Dow Climbs Above 5,500, Extends Streak

Stocks broke out of a dull session Thursday to push to new highs for the fourth day running, as investors - fearing an economic downturn - stepped up their purchases of recession-resistant issues.

The Dow Jones industrial average rose 47.33 points to close at 5,539.45, breaching 5,500 for the first time. The blue-chip index is up 8.25 percent this year.

The Dow spent most of the day at slightly depressed levels but shot higher in the final hour on the strength of computer-driven buying programs. The Dow was up more than 50 points late in the day, prompting the New York Stock Exchange to impose trading restrictions in an attempt to smooth market activity.

“All week it’s been the same pattern,” said Larry Wachtel, market analyst at Prudential Securities. “We start out dull and then we come out in the last hour. It’s like death and taxes now.”

Blue-chip issues outperformed the broader market. Advancing issues had a slim 7-to-5 lead on decliners on the New York Stock Exchange. Volume was moderately heavy at a revised 469.65 million shares as of 4 p.m., slightly above Wednesday’s pace.

Some of the stocks that moved substantially Thursday:

NYSE

Micron Technology fell 1-5/8 to 39-3/4.

Motorola fell 3/4 to 56-7/8.

Cypress Semiconductor fell 9/16 to 15.

Semiconductor stocks fell in anticipation of a release of the National Semiconductor Association’s book-to-bill ratio for January.

General Motors fell 1-5/8 to 51-1/8.

Chrysler fell 1-5/8 to 56-3/4.

Ford fell 1/2 to 29-3/8.

Schroder Wertheim downgraded General Motors to hold from buy. Other auto stocks fell.

Burlington Coat Factory rose 1 to 11-1/4.

Second-quarter net income rose to $1.20 per share from $1.06. Revenues climbed to $661.8 million from $659.9 million.

NASDAQ

Apple Computer fell 3/8 to 27-7/8.

Sun Microsystems rose 3/4 to 48-1/4.

Apple denied that it was in merger talks with “any party,” following persistent reports over the last few weeks that it was talking to Sun. The deal seemed less likely after Apple appointed Gil Amelio as chief executive last Friday. Amelio was expected to try to resuscitate Apple first.

AMEX

Hasbro rose 1-3/8 to 35-3/4.

The nation’s second-largest toymaker said its fourth-quarter profits rose to 97 cents a share from 86 cents. The company successfully fended off a hostile takeover bid from Mattel, the No. 1 toymaker.