US STOCKS-Oil price, Hewlett-Packard hurt market

(Updates to midday, changes byline)

*Market falls as oil hits record high

*Optimism on retail sales is short-lived

*Wal-Mart issues disappointing outlook

*Hewlett-Packard weighs on indexes

By Cal Mankowski

NEW YORK, May 13 (Reuters) - U.S. stocks fell on Tuesday, after Wal-Mart Stores Inc's (WMT.N: Quote, Profile, Research, Stock Buzz) outlook disappointed and the price of oil pushed further into record territory, renewing concerns about the effect of higher energy prices on consumers.

Wal-Mart posted stronger-than-expected earnings but indicated results for the current quarter could have trouble hitting Wall Street's estimates as customers struggle. The retailer's outlook contrasted with data showing surprising strength in retail sales last month, excluding the hard-pressed auto sector.

Hewlett-Packard (HPQ.N: Quote, Profile, Research, Stock Buzz) shares dragged on market indexes after it struck a deal to buy Electronic Data Systems (EDS.N: Quote, Profile, Research, Stock Buzz) for $12.6 billion.