Stocks See-Saw; Materials, Financials Rise

Stocks bobbed along Friday as the "quadruple witching" expiration of futures and options stirred up volatility.

The Dow Jones Industrial Average swayed between positive and negative territory after eking out a gain in the prior session.

"Quadruple witching" is the simulaneous expiration of stock index futures, single stock futures, stock options and stock index options, an event that notoriously stirs a lot of volatility in the market.

Energy, materials and financials were among the day's leaders, while telecoms and health care dragged.

Large-cap techs were mostly higher, with Cisco leading the Dow. Cisco and Apple werenear the top of the Nasdaq pack.

Caterpillar rose after the company reported dealer sales of heavy machinery rose 11 percent in the three months ending in May, snapping a nearly two-year decline, amid strong demand from Asia.

Citigroup shares rose as the bank is mulling a plan to raise $3 billionin private equity and hedge funds this year.

BP shares rose amid some relief after Congress grilled CEO Tony Hayward and there was some buzz about Hawyard being ousted and who might succeed him.

During the dramatic hearing on Thursday, lawmakers lambasted CEO Tony Hayward’s “lack of candor.” Hayward infuriated representatives with his evasive explanations regarding the spill, referring to multiple variations on the same them: That he had no direct involvement or knowledge of problems on the Deepwater Horizon, even though engineers lower down in BP's hierarchy had spoken about a "nightmare well."

Investors did some bargain hunting throughout the energy sector, with the Philadelphia Stock Exchange oil-services index up more than 1 percent.

US-traded shares of Toyota skidded after a senior executive said the company plans to slash car prices by 30 percent in the next three years.

Motorola shares fell after the handset maker said it will buy back most of its debt and pump its remaining cash into its struggling mobile-devices unit, which it plans to spin off.

Amylin Pharmaceuticals jumped as rival Roche said it would be delayed with its competiting diabetes drug. JPMorgan upgraded its rating on Amylin to "overweight" from "neutral."

CVS Caremark and Walgreen rose after the companies settled a disputeover prescription-drug reimbursements.

The euro rose on Thursday after a successful Spanish bond offering and on confirmation from the European Union that officials plan to release the results of bank stress tests in mid-July.

All 27 EU members will publish detailed results of bank stress tests by July, and all of the bloc's members will also levy a tax on banks to pay for future financial crises and a financial transaction tax.

Still to Come:

FRIDAY: Quadruple witching; S&P indexes rebalanced

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