Stocks sway on Exxon, economic news

Stocks were mixed Thursday morning as investors weighed Exxon Mobil's earnings miss, a big rise in jobless claims and signs that consumer spending continues to hold up despite the economic slowdown.

The Dow Jones industrial average (INDU) and the broader Standard & Poor's 500 (SPX) index were both little changed in the first few minutes of trade. The Nasdaq composite (COMP) added 0.4%.

Stocks ended lower Wednesday - on the last day of an otherwise strong April - as investors took a 'sell the news' reaction after the Federal Reserve cut a key short-term interest rate, as expected, and signaled it may not cut rates again anytime soon. Stocks were mixed early Thursday.

In the news:

Income drops, spending rises. Personal income rose a less-than-expected 0.3% in March, while personal spending rose a greater-than-forecast 0.4%, the Commerce Department reported. The Core PCE deflator, the report's inflation component, rose a greater-than-expected 0.2%. (Full story).

Jobless claims. The number of Americans filing new claims for unemployment jumped by 35,000 last week, the government said, topping forecasts for a rise of 18,000. (Full story).

Exxon Mobil. The No. 1 U.S. oil company reported sharply higher quarterly sales and earnings on surging oil prices, but results were shy of forecasts, sending shares more than 3% lower in morning trade. Stock (XOM, Fortune 500).

Source: cnn