UPDATE

Stocks rose on Monday but the gains looked shaky as investors weighed whether equities still have room to move higher if the Federal Reserve cuts interest rates this week.

Oil leapt to a record high for a third day on Monday, surpassing $93 as Mexico briefly halted one-fifth of its production and the U.S. dollar struck new lows. Oil prices have soared by more than a third since mid-August as a stand-off between Turkey and Kurdish rebels, dollar weakness, easing interest rates and winter supply fears attracted a fresh wave of investment capital.

The dollar fell to fresh lifetime lows versus the euro and a basket of currencies on Friday as investors fretted an anticipated Federal Reserve interest rate cut next week would not be the last.

Stocks were little changed on Thursday as a batch of weak economic data offset positive earnings from tech companies, including Motorola Inc. Data showed orders for durable goods declined unexpectedly in September. Another report showed a fall in initial jobless claims was smaller than expected. Finally, sales of new homes in September were below expectations.

Oil fell more than $1 on Tuesday, retreating further from record highs set last week in response to concerns about the health of the U.S. economy and further indications OPEC has already substantially raised oil output.

The dollar posted gains on Monday, making a comeback from record lows versus the Euro and other major currencies.

Gold fell 2.6 percent on Monday after matching 28-year highs as worries about the U.S. economy and fears over bank credit triggered a heavy sell-off in financial and commodities markets.

Oil fell nearly $2 to below $87 a barrel on Monday as financial markets tumbled on growing concerns over the health of the U.S. economy, triggering a correction from recent record highs.

Stocks fell on Thursday, hit by losses in financial companies after Bank of America Corp reported a sharp drop in earnings, stoking concern the credit crunch was dragging on profits and the economy.

The dollar dropped to a record low against a basket of currencies and the euro on Thursday after Bank of America's third-quarter earnings results missed estimates and renewed concerns of a U.S. economic slowdown.

Oil resumed its upward march on Thursday, its sights set on a new record high above $89 that would deepen economic worries in the United States and unease among some OPEC producers.

Oil prices touched a new peak of $89 a barrel on Wednesday as investors fretted over possible military action by Turkey in northern Iraq and a potential supply crunch this winter.

The dollar eased against the yen and euro on Monday, weighed down by weakness in the U.S. stock market after comments by a top Citigroup official raised anew concerns about global credit.

Oil jumped nearly 3 percent to a record over $86 a barrel on Monday as fresh tensions in the Middle East added to worries of a supply crunch when cold weather stokes up heating demand this winter. Oil prices have more than quadrupled since 2002 but remain below the inflation adjusted peak of around $90 a barrel struck after the Iranian revolution of 1979.

Stocks rose on Friday, led by technology shares after a surprise takeover proposal in the software sector, data pointing to strength in consumer spending and a brighter outlook from McDonald's Corp.

Stocks inched higher on Tuesday as investors bet that quarterly earnings reports, which begin later on Tuesday, would beat estimates and brokerages raised price targets on some of the biggest technology stocks.

Stocks were little changed on Monday as caution before the quarterly earnings reporting season offset a boost from falling crude oil prices.

Blue-chip stocks fell on Tuesday as investors booked profits following a record reached in the previous session, but in the broader market, bank stocks and home builders gained as investors bet the worst of the credit squeeze may be over.

The dollar rose on Tuesday from record lows as investors trimmed bets of further declines in the U.S. currency ahead of key economic data later this week.

Stocks surged on Monday, sending the Dow to a record close on the first trading day of the fourth quarter, as investors bet that Wall Street may have seen the worst of the credit squeeze after three global banks detailed expected losses from the crisis.

The dollar dropped to a record low versus the euro for the seventh consecutive trading session on Friday on expectations that continued weakness in the economy will force U.S. central bankers to continue to provide more motivation to investors by cutting interest rates.