Stocks turn higher, hit new trading record: (Fed esta semana)

[notiCIas]

Earnings from Ford, AT&T are OK, but nervousness ahead of Fed meeting makes for a volatile morning.

By Steve Hargreaves, CNNMoney.com staff writer
October 23 2006: 10:16 AM EDT


NEW YORK (CNNMoney.com) -- Stocks turned higher Monday but investors remain on edge ahead of a week packed with corporate earnings and a Federal Reserve meeting.

The 30-share Dow Jones Industrial Average (up 22.17 to 12,024.54, Charts) slipped about 0.1 percent just after the opening bell and then rose 0.5 percent.

The broader S&P 500 (down 0.10 to 1,368.50, Charts) and the tech-laden Nasdaq (up 0.85 to 2,343.15, Charts) composite both turned around aftera lower open.

Corporate earnings continued Monday, and results were generally solid.

Ford (up $0.01 to $8.02, Charts) reported a loss of 62 cents a share for its third-quarter, in-line with analysts' expectations.

AT&T (down $0.28 to $34.16, Charts) profit spiked to 63 cents a share, beating analyst projections of 58 cents.

Last week earnings were mostly positive as well, causing the Dow to breach the 12,000 mark for the first time.

But investors remain nervous as to whether the economy can handle a cooling period without slipping into recession and over the ever-present threat of inflation.

Earnings season continues in full swing this week, with reports due from broad sectors of the economy including autos, consumer goods and energy.

The Federal Reserve also is set to meet this week, which likely is adding to overall jitters. Central bank policymakers are widely expected to hold interest rates steady at 5.25 percent when they meet Tuesday and Wednesday.

Oil prices tumbled, sinking 83 cents to $58.50 a barrel in electronic trading.

Treasury prices were lower, rising the yield on the benchmark 10-year note at the 4.83 percent.

In currency trading, the dollar rose against the euro and the yen in early trading.

Stocks in Asia rose, with Tokyo's benchmark Nikkei average closing at its highest level since May. European shares fell in early mid-day trading.

Market breadth was negative. On the New York Stock Exchange, losers beat winners four to three on volume of 200 million shares. On the Nasdaq market decliners edged out advancers as 270 million shares changed hands.