NEW YORK – Stocks resumed their slow but steady climb Tuesday as Greece appeared close to announcing a deal with creditors to cut its debt. The Dow Jones industrial average ended at its highest level since May 2008.

Stock indexes rose after a report that Greece and the investors who bought its government bonds were close to a deal to reduce what Greece owes. Greece’s crushing debt has unnerved financial markets around the world for two years.

“Just some kind of optimism overseas is going to be positive, considering many didn’t think anything was going to come to fruition,” said Stephen J. Carl, head equity trader at The Williams Capital Group.

A report that job openings soared to the highest level in almost three years in December also helped the U.S. market.

The Dow rose 33.07 points, or 0.3 percent, to close at 12,878.20. It has not closed higher since May 19, 2008, four months before the financial crisis. The Dow is roughly a 10 percent rally away from its all-time high.

The average fell 17 points to start the week. On Tuesday, it was down as much as 62 points in the first half-hour of trading.

McDonald’s rose 1.4 percent, best among the 30 stocks in the Dow, to $100.91, close to its 52-week high. Coca-Cola rose 0.8 percent after it reported better profits than analysts were expecting.

In other trading, the Standard & Poor’s 500 gained 2.72 points, or 0.2 percent, to 1,347.05. The Nasdaq composite rose 2.09 points, or less than 0.1 percent, to 2,904.08. The Nasdaq is about a point shy of its best close since December 2000.

The jump in U.S. job openings was the latest sign that the job market is improving. The Dow climbed 156 points Friday after the government reported that the U.S. unemployment rate fell to 8.3 percent in January, the lowest in almost three years.

Michael Sheldon, chief market strategist at RDM Financial Group in Westport, Conn., said that while investors are becoming more optimistic about the economy, there are still signs that they’re allocating money cautiously.

The utilities sector was the best performer in the S&P 500, indicating that investors are hanging on to stocks they consider to be relatively safe.

In the bond market, the yield on the benchmark 10-year Treasury note rose to 1.98 percent from 1.90 percent late Monday. Demand for bonds waned as investors became more confident that Greece would reach a deal. A relatively weak auction of three-year Treasury notes also pushed bond prices lower.

The euro rose to a two-year high against the dollar as worries eased about Greece’s and Europe’s debt problems. The euro rose 1.4 cents against the dollar to $1.33 in afternoon trading.

Among the stocks making big moves in the U.S.:

• Yum Brands, which owns Taco Bell and KFC, jumped 2.6 percent. Its income surged 30 percent in the fourth quarter because of strong growth overseas and a turnaround in its Pizza Hut business in the U.S.

• Emerson Electric Co. lost 2.7 percent after the manufacturing and technology company said its quarterly profit fell 23 percent. It said costs rose and sales took a hit from flooding in Thailand.

• Becton, Dickinson & Co., a medical technology company, fell 3.8 percent. Its profit fell 17 percent in the latest quarter because of higher costs for raw materials and other expenses. The company also cut its 2012 earnings forecast.

NEW YORK (Reuters) – Stocks trimmed losses to end little changed on Friday, as investors saw dips in the market as an opportunity to buy into what has been a strong first month of 2012.

The Dow posted its first weekly loss this year, hurt Friday as Chevron Corp (CVX.N) announced earnings that were below Wall Street's estimates and Procter & Gamble Co (PG.N) cut its full-year profit forecast because of the strong dollar.

But the emergence of late-day buyers was viewed positively as major averages have methodically climbed through January. This week's news that the Federal Reserve intends to keep interest rates low through late 2014 added a jolt of demand that could extend the rally.

"Investors are almost welcoming these little dips, jumping in when they can to join this rally. At this point, they are rationalizing anything they can to get in," said James Dailey at TEAM Financial Management LLC in Harrisburg, Pennsylvania.

"Cautious bulls are no longer cautious after the Fed announcement this week."

Chevron, the No. 2 U.S. oil company, fell 2.5 percent to $103.96 and was the biggest drag on the Dow.

The Commerce Department said U.S. gross domestic product expanded at its fastest pace in 1-1/2 years in the last quarter of 2011, but the 2.8 percent rise fell short of expectations.

Inventory building accounted for much of the growth, and weak spending by businesses in the GDP report pointed to a slower pace of recovery early this year, denting recent optimism about the economy.

