With few earnings reports and no new economic data to encourage buying, there was little impetus for investors to continue the week's rally. The major indexes have all risen more than 3 percent since last Friday's close, buoyed by positive economic data and falling oil prices.

A pair of merger and acquisition deals helped limit the losses, but most investors kept to the sidelines in anticipation of next Tuesday's release of minutes from the Federal Reserve's May 3 meeting. Wall Street is hoping for more clues on the state of inflation and economic growth.

"I think we're just seeing a little bit profit taking after a nice run-up in the market," said Joseph Keating, chief investment officer at AmSouth Asset Management. "I don't think it's anything more than that, at least for now."

The Dow Jones industrial average fell 21.28, or 0.2 percent, to 10,471.91.

Broader stock indicators were narrowly mixed. The Standard & Poor's 500 index was down 1.80, or 0.15 percent, at 1,189.28, while the Nasdaq composite index gained 3.84, or 0.19 percent, to 2,046.42.

The bond market saw minimal losses, with the yield on the 10-year Treasury note climbing to 4.12 percent from 4.11 percent late yesterday. The dollar fell against most major currencies, and gold prices also lost ground.

Crude oil futures vacillated most of the session and finished modestly lower. A barrel of light crude for June delivery was quoted at $46.80, down 12 cents, on the New York Mercantile Exchange.

Falling oil prices and benign reports on inflation helped boost the stock market to its best weekly showing of the year, spurred by 100-point gains on the Dow Monday and Wednesday. For the week, the Dow gained 3.27 percent, the S&P climbed 3.05 and the Nasdaq jumped 3.52 percent.

"It's definitely been a good run, and it's good that you see the market today sitting back, digesting a bit relaxing," said Jay Suskind, head trader at Ryan Beck & Co. "We haven't had a huge bout of profit taking here, so maybe we're building a base and maybe we can start trading in a higher range than we did in April."

Comments by Federal Reserve Chairman Alan Greenspan on oil prices did little to move the markets. Greenspan said the economy was affected by last month's surging oil prices, but that the effect would not be felt long-term.

America West Airlines Inc. rose 36 cents to $5.17 after it agreed to merge with bankrupt carrier US Airways Group Inc. The combined airline will be the No. 6 carrier in the United States and will fly under the US Airways name. The move allows US Airways to emerge from bankruptcy, and the company has already attracted $1.5 billion in capital. Shares of US Airways, trading on the over-the-counter bulletin board, were down 23.4 percent, or 29 cents, at 95 cents per share after climbing sharply higher yesterday.

Maytag Corp. late yesterday announced it would be purchased by private investors for $1.13 billion in cash, or $14 per share. The investors also will assume $975 million of company debt under the deal. Maytag surged 24.6 percent, or $2.84, to $14.40.

General Motors Corp. climbed 23 cents to $32.98 after The New York Times reported the automaker planned to cut back on production and streamline its product offerings. Only Cadillac and Chevrolet will offer full lines of cars and trucks, with the company's other brands focusing on different types of cars.

Gap Inc.'s quarterly profit fell 7 percent from a year ago as sales slumped, but the clothing chain's earnings still beat analysts' expectations by a penny per share. The company plans a number of summer promotions and products to revive sales. Gap fell 28 cents to $21.46.

Time Warner Inc. lost 14 cents to $17.61 after the media conglomerate announced it would begin paying a quarterly cash dividend of 5 cents per share starting in the third quarter.

Declining issues outnumbered advancers by about 4 to 3 on the New York Stock Exchange, where preliminary consolidated volume came to 1.65 billion shares, compared with 1.8 billion yesterday.

The Russell 2000 index of smaller companies was down 1.05, or 0.17 percent, at 609.41.

Overseas, Japan's Nikkei stock average fell 0.36 percent. In Europe, Britain's FTSE 100 closed up 0.18 percent, France's CAC-40 gained 0.25 percent for the session, and Germany's DAX index edged 0.01 percent higher.

The Dow Jones industrials ended the week up 331.79, or 3.27 percent, finishing at 10,471.91. The S&P 500 index gained 35.23, or 3.05 percent, to close at 1,189.28.

The Nasdaq rose 69.62, or 3.52 percent, during the week, closing today at 2,046.42.

The Russell 2000 index, which tracks smaller company stocks, closed the week 27.39, or 4.71 percent, higher at 609.41.

The Dow Jones Wilshire 5000 Composite Index — a free-float weighted index that measures 5,000 U.S. based companies — ended the week at 11,729.61, up 369.15 points from last week. A year ago the index was 10,625.10.