Electric rose 3%, the most in the Dow Jones industrial average, after the conglomerate reported earnings that beat analysts’ forecasts.

The Dow rose 74.22 points, or 0.4%, to 17,215.97. The Standard & Poor’s 500 index gained 9.25 points, or 0.5%, to 2,033.11. The Nasdaq composite added 16.59 points, or 0.3%, to 4,886.69.

The tech-heavy Nasdaq is up 3.2% this year. The Dow and S&P 500 are still negative. The Dow is down 3.4%, while the S&P 500 is off 1.3%.

The three major stock indexes began the day slightly higher, then wavered after midday. The indexes slipped into the red at times before drifting back into positive territory again.

Investors appeared to brush off some discouraging economic data, including a Fed report indicating that U.S. manufacturing production declined for the second straight month in September. A Labor Department report showed that employers advertised fewer job openings in August and kept hiring flat. The job market has weakened in the last two months, reflecting slower global economic growth.

Nine of the 10 sectors in the S&P 500 rose. Healthcare and consumer staples stocks each gained about 1%. The industrials sector declined 0.2%.

General Electric reported a decline in thirdquarter profit, but strong performances from its core units helped the company top Wall Street expectations. GE rose 95 cents, or 3.4%, to $28.98.

Mattel climbed 6% after analysts at Oppenheimer published a research note highlighting the toy maker’s core brands as a bright spot. The report came a day after Mattel reported disappointing third-quarter results. Mattel gained $1.36 to $23.89.

Third-quarter earnings are forecast to contract overall as falling energy prices and weak global demand eat into profits.