Stocks edge up as oil prices rebound

U.S. stocks again ticked higher Thursday as the continuing rebound in oil prices gave energy companies a lift. The gains were modest, however, as investors have been avoiding big moves. The dollar weakened further, and against the yen it’s at its lowest in almost three years.

Energy companies were a standout as the price of U.S. oil reached its highest level since the beginning of July. The weakening dollar helped exporters, including technology and chemical companies. Phone companies and financial firms continued to slump. Stocks haven’t made many big moves over the last month.

Benchmark U.S. crude rose 3.1% to $48.22 a barrel. Brent crude, used to price international oils, rose 2.1% to $50.89 a barrel.

The dollar fell to 99.98 yen, its lowest level since October 2013. The euro rose to $1.1354 from $1.1290. A dollar was worth about 120 yen at the start of the year and has been gradually weakening. A weaker dollar is good for U.S. exporters such as chemical, mining and tech firms.

Wal-Mart Stores climbed 1.9% to $74.30. The world’s largest retailer raised its annual estimates after reporting strong results for the second quarter. The company is revamping stores and has won back some customers.

Internet gear maker Cisco Systems slipped 0.8% to $30.48. On Wednesday the San Jose company reported unimpressive quarterly results and said it would lay off about 7% of its staff.

Prison operating companies nosedived after the Justice Department said it would end or sharply reduce contracts with the companies. Corrections Corp. plunged 35.5% to $17.57 and Geo Group dived 39.6% to $19.51. The two companies each get about half their revenue from contracts with the federal government. However, the new policy does not cover private detention facilities used by Immigration and Customs Enforcement, and both companies operate those facilities.

Harley-Davidson stock skidded after the U.S. government said the motorcycle company made racing tuners that caused some bikes to emit excessive pollutants. The shares dropped as much as 8% but recovered somewhat after the Justice Department said Harley-Davidson agreed to settle the case. The stock closed down 1.7% at $53.54.

Bond prices inched higher and the yield on the 10-year Treasury note fell to 1.54% from 1.55%.

Gold rose $8.40 to $1,357.20 an ounce. Silver climbed 9 cents to $19.74 an ounce and copper increased 2 cents to $2.17 a pound.

Wholesale gasoline rose 4 cents to $1.49 a gallon. Heating oil edged up 4 cents to $1.53 a gallon. Natural gas rose 6 cents to $2.67 per 1,000 cubic feet.