June 8 (Bloomberg) -- U.S. stocks gained for the first time in four days, led by technology shares, after oil prices fell and exports climbed to a record.
National Semiconductor Corp. rose the most in the Standard & Poor's 500 Index after the chipmaker posted profit that beat analysts' estimates. McDonald's Corp., the world's biggest restaurant chain, led the Dow Jones Industrial Average higher after reporting a jump in May sales.
Crude fell from a nine-month high, helping stocks rebound from losses spurred by rising bond yields. The trade deficit narrowed more than forecast in April, a sign expanding economies overseas and a cheaper dollar are boosting demand for American- made goods. A drop in shares of energy producers limited the market's advance.
``We still remain bullish,'' said Henry Smith, who helps manage about $5.5 billion as chief investment officer at Haverford Trust Co. in Philadelphia. ``Stocks are attractive.''
The Standard & Poor's 500 Index gained 3.18, or 0.2 percent, to 1493.9 as of 11:23 a.m. in New York. The Dow average increased 23.08, or 0.2 percent, to 13,289.81. The Nasdaq Composite Index added 10.5, or 0.4 percent, to 2551.88.
Shares plunged for a third day yesterday after 10-year bond yields breached 5 percent for the first time since August, fueling speculation the Federal Reserve will raise interest rates. Treasuries were little changed today.
The U.S. trade deficit narrowed even as the deficit with China jumped. Exports rose to a record and imports dropped. The gap in goods and services trade fell 6.2 percent, the most in six months, to $58.5 billion, from a revised $62.4 billion in March.
Exports Gain
Non-U.S. sales accounted for 48.6 percent of total revenue for S&P 500 companies last year, based on estimates compiled by S&P.
Crude oil for July delivery slid 1.2 percent to $66.13 a barrel in New York on speculation that U.S. fuel stockpiles will increase for a sixth-straight week and after cyclone Gonu weakened.
Technology shares climbed 0.7 percent as a group and contributed the most to the S&P 500's advance.
National Semiconductor climbed $3.18, or 12 percent, to $28.97. The company, whose chips manage power in electronic devices, reported fourth-quarter net income fell less than analysts estimated and said sales climbed from the preceding three months, a sign that an industry glut may be abating.
Demand Improved
Chief Executive Officer Brian Halla said demand for mobile- phone parts improved last quarter, and new products such as audio amplifiers for handsets helped boost profit.
Texas Instruments Inc., the world's largest maker of mobile- phone chips, added $1.08, or 3.1 percent, to $35.47 for the No. 2 gain in the S&P 500.
McDonald's gained 76 cents, or 1.5 percent, to $50.97 after it said sales at U.S. stores open at least 13 months increased 7.4 percent in May, helped by a ``Shrek the Third'' movie promotion and chicken salads and sandwiches. The gain topped an estimate of 5 percent from RBC Capital Markets Corp. analyst Larry Miller.
Tyco International Ltd. climbed 69 cents to $33.32. The manufacturing conglomerate said it will spin off its health-care and electronics units to shareholders at the end of the month after winning approval from its board and the U.S. Securities and Exchange Commission.
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