NEW YORK (AP) — U.S. stocks continue to rise Tuesday as the price of oil inches higher. Energy companies are gaining the most, while a drop in bond yields is sending high-dividend phone company stocks higher. Drug companies are tumbling on disappointing results from clinical studies.
KEEPING SCORE: The Dow Jones industrial average rose 71 points, or 0.4 percent, to 17,990 as of 11:15 a.m. Eastern time. The Standard & Poor's 500 index added 6 points, or 0.3 percent, to 2,115. Drug companies skidded and the Nasdaq composite index edged down 3 points, or 0.1 percent, to 4,965.
OIL: Benchmark U.S. crude oil added 23 cents to $49.92 a barrel in New York. Brent crude, which is used to price international oils, added 35 cents to $50.90 a barrel in London.
Among energy companies, Chevron rose $2.05, or 2 percent, to $103.22 while Newfield Exploration added $1.59, or 4 percent, to $41.53. Helmerich & Payne gained $2.26, or 3.5 percent, to $67.
AROUND THE MARKET: Bond prices rose, sending the yield on the 10-year U.S. Treasury note down to 1.71 percent from 1.74 percent. That made bonds less appealing, and sent income-seeking investors into phone company stocks. Verizon added 76 cents, or 1.5 percent, to $51.47. Industrial stocks rose as airlines traded higher. Southwest Airlines picked up $1.41, or 3.4 percent, to $43.18 and Delta rose $1.20, or 2.9 percent, to $42.48.
TASTY: Organic and specialty foods distributor United Natural Foods posted a larger-than-expected profit in its fiscal third quarter, and the company raised its projections for the year. Its stock jumped $6.05, or 15.6 percent, to $44.88.
ZILLOW SETTLES: Real estate website Zillow Group said it agreed to pay $130 million to settle a lawsuit over trade secrets brought by Move Inc., the National Association of Realtors, and others. The stock gained $1.68, or 5.5 percent, to $32.01.
POLO-NO: Ralph Lauren said it will close stores and cut jobs as part of a restructuring plan that is intended to save the company about $200 million a year. It expects to take more than $500 million in one-time charges related to the move. The retailer's stock fell $4.58, or 4.8 percent, to $91.75.
BIOGEN BOUNCED: Drugmaker Biogen tumbled $37.47, or 12.9 percent, to $252.37 after the company said an experimental multiple sclerosis drug, opicinumab, failed in a mid-stage clinical trial. Stifel Nicolaus analyst Thomas Shrader said opicinumab is a key product for Biogen. He wrote that Biogen's MS drug Tecfidera has "stalled" and newer therapies could hurt sales of Tysabri, an older drug.
STUDY HITS ALEXION: Alexion Pharmaceuticals said a study of its drug Soliris failed, and its stock lost $16.99, or 11 percent, to $138. The company gets almost all of its revenue from Soliris, which is approved to treat two rare blood disorders, and an additional approval could have strengthened its sales.
MORE TROUBLE FOR VALEANT: Canadian drugmaker Valeant Pharmaceuticals disclosed its delayed quarterly results. The company said it took a loss and cut its profit and revenue estimates for the year. Its stock gave up $4.19, or 14.5 percent, to $24.66.
OVERSEAS: Germany's DAX rose 1.6 percent and the CAC-40 in France was up 1.2 percent. The FTSE 100 index of leading British shares edged up 0.2 percent after a hefty gain on Monday. Asian stock markets posted strong gains earlier. Japan's Nikkei 225 rose 0.6 percent and South Korea's Kospi gained 1.3 percent. Hong Kong's Hang Seng Index advanced 1.4 percent.
CURRENCIES: The dollar slipped to 107.24 yen from 107.40 yen. The euro fell to $1.1352 from $1.1373.
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AP Markets Writer Marley Jay can be reached at http://twitter.com/MarleyJayAP . His work can be found at http://bigstory.ap.org/journalist/marley-jay
