CORRECTED-US STOCKS-US stocks rise on tech gains, oil rebound – Reuters

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(In bullet point and in paragraph 16, corrects to say that
shares of Bed Bath & Beyond fell, not that the shares hit a
record low)

* Nasdaq on track to post first weekly gain in 3 weeks

* Oil bounces off multi-month lows

* Bed Bath & Beyond falls

* Indexes up: Dow 0.09 pct, S&P 0.24 pct, Nasdaq 0.44 pct

By Sruthi Shankar

June 23 U.S. stocks were higher in early
afternoon trading on Friday, with the Nasdaq set to post its
first weekly gain in three weeks, helped by gains in technology
stocks and a rebound in oil prices.

A rise in large-cap technology stocks, including Apple
, Facebook and Microsoft, pushed up the
S&P 500 information technology sector 0.82 percent.

Tech stocks had sold off sharply in the past two weeks on
concerns over stretched valuations.

Oil prices climbed about 1 percent, edging up from 10-month
lows, but remained on course for its biggest first-half decline
since the late 1990s as production cuts have failed to reduce
oversupply.

At current levels, the S&P 500 energy index, down 15
percent so far this year, is on track to post its worst weekly
decline in about 18 months.

Sliding oil prices have added to concerns about the
inflation outlook, which along with a flattening yield curve,
could pose a challenge for the Federal Reserve to decide whether
the economy was ready for another interest rate hike this year.

The Fed should wait on any further rate increases until it
is clear inflation is reliably heading to the central bank’s 2
percent target, St. Louis Fed President James Bullard said on
Friday.

At 12:51 p.m. ET (1651 GMT), the Dow Jones Industrial
Average was up 18.35 points, or 0.09 percent, at
21,415.64, the S&P 500 was up 5.97 points, or 0.24
percent, at 2,440.47.

The Nasdaq Composite was up 27.33 points, or 0.44
percent, at 6,264.01.

The laggards included the healthcare index and the
financial index, down 0.24 percent and 0.27 percent.

Healthcare stocks rallied on Thursday after Senate
Republicans unveiled legislation that would replace Obamacare.

However, the bill drew skepticism from the Democrats, who
attacked the legislation as a callous giveaway to the rich that
would leave millions without coverage.

“The market is banking a lot of its future on the Trump
trade,” said Ken Moraif, senior adviser at Money Matters, a
wealth management and investment firm.

“So when we see progress, the markets react positively to
it.”

Among stocks, BlackBerry’s U.S.-listed shares were
down 11.8 percent after quarterly revenue missed estimate due to
an unexpected drop in its high-margin software and professional
services sales.

Bed Bath & Beyond shares fell as the company
reported a bigger-than-expected drop in same-store sales.

Steel companies, including US Steel and AK Steel
, climbed following a Deutsche Bank upgrade.

Advancing issues outnumbered decliners on the NYSE by 1,901
to 765. On the Nasdaq, 1,719 issues rose and 874 fell.
(Reporting by Sruthi Shankar in Bengaluru; Editing by Sriraj
Kalluvila)