Stocks falter, oil prices rally

New York -- U.S. stock indexes declined Friday on several issues as oil prices perked up for the Labor Day weekend and maybe a confrontation with a storm.

The Dow Jones industrial average was down 159.26 points, or 1.36 percent, at 11.555.92 at midday. The Nasdaq composite was down 46.33 points, or 1.92 percent, to 2,365.31. The Standard and Poor's 500 lost 14.80 points, or 1.14 percent, to 1,285.88.

Crude oil prices climbed $1.17 to $117.13 a barrel.

Evacuation preparations were under way at offshore facilities in the Gulf of Mexico as Tropical Storm Gustav continued its lethal charge.

Consumer spending slowed in July but personal consumption went up, the U.S. Commerce Department said. Personal consumption increased by 0.2 percent and
spending was up 0.6 percent.

The dollar fell against rivals, notably the Japanese yen.

Overseas, Tokyo's Nikkei 225 closed up 304.63 points at 13,072.87. London's FTSE was up 0.6 percent to 5,636.60.

Copyright 2008 by United Press International.