By Mark DeCambre and Carla Mozee, MarketWatch

Stocks on track for fourth straight weekly gain

The S&P 500 and Nasdaq Composite were seeing tepid gains late-morning Friday, but the Dow industrials were under pressure from losses in General Electric Co. and Boeing Co.

Friday's early trading has been market by mostly cautious moves as investors await next week's important policy statement from the Federal Reserve.

The S&P 500 Index was up a modest 0.2% at 2,169, boosted by a 1.6% jump in telecom and a 0.9% climb in utilities. Telecom and utilities are typically viewed as defensive sectors.

Eight of the S&P 500's 10 sectors were trading in positive territory, with losses in industrials, off 0.5%, and health-care, down 0.1%, limiting advances in the large-cap index.

The Nasdaq Composite Index rose 19 points, or 0.4%, at 5,093 as the tech sector drew bidders.

However, a 2% fall in General Electric(GE) and a 1.2% decline in Boeing (BA) were offsetting a 1.2% rise in Verizon Communications Inc.(VZ) in the Dow Jones Industrial Average . The blue-chip gauge rose 10 points to 18,527, after snapping its nine-session win streak on Thursday.

A batch of mostly better-than-expected earnings has offered some cause for cheer among investors and provided some support for equities to climb with earnings season a third of the way complete, said Jonathan Golub, chief equity strategist at RBC Capital Markets.

Second-quarter profits are on track to show a contraction of 4.2% with more than 100 companies in the S&P 500 already out with quarterly results, according to FactSet data. That compares with an estimate of a fall in profit of 5.3% in the second quarter, according to an average estimate of analysts polled by FactSet.

"The reason we study earnings is to get a sense of where things are going not were they've been and I think that if there was a vulnerability going into earnings season that people were concerned about negative growth rate it really looks like that fear is going away," Golub said.

Quincy Krosby, market strategist at Prudential Financial, said wobbly stock moves over the past few sessions make sense, considering the sizable swing higher for equities over the past week.

"Typically, when a market moves higher toward new highs it tends to wait to adjust for the next new catalyst," Krosby said.

For Wall Street, the next impetus likely will be the two-day Fed policy meeting slated for July 26-27. Although the central bank isn't expected to push benchmark rates higher, market participants will pore over the updated policy statement for clues on the pace and timing of the next rate hike, which could influence the U.S. dollar, Treasurys and the broader stock market.

"That statement is going to be very important for the market if it suggests that a rate hike is in the offing," Krosby said. The Wall Street Journal reported Fed members, which have vacillated in their policy intentions, are gaining more confidence about a rate hike sometime this year, and as early as September (http://www.wsj.com/articles/fed-officials-gain-confidence-they-can-raise-rates-this-year-1468922401). Worries about the effects of the U.K.'s decision to leave the European Union, along with a dismal May employment figure (http://www.marketwatch.com/story/us-gains-just-38000-new-jobs-in-may-2016-06-03), had been among the reasons the central bank cited as giving it pause in lifting interest rates.

"The market is very interested in what the Fed has to say in its statement next week, and we may have to get through that before the market takes a definitive move in one direction or another," Krosby said.

On Thursday, the Dow snapped a nine-session string of gains and ended a streak of all-time closing highs at seven. That came in part as chip maker Intel Corp.(INTC) sank 4% on a disappointing quarterly revenue result (http://www.marketwatch.com/story/intels-quarterly-earnings-beat-expectations-while-revenue-falls-short-2016-07-20). The Dow's run of record highs and daily wins were the longest since March 2013.

"Stock markets entered a slippery decline during trading on Thursday, as the terrible combination of disappointing earnings, central bank inaction and recurrent concerns over the global economy weighed heavily on sentiment," said Lukman Otunuga, FXTM research analyst, in a note.

Still, the Dow, Nasdaq Composite and S&P 500 could notch a fourth consecutive weekly gain, marking their longest weekly win streaks since a string of five weekly gains ended March 18, according to FactSet data.

Thursday's "declines in global stocks should be no surprise...most major markets are tired," Otunuga said.

Data: Markit's preliminary reading of its manufacturing purchasing managers index came in at 52.9 for July from 51.3 in the prior period, beating analysts polled by FactSet, who were looking for a reading of 51.5. A reading above the 50 level indicates expansion.

