NEW YORK - The stock market ended its best week in a year with another gain Friday as investors bet that companies will report strong second-quarter earnings.
The Dow Jones Industrial Average rose 59 points, or 0.6 percent. That gave the Dow its biggest weekly advance in a year, 5.3 percent. Broader indexes posted bigger gains. Trading volume was light, signaling that many investors were staying out of the market. But those who were trading appeared optimistic about the company reports that will be announced starting next week.
Stocks also got a lift from news that China renewed Google's license to operate in the country. The renewal was in doubt because of a strained relationship between the company and China's government over censorship of search results. Google rose 2.4 percent.
News on the economy wasn't as upbeat. Inventories held by wholesalers rose in May for a fifth straight month though sales dropped for the first time in more than a year. But investors didn't appear fazed by the inventories report. Instead, the market appeared to hold on to optimism fed by Thursday's report of a drop in the number of newly laid-off workers seeking unemployment benefits. That report ended a string of bad news about the job market, and likely contributed to investors' more positive mood going into what's known as earning season.
For the week, the Dow rose 512 points, or 5.3 percent, its best gain since the week ended July 17, 2009. The Standard & Poor's 500 index rose 5.4 percent for the week, while the Nasdaq gained 5 percent.