Stocks climb ahead of Greece decision; Dow near 13,000

By msnbc.com news services

U.S. stocks rose Friday, but investors stayed cautious before a long holiday weekend when hopes are set for Greece's bailout plan to be approved.

The Dow Jones industrial average finished the day up 46 points, 51 points away from closing above 13,000 -- a level the Dow hasn’t seen since May 2008, making it a four-year high for the index.

The modest advance extended Thursday's rise that has pushed the benchmark S&P index up more than 23 percent from its October low.

"It is encouraging that we obviously had some breakouts yesterday on the indexes and we are not giving anything back," said Ryan Detrick, senior technical strategist at Schaeffer's Investment Research in Cincinnati.

"There is a slow realization that all the negativity we saw four months ago about Europe bringing a worldwide depression ... is quickly becoming false as we look at this economic data that continues to come in pretty strong."

Typically the stock market also pauses towards the end of earnings season as the market digests the results. According to Thomson Reuters data, 404 of the S&P 500 companies have reported results, with 64 percent beating expectations.

The S&P 500 index has risen 8 percent so far this year.

Some analysts expect the market to sell into the close, as euro-zone finance ministers will meet to approve a 130 billion euro rescue package for Greece on Monday when the U.S. market will be closed for the Presidents Day holiday.

Equity markets have tended to react positively on progress in helping Athens avoid a chaotic bailout. But past agreements have broken down at the last minute and led to market disappointment.

The market is seen by chartists at a short term top, with the S&P at 9-month highs. The index came within 10 points of hitting its highest level since 2008.

The Nasdaq underperformed the overall market, dragged lower by a sharp decline in shares of Gilead Sciences after some patients treated with its experimental hepatitis C drug relapsed. Gilead acquired the drug with its $11 billion purchase of Pharmasset announced in November.

HJ Heinz and Campbell Soup gained after both food makers posted better-than-expected quarterly profits. In contrast General Mills lost ground after it lowered its outlook.

Data showed U.S. gasoline prices jumped 0.9 percent in January, pushing overall consumer prices up and offering a reminder of the risks energy costs pose to the economic recovery.

Reuters contributed to this report.