In company news, Facebook plans to file documents as early as Wednesday for a highly anticipated initial public offering that will value the world's largest social network at between $75 billion and $100 billion, according to the Wall Street Journal, which cited unidentified sources.

The Dow Jones industrial average (.DJI) was down 74.17 points, or 0.58 percent, at 12,660.46. The Standard & Poor's 500 Index (.SPX) was down 2.11 points, or 0.16 percent, at 1,316.32. The Nasdaq Composite Index (.IXIC) was up 11.27 points, or 0.40 percent, at 2,816.55.

For the week, the Dow fell 0.5 percent, the S&P was up 0.1 percent and the Nasdaq rose 1.1 percent.

Friday's losses were limited as U.S. Federal Reserve statements this week and economic data kept investors alert for the possibility of another round of monetary stimulus known as quantitative easing, or QE3.

"Out of what the Fed said, you can expect some negative numbers because the Fed obviously saw what the GDP numbers are and they anticipate a slowdown," said Sean Kraus, chief investment officer at CitizensTrust in Pasadena, California.

If the Fed does resort to QE3 to stimulate growth, investors "don't want to be caught flat-footed and be out of risky assets," Kraus said.

Consumer product company Procter & Gamble dipped 0.8 percent to $64.30.

Ford Motor Co (F.N) shares fell 4.2 percent to $12.21 after the carmaker reported a lower-than-expected fourth-quarter profit on higher commodity costs and losses in Europe and Asia.

Network equipment makers Juniper Networks Inc (JNPR.N) and Riverbed Technologies Inc (RVBD.O) gave first-quarter outlooks after the close Thursday that were below expectations. Juniper fell 3 percent to $21.69 while Riverbed slid 18.3 percent to $24.45.

According to Thomson Reuters data, 59 percent of 184 S&P 500 companies reporting earnings through Friday have topped analysts' estimates, below the beat rate of about 70 percent seen at this stage of earnings season in recent quarters.

Utilities were the worst performing among S&P sectors after results from American Electric Power Co Inc (AEP.N) and Dominion Resources (D.N). American Electric was off 3.2 percent to $39.95, while Dominion fell 2.5 percent to $49.56. The S&P utilities index (.GSPU) fell 1.3 percent.

Eastman Chemical Co (EMN.N) offered to buy specialty chemical maker Solutia Inc (SOA.N) for about $3.38 billion in cash and stock to extend its reach in emerging markets, particularly the Asia-Pacific region. Solutia shares jumped about 41.1 percent to $27.52 and Eastman shares gained 7 percent to $50.41.

Negotiations between Greece and its private creditors on a debt swap deal made progress on Friday and will continue over the weekend, a senior Greek government official said. Renewed concern about the crisis has troubled markets this week.

About 6.6 billion shares exchanged hands on the New York Stock Exchange, NYSE Amex and Nasdaq on Tuesday.

(Reporting By Angela Moon; Editing by Kenneth Barry)

BANGKOK – Asian stocks failed to make much headway Friday after disappointing Japanese corporate earnings and U.S. home sales — considered crucial to an economic recovery — were weaker than expected.

Benchmark oil hovered below $100 per barrel while the dollar was lower against the euro and the yen.

Japan’s Nikkei 225 index fell 0.3 percent to 8,823.08. South Korea’s Kospi rose 0.1 percent to 1,959.92. Hong Kong’s Hang Seng was flat at 20,431.96, while Australia’s S&P/ASX 200 gained 0.2 percent to 4,279.

Jackson Wong, vice president of Tanrich Securities in Hong Kong, said profit-taking was the order of the day as investors remained unconvinced that the overall global economic scenario was changing for the better.

“A lot of investors are a little bit worried. Not all the fundamentals have changed. Since we had a huge run up, investors are just taking some profits” until mainland Chinese markets open on Jan. 30 following the Lunar New Year holiday.

However, bargain-hunters indulged in stocks that took a beating last year, Wong said, including clothing retailer Esprit Holdings Ltd., which rose 2.8 percent.

Some traders were in wait-and-see mode ahead of the release of fourth-quarter gross domestic product figures from the U.S. Commerce Department later Friday. GDP measures the economy’s total output of goods and services.

Economists predict growth will strengthen to around 3 percent in the October-December quarter from about 2 percent in the third quarter. Analysts at Credit Agricole CIB in Hong Kong said the reading was expected to “look healthy.”

