Low point for GM drags stocks lower

NEW YORK - Stocks closed an erratic session mixed Wednesday as General Motors Corp. hit an 18-year low, dragging down the Dow Jones industrial average. Rising oil prices also dulled investor enthusiasm.

The price of crude overshadowed a government report of moderating inflation that initially gave stocks a modest lift. Oil futures settled at $57.88 a barrel, up 90 cents on the New York Mercantile Exchange, a sharp change from the four-month low they reached Tuesday. Wednesday's government petroleum inventory numbers were weaker then expected.

GM fell as concerns mounted about problems at its top supplier, Delphi Corp., and worries about the company's ability to turn around its performance. Leaders of the United Auto Workers said the union and Delphi remain far apart on a new labor agreement, and fears of a strike have spooked investors.

Broader economic news was more upbeat. The Labor Department reported that consumer prices edged up only 0.2 percent in October, the best showing in four months. In September, consumer prices soared by 1.2 percent on record energy prices. That inflation increase was the largest one-month jump in 25 years.

The Dow fell 11.68, or 0.11 percent, to 10,674.76.

Broader stock indicators were barely higher. The Standard & Poor's 500 index rose 2.20, or 0.18 percent, to 1,231.21, and the Nasdaq composite index rose 1.19, or 0.05 percent, to 2,187.93.

Bonds rose sharply as stocks declined, with the yield on the 10-year Treasury note falling to 4.47 percent from 4.56 percent late Tuesday. The U.S. dollar was mixed against other major currencies in European trading. Gold prices were higher.