"This is a good way to end the week. We've hung on to most of the gains and the market's overall tone is better and the news appears to be improving," said Rafael Tamargo, director of equity research at Wilmington Trust. "I do think there is a base here for us to build on. But is it a straight shot up? Absolutely not."

The Dow closed up 63.87, or 0.6 percent, at 10,353.08, according to preliminary calculations. The gauge, which enjoyed two triple-digit advances earlier this week, had its highest finish since April 10, when it stood at 10,381.73.

Broader stock indicators also moved higher. The tech-focused Nasdaq composite index gained 10.95, or 0.6 percent, to 1,741.39. Its last five-session gain was in early October.

The Standard & Poor's 500 index advanced 8.36, or 0.8 percent, to 1,106.59.

The index's weekly performances were also solid. The Dow gained 4.1 percent, the Nasdaq rose 8.8 percent and the S&P climbed 4.9 percent.

Trading today was mostly lackluster. Although the market got an upbeat outlook from Dell Computer and encouraging consumer sentiment numbers, investors appeared to be taking a break ­ a normal occurrence, analysts said, following four days of mostly positive momentum.

Dell rose 9 cents to $27.94 on earnings that beat expectations despite a slight drop in first-quarter profits. The company also raised its forecast for second-quarter profits.

Other tech stocks were mixed. Microsoft dropped 1 cent to $55.73, while Intel rose 22 cents to $30.99.

Wall Street was pleased with, but not inspired by, a University of Michigan report on consumer sentiment. The school's index rose to 96.0 in mid May from 93.0 in mid April, Dow Jones News reported. Consumer spending accounts for two-thirds of the economy, so any improvement in consumer sentiment is considered good for business.

Among blue chips, Schering-Plough rose $1.25 to $26 after announcing it would pay the federal government $500 million to settle quality control issues at two manufacturing plants. The stock had fallen sharply earlier in the week on reports of criminal investigation by the government, which has yet to be resolved. Schering-Plough also reduced its 2002 forecast, citing the cost of the deal.

But retailer Gap dropped 52 cents to $16.37 on first-quarter earnings that beat expectations but still showed weak sales.

Also today, the Commerce Department reported that the sale of American goods overseas grew at a slightly faster rate than imports in March. The trade deficit fell to $31.6 billion, 0.4 percent better than the February gap.

Despite the strength of the market this week, analysts are cautious. They note that Wall Street has had a recent history of rallying unsustainably as investors lose confidence that business is improving.