Attention was also focused on the resumption of talks to reach a deal on how Greece can avoid a catastrophic default on its debt. Greece and its bailout rescuers — other countries that use the euro and the International Monetary Fund — are asking private creditors to swap their Greek bonds for new ones with a lower value and interest rate.

The two sides have so far disagreed over what interest rate the new bonds should take.

In the U.S., stocks slipped Thursday after the government reported an unexpected drop in new home sales in December, capping the worst year for home sales since record-keeping began in 1963.

The Dow Jones industrial average closed down 0.2 percent at 12,734.63. The Standard & Poor’s 500 index closed down 0.6 percent at 1,318.43. The Nasdaq shed 0.5 percent to close at 2,805.28.

But there were some bright spots. Orders to factories for long-lasting manufactured goods increased in December for the second straight month, and a key measure of business investment rose solidly.

Japanese exporters continued to be hit by a strong yen, which reduces the value of repatriated profits. Honda Motor Corp. slid 2.1 percent and Panasonic Corp. shed 2.5 percent. Fujitsu Ltd. plunged 3 percent.

Nintendo Corp., the Japanese gaming giant behind the Super Mario and Pokemon games, plunged 4.7 percent, a day after it sharply lowered its annual earnings forecast to a 65 billion yen ($844 million) loss. The company blamed the strong yen for much of the loss.

Japanese electronics company NEC Corp. plummeted 7.1 percent after announcing Thursday that it was slashing 10,000 jobs worldwide and would slide into the red for the full year.

Benchmark oil for March delivery was up 6 cents to $99.76 per barrel in electronic trading on the New York Mercantile Exchange. The contract rose 30 cents to finish at $99.70 per barrel on the Nymex on Thursday.

In currencies, the euro rose to $1.3110 from $1.3104 late Thursday in New York. The dollar fell to 77.02 yen from 77.49 yen.

Stocks turned mixed Wednesday afternoon, erasing earlier losses, after the Federal Reserve said it will keep interest rates near zero for much longer than it had previously announced. Demand for ultra-safe Treasurys soared, pushing bond yields lower.

The Fed’s monetary policy committee said it is unlikely to raise interest rates before 2014, extending a period of record-low rates by more than a year. Lower interest rates can encourage investment in stocks by reducing traders’ returns from bonds.

The Fed plans to keep interest rates very low in part to make loans more affordable for people and companies. Access to credit is vital for the economic recovery.

The Dow Jones industrial average and Standard & Poor’s 500 index both turned slightly positive shortly after the Fed’s 12:30 p.m. Eastern announcement. Both had been solidly negative all morning; the Dow had lost as many as 95 points.

The yield on the 10-year Treasury note plunged to 1.98 percent from 2.05 percent an hour before the Fed announcement. Bond yields fall when demand for them increases.

Markets had opened mostly lower on fears about Greece’s slow progress in talks with bondholders about reducing the nation’s crushing debt load.

Tech stocks rose, bucking the wider market, after consumer electronics giant Apple Inc. reported a best-ever quarter driven by strong sales of iPhones and iPads.

Apple’s stock jumped 6.2 percent, helping lift the Nasdaq composite index by 16 points, or 0.6 percent, to 2,802. The Nasdaq is up 7.6 percent this year, more than twice the gain for the Dow Jones industrial average.

The Dow was down 19 points, or 0.2 percent, at 12,657. The S&P 500 index fell a fraction to 1,313.

The declines follow a two-month surge that lifted the broad S&P 500 index by 13 percent since its recent low on Nov. 25. As fears recede about the European debt crisis, big-time investors such as hedge funds will be drawn back into the market, fueling more gains, said Joe Bell, senior Equity Strategist at Schaeffer’s Investment Research.

After such a strong rally, “we could see a … slight pullback or consolidation; but overall we’re bullish,” Bell said.

Later Wednesday, Fed Chairman Ben Bernanke will take questions from reporters in his quarterly news conference.

European markets mostly closed lower as Greece’s bondholders held a closed-door meeting to discuss whether they will continue to negotiate with the crisis-stricken nation.

Greece wants the investors, mostly banks and hedge funds, to voluntarily write off about half of its debt. Otherwise, Greece will be unable to obtain needed bailout cash and will default. That could set off a financial crisis similar to the aftermath of Lehman Bros.’ failure in 2008.

