* U.S. stock indexes score gains for the week
* VIX jumps on Russia, Ukraine concerns
* Monster Beverage leaps 30 pct on Coca-Cola investment
* Dow down 0.3 pct; S&P 500 off 0.01 pct; Nasdaq up 0.3 pct
(Updates to close)
By Akane Otani
NEW YORK, Aug 15 U.S. stocks ended mixed on
Friday, paring an earlier selloff sparked by reports of Ukraine
shelling a Russian armored column.
The tech-heavy Nasdaq was lifted by gains in stocks like
Gilead and Microsoft.
The three major U.S. stock indexes had opened higher on
hopes of easing tensions between the two countries, but came
under pressure when Ukraine, contradicting a report from
Russia's Defense Ministry, said it had shelled a Russian armored
"What we saw was just a bit of a knee-jerk reaction to the
headlines," said Robert Pavlik, chief market strategist at
Banyan Partners LLC in New York.
"I think the fact that the market sold off relatively hard
on the Ukraine report but came back in the last hour or so is a
reflection of us not getting any additional confirmation on the
Russian column being attacked."
The CBOE Volatility Index, Wall Street's fear
barometer, shot up as much as 20.3 percent to a session high at
14.94. At the close, though, the VIX was up 5.9 percent at
13.15. Investors rushed to buy safe-haven bonds and the 10-year
U.S. Treasury note yield at one point dropped to 2.30 percent,
its lowest level since June 2013.
The Dow Jones industrial average fell 50.67 points,
or 0.30 percent, to close at 16,662.91. The S&P 500
dipped 0.12 of a point, or 0.01 percent, to end at 1,955.06. The
Nasdaq Composite added 11.93 points, or 0.27 percent, to
end at 4,464.93.
At one point during the selloff, the Dow briefly turned
negative for the year when it touched a session low at
16,575.42. The S&P 500 fell as low as 1,941.50 while the Nasdaq
touched an intraday low at 4,427.13.
For the week, the Dow rose 0.7 percent, the S&P 500 gained
1.2 percent and the Nasdaq climbed 2.2 percent.
The stock of Gilead Sciences Inc rose 3.3 percent
to $99.49. Gilead contributed the most to the Nasdaq's gain, in
terms of index points. The biotech company said on Friday that
an arbitration panel ruled in its favor and rejected a patent
infringement claim brought by Roche Holding AG.
Applied Materials Inc, up 6.3 percent at $22.48,
also gave the Nasdaq a major boost a day after the chip
equipment maker reported quarterly earnings that beat
Shares of Monster Beverage Corp jumped 30.5 percent
to $93.49 a day after Coca-Cola Co said it was buying a
16.7 percent stake in the company for $2.15 billion.
The rally in Monster's stock helped both the
Nasdaq 100 and the S&P 500. Coca-Cola, a Dow component,
gained 1.7 percent to close at $40.88.
In the latest snapshot of the economy, U.S. manufacturing
output rose broadly in July and automobile production recorded
its largest increase in five years. Other data, however, showed
some cooling in factory activity. U.S. consumer sentiment fell
in August to its lowest since last November, according to a
preliminary reading from the Thomson Reuters/University of
About 5.9 billion shares traded on all U.S. platforms,
according to BATS exchange data, compared with the five-day
average of 5.1 billion.
(Editing by Bernadette Baum, James Dalgleish, Nick Zieminski
and Jan Paschal)