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Higher energy prices push stocks lower, producing the first weekly loss since October. But bulls see job gains and other indicators pushing the market higher by year-end. Icahn makes a bid for control of Fairmont.
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The question facing investors next week is what to make of this past week. Or, put another way, is the year-end rally still intact?

Friday suggested that the rally that could be running out of gas. The Dow Jones industrials were down about 35 points on the day and, despite Thursday's rally of nearly 106 points, finished the week down about 54 points. The week, in fact, was wacky enough that UBS Financial Services' Art Cashin likened it to "commuting by roller coaster."

All three major indexes finished lower on the week, though not a lot. But streaks ended this week: Through last week, the Dow and the Standard & Poor's 500 Index had risen for five straight weeks. The Nasdaq Composite had risen for six straight weeks. The S&P 500 and the Nasdaq Composite were both up slightly Friday.

Hopes the Dow would climb through 11,000 for the first time since June 2001 were obviously disappointed.

Still, there was plenty of bullish talk on Friday. Oak Associates' Ed Yardeni, a veteran pundit since the 1980s, said he was certain the Dow will charge through 11,000 if not in December than early in 2006. There was talk about the strength of corporate earnings, the improving job market, how resilient the economy had proven after the devastation of Hurricanes Katrina, Rita and Wilma.

And sectors you want to see move higher just now are, in fact, doing just that. The Philadelphia Semiconductor Index ($SOX.X, news, msgs) is up 13.4% since Oct. 28. The Standard & Poor's Banking Index ($BIX.X, news, msgs) is up nearly 9% since Oct. 7. It was up nearly 1% Friday after the Semiconductor Industry Association said industry sales reached $20 billion in October, up nearly 7% from a year ago.

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