Fed speakers: There are no Fed speakers, as policy makers head into their meeting on July 26 and 27.

Corporates: Ahead of the bell, industrial conglomerate General Electric Co.(GE) posted a 15% rise in second-quarter revenue (http://www.marketwatch.com/story/ge-swings-to-profit-revenue-rises-15-2016-07-22) but a 2% decrease in orders. GE shares slipped 2.3% in early trade.

Whirlpool Corp.(WHR) issued second-quarter earnings and sales (http://www.marketwatch.com/story/whirlpool-reports-better-than-expected-q2-earnings-sales-and-raises-full-year-guidance-2016-07-22) that outstripped expectations. The appliance maker also raised its full-year earnings forecast. Its shares were up 1.8% early.

Honeywell International Inc. (HON) shares tumbled 3.6% after the company posted second-quarter earnings (http://www.marketwatch.com/story/honeywell-international-cuts-revenue-outlook-2016-07-22) that beat expectations, but sales were below consensus. The industrial-sector heavyweight raised the low end of its full-year per-share earnings view and said it is creating two new business segments.

VF Corp.(VFC), whose apparel brands include Wrangler, Lee and The North Face, turned in second-quarter earnings (http://www.marketwatch.com/story/vf-corp-q2-earnings-beat-on-eps-miss-on-revenue-lowers-2016-sales-outlook-2016-07-22) that were above expectations. Revenue, however, missed and VF lowered its 2016 sales outlook. Shares were 0.5% lower.

American Airlines Group Inc.'s(AAL) second-quarter per-share earnings (http://www.marketwatch.com/story/american-airlines-posts-quarterly-declines-2016-07-22) met analyst expectations while revenue was slightly ahead of Wall Street's estimate. Its shares climbed 2.7% in early trading.

Shares of Advanced Micro Devices Inc.(AMD) jumped 11% after the chip maker late Thursday swung to a quarterly profit (http://www.marketwatch.com/story/advanced-micro-devices-swings-to-a-profit-2016-07-21-17485351) and reported its first sales increase in almost two years.

Starbucks Corp. shares (SBUX) gained 0.8% after the Seattle-based coffee retailer missed its quarterly sales target (http://www.marketwatch.com/story/starbucks-blames-social-unrest-after-sales-miss-2016-07-22), citing international and domestic political and social unrest as the reason for its disappointing results.

Boeing (BA)warned second-quarter charges could reach $2.05 billion (http://www.marketwatch.com/story/boeing-shares-lower-after-company-forecasts-205-billion-q2-charges-2016-07-21).

Chipotle Mexican Grill Inc. (CMG) shares rose 4.4% after the company posted an 82% slide in quarterly profit (http://www.marketwatch.com/story/chipotle-profit-plunges-as-sales-slide-2016-07-21-16485427) late Thursday. The restaurant chain enacted costly promotions to win back customers following outbreaks of foodborne illness last year.

PayPal Holdings Inc.(PYPL) shares dropped 6.5% after the payment-services provider late Thursday posted a rise in revenue. It also announced a deal that will make it easier for consumers to use a Visa credit or debit card (http://www.marketwatch.com/story/consumers-win-as-visa-and-paypal-go-from-enemies-to-frenemies-2016-07-21) when paying with PayPal.

Visa Inc.(V), meanwhile, posted a 76% decline in quarterly earnings (http://www.marketwatch.com/story/visa-earnings-drop-on-deal-related-charges-2016-07-21) on charges related to a deal for its European operations. The financial company's shares rose 0.6%.

Other markets: Gold futures fell 0.8% to $1,319 an ounce. The U.S. Dollar Index was up 0.1% at 97.10. Oil futures were down 1.9% at $43.92 a barrel ahead of weekly rig-count data due at 1 p.m. Eastern.

European stocks shed 0.2% a day after the European Central Bank left monetary policy unchanged. In Japan, the Nikkei Average ended 1.1% lower, as Asian markets fell (http://www.marketwatch.com/story/asian-markets-slip-after-ecb-expectations-fall-short-2016-07-21).

(END) Dow Jones Newswires

July 22, 2016 12:00 ET (16:00 GMT)