U.S. stocks swung between gains and losses

U.S. stocks swung between gains and losses as government data showed the economy grew at a rate of 2.6 percent in the third quarter, faster than previously estimated, while less than expected by economists.

Nike Inc. fell 5.7 percent after it reported orders that missed some analysts' estimates. Xilinx Inc. fell 4.7 percent in the chip maker said third-quarter sales will be reduced more than it had previously forecast due to weak demand. Walgreen Co. rose 8.1 percent after the largest U.S. drugstore chain reported earnings that beat analysts' estimates.

500 of Standard & Poor's rose 0.1 percent to 1,256.22 at 9:32 am in New York. The Dow Jones industrial average rose 3.33 points, or 0.1 percent down at 11,536.49.

"The economy is on the right track, but people need to understand what is happening at a moderate pace," said Jeffrey Saut, chief investment strategist at Raymond James & Associates in St. Petersburg, Florida, who helps manage 240 billion dollars. "I'm going construction in 2011. However, with the feeling of being so optimistic for stocks that have the potential of an air pocket or withdrawn during the next month."

The S & P 500 ended yesterday his recovery from the decline of six months that followed the collapse of Lehman Brothers Holdings Inc. 's September 2008, extending its rally in a bear market low in March 2009 to 85 percent. The final index from 2011 to 1374, according to the median forecast of 11 strategists of the major Wall Street banks.

GDP data

The U.S. economy grew at a rate of 2.6 percent in the third quarter, marking a resumption of growth that can extend into 2011 as business and consumer confidence to win to pass. The revised gain in gross domestic product compares with an estimate of 2.5 percent issued last month .

preferred price indicator of the Federal Reserve, which is tied to consumer spending and excluding food costs and energy, rose at a rate of 0.5 percent per year, the slowest since records began in 1959 , today's report showed. Stocks rose more than initially reported, while the increase in household purchases was revised downward.

Another report may show sales of existing homes rose at an annual rate of 4.75 million, up 7.1 percent from October. Lower prices and mortgage rates have made houses more affordable, so you can keep the demand for support after the end of a tax credit the government brought down the industry. The National Association of Realtors is scheduled to release sales figures at 10 am in Washington.

Nike

Nike sank 5.7 percent to $ 87.02. The world's largest maker of athletic shoes orders from December to April rose 11 percent for a total of $ 7.7 billion, excluding currency fluctuations from one year ago. Who missed the 11.6 percent gain.

Xilinx lost 4.7 percent to $ 27.05. The company said third-quarter revenue will be reduced to 9 percent from the previous three months. Xilinx had previously said revenue would fall as much as 4 percent. The new forecast indicates that sales of only 563.9 million U.S. dollars in the quarter. Analysts had estimated revenues of 606.9 million U.S. dollars.

Walgreen gained 8.1 percent to $ 39.82. The largest chain of U.S. drug stores had fiscal first-quarter profit of 62 cents per share..

"Overbought"

The S & P 500 has become "overbought" levels after rising 6.3 percent this month and may be heading for losses early next year, according to technical analysts at UBS AG. The increase pushed the S & P 500 index, relative strength of 14 days, which continues the momentum by comparing the closing prices with daily trading ranges, above 70, indicating the box observers U.S. stockpiles of may be prone to falling.

"The market is overbought and we have early signs of deterioration of momentum," wrote analysts based in Zurich and Marc Riesner Michael Mueller in a report dated yesterday. "The air in the mouth is getting thinner and the market will be vulnerable to a setback early in the first quarter."