Benchmark stock indexes in Italy and London closed a half-percent lower. Borrowing costs for Italy and France increased, a sign of traders’ fears that the debt crisis will spread. Adding to the gloom was a report that Britain’s economy shrank by 0.2 percent in the fourth quarter.

With Apple’s gains Wednesday, the Cupertino, Calif. electronics maker again surpassed Exxon Mobil Corp. as the company with the biggest market value. Apple said late Tuesday that it sold 37 million iPhones in its fiscal first quarter, the first period after the death of CEO and co-founder Steve Jobs. That was coupled with a big jump in iPad sales to 15.4 million, and a more modest increase in Mac sales.

Apple’s net income leapt 118 percent from the same quarter a year earlier. Revenue soared 73 percent. Both results blew the doors off Wall Street’s expectations.

Among the other companies making big moves after announcing earnings:

• US Airways Group Inc. jumped 18 percent and Delta Air Lines Inc. rose 6.6 percent. Both carriers reported earnings that were far better than Wall Street analysts expected. The airlines raised fares during the fourth quarter while keeping costs under control. Delta also cut the number of flights it makes to keep pace with demand.

• WellPoint Inc., the nation’s largest health care insurer based on enrollment, fell 4.9 percent. The company’s fourth-quarter earnings dropped 39 percent, far more than analysts had expected. The Indianapolis company’s full-year forecast also fell short of Wall Street’s forecasts. Medical claims, its largest expense, rose nearly 10 percent in the quarter.

___

Follow Daniel Wagner at http://www.twitter.com/wagnerreports.

WASHINGTON – Federal regulators have accused BankAtlantic Bancorp Inc., the parent of one of Florida’s biggest banks, and its chief executive of misleading investors about the bank’s financial health as its holdings of commercial real estate loans soured in 2007.

The Securities and Exchange Commission announced it filed civil charges Wednesday against the company and its CEO and Chairman Alan Levan. The SEC said the bank and its chief used accounting gimmicks to hide losses on a key group of loans. The SEC is seeking unspecified penalties and a ban against Levan serving as an officer or director of any public company.

“This is exactly the type of information that is important to investors, and corporate executives who fail to make that required disclosure will face severe consequences,” SEC Enforcement Director Robert Khuzami said in a statement.

BankAtlantic Bancorp, based in Fort Lauderdale, Fla., is the parent of BankAtlantic, a savings bank with $3.7 billion in assets as of Sept. 30.

In a statement, Levan disputed the charges and said the parent company will contest them in court.

“We at BankAtlantic Bancorp are disappointed that the SEC has brought this action,” Levan said. “At the end, we believe the SEC’s credibility as a neutral enforcer of securities laws will be tarnished, as the case is unsupportable.”

Eugene Stearns, an attorney representing BankAtlantic Bancorp and Levan, said the sort of data on loans the SEC faulted the company for failing to disclose was confidential and rarely made public by banks.

NEW YORK (Reuters) – Stock index futures pointed to a lower open on Thursday on renewed concerns about the euro zone's financial health, but encouraging employment data was expected to limit the decline.

The private sector added 325,000 jobs in December, well above expectations for 178,000, while weekly jobless claims fell by 15,000 last week. The reports offered more evidence the U.S. labor market was improving, reassuring market participants that the United States could resist the effects of a possible euro zone recession.

"The ADP number was a gigantic figure. Even if they're only 50 percent right, the number is still a huge improvement. The jobless number is definitely a positive as well … they point to what should be a fabulous number tomorrow," said Todd Schoenberger, managing director at Landcolt Trading in Wilmington, Delaware. "Bulls will be running today."

Still, investors closely watched the euro, which has been closely correlated with global equities, which tumbled to a 15-month low against the dollar and an 11-year low versus the yen. Investors questioned the ability of European banks to raise capital amid the region's debt crisis.

S&P 500 futures fell 7 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures lost 39 points, and Nasdaq 100 futures were off 5 points.

European shares pared losses on Thursday, after the U.S. data. (.EU)

Easing some anxiety about the debt crisis, French borrowing costs rose slightly when the government sold debt for the first time this year on Thursday. Demand was solid despite concerns it could lose its AAA credit rating, offering relief the bloc's stronger sovereigns can still smoothly manage an escalation of the debt crisis for now.

Retail stocks will be in the spotlight as the first batch of December same-store sales indicated people were willing and able to shop if U.S. retailers offered discounts.

