Investors look past sharp rise in sales of existing homes; Amazon, Microsoft buck slide

Big jump in home sales fails to lift stock market

NEW YORK — Stock investors are dismissing a big jump in sales of existing homes last month as an aberration.

Stocks remain mostly lower Friday following a report that September home sales soared 9.4 percent, nearly double analysts’ forecasts. It was the highest level in more than two years as buyers raced to complete purchases before a tax credit expires.

The market is lower after a big spike Thursday and with little new information to trade on after a busy week of earnings. Strong profits from Amazon.com and Microsoft are drawing some buyers to tech stocks.

The Dow Jones industrial average is down 50 at 10,031. The Standard & Poor’s 500 index is down 5 at 1,088, while the tech-heavy Nasdaq composite index is up 9 at 2,174.

THIS IS A BREAKING NEWS UPDATE. Check back soon for further information. AP’s earlier story is below.

NEW YORK (AP) — Stocks zigzagged early Friday as profit reports from Amazon.com and Microsoft lifted technology companies.

Amazon posted third-quarter earnings and sales that topped expectations. Microsoft, meanwhile, said its latest quarterly profit slid 18 percent, but results still topped analysts’ forecasts.

The reports eased some worries about consumer spending, one of the market’s key concerns in recent weeks.

A report on September home sales data could provide additional insight to the market’s direction. With home buyers rushing to complete their purchases before a tax credit for first-time owners expires, a National Association of Realtors report is expected to show strong September sales.

Home sales are expected to show an almost 5 percent increase to a seasonally adjusted annual rate of 5.35 million, up from 5.1 million in August, according to economists polled by Thomson Reuters.

In the first half-hour of trading, the Dow Jones industrial average fell 5.67, or 0.1 percent, to 10,075.64. The broader Standard & Poor’s 500 index fell 0.31, or less than 0.1 percent, to 1,092.60. The Nasdaq composite index rose 15.64, or 0.7 percent, to 2,180.93.