MARKET SNAPSHOT: Stocks Wobble As Mixed Economic Data Assessed

By Kristina Peterson

U.S. stocks wobbled between small dips and gains on Friday, as investors waded through mixed data on consumer spending and sentiment.

The Dow Jones Industrial Average (DJI) was down 7 points, or 0.1%, at 10,605, in recent trading. Pfizer (PFE) fell 1.6% after the drug manufacturer said it ended a late-stage trial for its experimental lung-cancer drug called figitumumab.

In addition, Pfizer said two late-stage studies of its advanced breast cancer drug Sutent failed to meet their primary endpoints.

United Technologies (UTX) shed 0.9%. The company reaffirmed its earnings guidance for this year and accelerated the margin target for its Hamilton Sundstrand aerospace unit, but its forecast of operating profit at the Otis elevator business was cut.

Keeping the losses in check, several economically-sensitive stocks climbed after the February retail sales data. Caterpillar (CAT) rose 2.1%, while American Express (AXP) climbed 1.8% and McDonald's (MCD) was up 0.4%.

The Nasdaq Composite (RIXF) dropped 0.2%, while the Standard & Poor's 500-stock index (SPX) declined 0.1%. The S&P 500's health-care and utilities sectors weighed, while materials and financial sectors climbed.

Investors said competing consumer data points were likely contributing to the market's muddle.

The Commerce Department reported Friday that U.S. retail sales rose by 0.3% in February. Economists had expected a 0.3% decrease. However, the preliminary University of Michigan/Reuters consumer sentiment index fell to 72.5, from 73.6 in February. Economists had anticipated it would grow to 73.8. .

Meanwhile, the Commerce Department reported U.S. business inventories were unchanged in January, reflecting tepid sales and increasing stocks of automobiles and other goods. Wall Street economists had forecast inventories would rise by 0.1%.

"I think the market's having a hard time digesting which one to focus on," said Bob Froehlich, senior managing director at The Hartford. Froehlich said the solid growth in retail sales, despite winter blizzards, overshadowed the slip in consumer sentiment.

"Clearly the consumer has turned the corner, which bodes really well for the next quarter," he said.

Investors also lauded President Barack Obama's reported plan to nominate San Francisco Fed President Janet Yellen as vice chairman of the Federal Reserve. Known as a strong supporter of Fed Chairman Ben Bernanke's low-interest-rate policy to fight the deep economic downturn, Yellen would replace Donald Kohn as Fed vice chair when the central bank veteran's term expires in late June.

Among stocks in focus, Charles Schwab (SCHW) dropped 2.5% after the discount brokerage warned first-quarter earnings will fall short of fourth-quarter levels as it continues to face revenue pressures and expects higher costs.

Aeropostale (ARO) climbed 5.3%. The teen retailer's fourth-quarter earnings rose 42% on better margins and continually strong sales, and its earnings outlook for the fiscal first quarter and year trumped analysts' estimates.

American depositary shares of Yara International ASA of Norway (YARIY) jumped 6.7% as the company formally gave up its pursuit of Terra Industries Inc. (TRA), which then accepted a rival bid from CF Industries Holdings Inc. (CF). Terra shares fell 1.4%, while CF shares dropped 4.1%.

In other markets, the dollar weakened against both the euro and the yen. Crude-oil prices slid below $82 per barrel, while gold futures also declined. Treasurys were mixed, with the two-year note (UST2YR) flat to yield 0.956% and the 10-year note (UST10Y) up 8/32 to yield 3.697%.