Stocks Take Breather; Dow Off 3.66

The stock market went nowhere in particular Friday, hesitating after the advance of the past four sessions.

Precious metals stocks were a notable exception to the generally neutral trend, rising with the price of gold.

The Dow Jones average of 30 industrials slipped 3.66 to 1,782.62, reducing its gain for the week to 18.98 points.

Volume on the New York Stock Exchange came to 106.30 million shares, down from 122.44 million on Thursday.

Analysts said hopes for lower interest rates revived after the completion of the $28-billion refinancing by the Treasury that took place Tuesday through Thursday.

In Friday’s activity, prices of 10- to 30-year Treasury securities, which move in the opposite direction from interest rates, showed gains of $5 to $20 for every $1,000 in face amount.

Since the start of the week, blue-chip stocks had been creeping ahead in an advance greeted with much skepticism. But uncertainties about the economic outlook persisted, and expectations evidently have yet to be rekindled on Wall Street of any strong increase in corporate earnings in the months ahead.

Precious metals issues took over the spotlight as the price of gold jumped $13 to $375.50 an ounce on the Commodity Exchange in New York.

ASA Ltd. rose 2 3/4 to 34, Homestake Mining 1 to 24, Freeport-McMoRan Gold 1 to 11 1/2, Campbell Red Lake Mines 1 1/8 to 19 and Newmont Gold 3/4 to 12 3/8.

ITT, recommended by a brokerage firm, climbed 1 5/8 to 52 3/4 in active trading.

Procter & Gamble dropped 7/8 to 76 3/4. The company reported earnings for the quarter ended June 30 of 74 cents a share, against 69 cents in the comparable period a year earlier, apparently disappointing some investors.

Among other actively traded blue chips, American Telephone & Telegraph rose 3/8 to 23 7/8, but International Business Machines fell 1 to 130 and Exxon was down 1/8 at 62 5/8.

Nationwide turnover in NYSE-listed issues, including trades in those stocks on regional exchanges and in the over-the-counter market, totaled 126.02 million shares.

In the credit markets, bond prices turned higher.

In the secondary market for Treasury bonds, prices of short-term governments rose 3/32 point and intermediate maturities rose 13/32,

In corporate trading, industrials rose 7/8 point and utilities rose 7/8 point in heavy trading. Among tax-exempt municipal bonds, general obligations rose 5/8 point and revenue bonds were up a point.