Disappointing first-quarter profits, surging oil prices and new geopolitical fears pulled stocks lower Friday as investors, fearing further economic slowdown, collected profits from the previous session's rally.


The Dow Jones Industrial Average fell 60.89, or 0.6 percent, to 10,157.71. The Standard & Poor's 500 Index was down 7.83, or 0.7 percent, at 1,152.12. The Nasdaq Composite Index lost 30.22, or 1.5 percent, to 1,932.19.


Disappointing quarterly results from retailers and manufacturers, including Maytag Corp. and Costco Wholesale Corp., had investors worrying about a cutback in consumer spending that could derail corporate profits. Rising oil prices added to the anxiety. Crude futures jumped $1.19 to settle at $55.39 a barrel, fueled by a terrorist attack in Saudi Arabia and refinery problems in the U.S. that triggered supply concerns.


And stocks extended their slide after The Wall Street Journal reported on its Web site that the U.S. has warned China quietly that North Korea could be preparing for a nuclear weapons test.


Among local movers, shares of Health Care Property Investors Inc. gained 1.4 percent to close at $24.64 after the Long Beach-based real-estate investment trust said it plans to sell $200 million of 12-year bonds today. It will be the company's biggest debt sale since it issued $200 million of 12-year notes in February 2003. UBS AG will manage the transaction.


And CB Richard Ellis Group Inc. rose 1.4 percent to close at $34.41 after the L.A.-based commercial real estate services firm's stock was raised to "outperform" from "in-line" by analyst Carey Callaghan at Goldman, Sachs & Co.


On the down side, Superior Industries International Inc. lost 6.4 percent to close at $22.78 after the Van Nuys -based auto parts manufacturer, reported net income of $8.9 million (34 cents per diluted share) for the first quarter ended March 31, compared with $13.7 million (51 cents) for the like period a year earlier. Revenue decreased to $211.9 million from $234.2 million in the year-ago period. The company, a major parts supplier to Detroit, has suffered as U.S. auto sales have declined.

For reprint and licensing requests for this article, CLICK HERE.