Kohl's Corp (KSS.N) shares were down 5.7 percent at $44.66 in premarket, and J C Penney Co Inc (JCP.N) lost 7.1 percent to $32.45.

December's U.S. ISM non-manufacturing index will be released at 10 a.m. EST. The index is seen at 53.0 versus 52.0.

Major U.S. stock indexes were little changed in a low-volume session on Wednesday, but some investors were encouraged to see equities avoid a selloff amid lingering euro zone's debt problems.

(Reporting By Angela Moon; editing by Jeffrey Benkoe)

SINGAPORE (Reuters) – Asian stocks slipped on Thursday on weakness in the U.S. and European share markets and caution ahead of an Italian debt sale, though year-end window dressing of portfolios by some traders helped trim losses.

European shares are expected to inch higher, reversing some of the previous session's losses, with cautiousness ahead of the key Italian debt auction by Italy seen limiting the gains.

Spreadbetters expect London's FTSE (.FTSE) to open up 0.04 percent, Frankfurt's DAX (.GDAXI) to open up 0.3 percent, and Paris' CAC 40 (.FCHI) to open up 0.3 percent.

The euro extended losses against the dollar to near a one-year low, and a 10-year low against the yen, while the sell-off in stocks and a firm U.S. currency helped crude oil snap a six-session rally and kept gold prices near a three-month low.

The Nikkei (.N225) ended 0.3 percent lower, recouping some of its 1.1 percent intraday loss. The MSCI ex-Japan Asia Pacific index (.MIAPJ0000PUS) also shed 0.3 percent, weighed down by consumer and material stocks. Both indexes look set to be down about 18 percent during 2011.

Traders said Italy's sale of up to 8.5 billion euros ($11 billion) of debt later on Thursday will provide further cues for risky assets.

The auction is seen as the first test of banks' willingness to buy longer-term sovereign debt with the nearly 500 billion euros they borrowed last week from the European Central Bank.

While Italy's short-term funding costs halved at an auction on Wednesday, market players are worried that thin volumes prevalent across markets near the end of the year could complicate its efforts to sell longer-dated bonds.

"If it goes well, it's an indication that, one, yield is coming down, so the cost of funding is falling for the Italian government," said Martin Lakos, division director at Macquarie Private Wealth.

"And, two, if there's demand for the paper, that's a sign of confidence, which is what the market's in real need of."

EURO, OIL, GOLD SLIP

The euro weakened in Asia, pressured by stop-loss selling from Japanese retail investors as well as some offloading by exporters, with moves amplified in poor year-end liquidity and traders said the currency is likely to stay vulnerable.

The single currency hit $1.2887, moving closer to its 2011 trough of $1.2860 on January 10. Against the yen, the euro skidded to a 10-year trough around 100.70, before steadying at 100.88.

At 0615 GMT, the euro traded at 1.2926 versus the dollar and 100.47 versus the yen.

"Nobody sees anything on the horizon that could be mildly positive for the euro," said Rob Ryan, FX strategist for BNP Paribas in Singapore.

The one factor that may lend the euro some support is market positioning, which is already tilted heavily toward being short the euro, Ryan said, adding that another is the potential for fund repatriation by European players.

Crude oil, which had gained for six sessions on heightened supply worries after Iran threatened to block the Strait of Hormuz, eased as traders viewed the threat as rhetoric.

"A big increase in U.S. crude oil stocks and the falling euro against the dollar are the main pressure points for the market at the moment," said Ken Hasegawa, a derivatives manager with brokerage Newedge in Tokyo.

"We also had six consecutive days gaining in the oil market, so it is not strange to see some profit-taking from these sharp gains."

Brent eased three cents to $107.53 a barrel by 0207 GMT, adding to a loss of nearly $2 the day before.

Gold wallowed near a three-month low on Thursday, remaining under pressure due to a firm dollar, while investors fretted over the Italian bond auction.

Spot gold edged down 0.3 percent to $1,550.90 an ounce by 0022 GMT, on course for an 11-percent decline in December. It hit a three-month low of $1,549.24 in the previous session.

(Additional reporting by Sonali Paul in MELBOURNE, Masayuki Kitano and Randy Fabi in SINGAPORE; Editing by Richard Borsuk)

NEW YORK (Reuters) – Stocks fell for a third day and hit their lowest level in two weeks on Wednesday as widespread risk aversion sank commodity prices, sent the euro to an 11-month low against the dollar and drove Italy's borrowing costs to a euro-era high.

Investors are disappointed the European Central Bank is not buying more bonds of troubled European countries, a move that was widely seen as a requisite next step after leaders at last week's EU summit agreed to strengthen fiscal unity in the bloc.

With the euro zone debt crisis showing no signs of abating as Europe slides into recession, the outlook for the world economy is growing bleaker. The S&P 500 index has fallen more than 3 percent so far this week.

A 5 percent slump in oil prices hit energy stocks, with the S&P energy index (.GSPE) down nearly 3 percent. Chevron (.CVX) fell 3 percent and was the biggest loser on the Dow behind industrial machine maker Caterpillar (CAT.N). Shares of Caterpillar, whose global operations are sensitive to the economy, fell 4.4 percent to $87.

"There is a growing realization that the global economy is in jeopardy," said Bruce Bittles, chief investment strategist at Robert W. Baird & Co in Nashville, Tennessee. "Business is cooling everywhere. Right now, the U.S. appears to be operating in a vacuum, but that's not sustainable."

The S&P 500 (.SPX) fell below its 50-day moving average, signaling a breakdown of its recent trading range between that level and the 200-day moving average at the top end. The move has some analysts expecting further weakness.

Volume was moderate at 7.8 billion shares on the NYSE, Amex and Nasdaq, about 5 percent below the 200-day moving average — a further sign of the difficulties traders and investors face in current market conditions.

"There could be a number reasons for it," said Joe Saluzzi, co-manager of trading at Themis Trading in Chatham, New Jersey. "Lack of confidence, people are tired of the moves."

December can be a volatile month, with traders closing books and everything from window-dressing ahead of the year-end to tax-loss selling contributing to swings in prices.

On NYSE about three shares fell for every one that rose.

The Dow Jones industrial average (.DJI) dropped 131.46 points, or 1.10 percent, to 11,823.48. The Standard & Poor's 500 Index (.SPX) fell 13.91 points, or 1.13 percent, to 1,211.82. The Nasdaq Composite Index (.IXIC) lost 39.96 points, or 1.55 percent, to 2,539.31.

The price of copper fell near a three-week low, the price of aluminum hit its lowest level in 17 months, and tin hit a three-month low. The S&P's materials sectors index (.GSPM) fell more than 1 percent. Shares of miner Cliffs Natural Resources (CLF.N) dropped 2.6 percent to $63.58.

Italy's borrowing costs rose to a euro-era record after an auction of five-year debt, while the euro fell to an 11-month low against the dollar.

Italy paid 6.47 percent to sell five-year paper just minutes after Berlin placed 4 billion euros ($5.2 billion) of two-year bonds at an average yield of just 0.29 percent – a sign of the extent that investors favor safety over returns.

U.S. stocks have been weighed down this week on fears that the agreement at last week's European Union summit did not go far enough to resolve the two-year-old debt crisis.

"The main issue right now is the complete, absolute failure of the European Union to come to any kind of solution. They're back to where they started from," said Jeffrey Sica, president and chief investment officer of SICA Wealth Management in Morristown, New Jersey.

"Borrowing costs are going to rise, and that's going to continue to put pressure on us. The summits they've had have taken us nowhere, and soon we're going to pay the price."

Gold dropped to its lowest level since early October as the weak euro and a shortage of dollar funding near the year-end prompted investors to sell aggressively. Commodity-related shares were further pressured by the stronger U.S. dollar.

The Arca Gold Bugs index (.HUI), which measures the performance of 16 of the world's largest gold producers, fell 3 percent. Shares of Yamana Gold (AUY.N), the Canadian producer, was one of the biggest losers, down 5.8 percent to $13.98.

U.S. January crude fell $5.19, or 5.18 percent, to settle at $94.95 a barrel.

Shares of Chevron closed down $3.09 at $100.53. Federal prosecutors in the Brazilian state of Rio de Janeiro filed a lawsuit on Wednesday against Chevron and rig contractor Transocean over an oil spill off Brazil's coast last month, seeking 20 billion reais ($10.6 billion) in damages.

Investors were also disappointed the U.S. Federal Reserve made no mention of possible new stimulus measures after its Tuesday meeting.

Though a majority of economists polled by Reuters expected no more Fed action to boost the economy in the short term, another survey showed most primary dealers saw the central bank enacting some type of stimulus.

Technology shares sold off sharply. A number of companies in the industry and beyond have cut earnings outlooks over recent days, another sign of the fallout from a slowing economy. The latest was First Solar Inc (FSLR.O), a maker of solar power systems, which tumbled 21.4 percent to $33.45 after it cut its 2011 sales and profit forecast and said next year's profits would fall below Wall Street's view.

First Solar joins a list of companies, including Intel Corp (INTC.O), DuPont and Co (DD.N) and Texas Instruments Inc (TXN.N), which have cut their outlooks in recent days.

An index of home builder stocks (.DJUSHB) dropped 3.3 percent after the National Association of Realtors said data on sales of previously owned homes will be revised downward because of double counting.

(Additional reporting by Ryan Vlastelica and Angela Moon; Editing by Leslie Adler)

(Reuters) – Stock index futures pointed to a weaker open for equities on Wall Street on Wednesday, with futures for the S&P 500, for the Dow Jones and for the Nasdaq 100 down 0.4-0.7 percent.

Standard & Poor's reduced its credit ratings on 15 big banking companies, mostly in the Europe and the United States, on Tuesday as the result of a sweeping overhaul of its ratings criteria.

JPMorgan Chase & Co (JPM.N), Bank of America Corp (BAC.N), Citigroup Inc (C.N), Wells Fargo & Co (WFC.N), Goldman Sachs Group Inc (GS.N), Morgan Stanley (MS.N), Barclays Plc (BARC.L), HSBC Holdings Plc, (HSBA.L) Royal Bank of Scotland (AAHAUS.UL) Group Plc and UBS AG (UBSN.VX), were among the banks that had their ratings reduced by one notch each.

The ADP Employment report for November, due at 1315 GMT, is expected to show its best reading since April and the third consecutive gain greater than 110,000. The Pending Home Sales Index, to be released at 1500 GMT, is seen rising for October.

Samsung Electronics (005930.KS) is set to resume selling its Galaxy tablet computer in Australia as early as Friday, after the South Korean technology firm won a rare legal victory in a long-running global patent war with Apple Inc (AAPL.O).

Boeing (BA.N) could be at a disadvantage to Airbus because the bankruptcy of AMR Corp (AMR.N), the parent of American Airlines, places up to $40 billion of jet orders at the mercy of a U.S. bankruptcy court, lawyers and bankruptcy experts said.

Newmont Mining Corp (NEM.N) said it has suspended construction work at its Conga project in Peru in agreement with the government, for the safety of employees and the community.

U.S. communications regulators released a staff report criticizing AT&T Inc's (T.N) $39 billion plan to purchase T-Mobile USA, even though they agreed on Tuesday to let the companies withdraw their request for approval.

Goldman Sachs (GS.N) has raised $600 million from clients such as pension funds, wealthy families and large institutions for a new fund that would provide start-up money to hedge-fund managers, the Wall Street Journal said.

European stocks (.FTEU3) fell 0.8 percent on Wednesday, snapping a sharp three-session rally, after the Standard & Poor's downgrade of a number of European and U.S. banks.

On Tuesday, the Dow and S&P 500 advanced for a second day on Tuesday as stronger-than-expected consumer confidence data and hopes for further progress on a solution to Europe's fiscal mess bolstered sentiment.

Euro zone ministers agreed to ramp up the firepower of their rescue fund, but couldn't say by how much, and may turn to the IMF for more help as a jump in Italy's borrowing costs pushed the region closer to financial disaster.

The Dow Jones industrial average (.DJI) closed up 32.62 points, or 0.28 percent, at 11,555.63. The Standard & Poor's 500 Index (.SPX) ended up 2.64 points, or 0.22 percent, at 1,195.19. The Nasdaq composite index (.IXIC) closed down 11.83 points, or 0.47 percent, at 2,515.51.

(Reporting by Atul Prakash. Editing by Jane Merriman)

NEW YORK (Reuters) – Stocks posted a seventh straight session of losses on Friday, ending their worst week in two months as a lack of a solution to Europe's debt crisis kept investors on their toes.

The Dow Jones industrial average (.DJI) dropped 25.61 points, or 0.23 percent, to 11,231.94. The Standard & Poor's 500 Index (.SPX) dropped 3.12 points, or 0.27 percent, to 1,158.67. The Nasdaq Composite Index (.IXIC) dropped 18.50 points, or 0.75 percent, to 2,441.58.

(Editing by Kenneth Barry)