* Tesla to raise $830 mln, stock resumes surge
* U.S. jobless claims hit six-month high
* Wal-Mart falls after earnings miss
* Dow up 0.1 pct; S&P 500 off 0.01 pct; Nasdaq up 0.3 pct
By Rodrigo Campos
NEW YORK, May 16 (Reuters) - U.S. stocks barely budged on
Thursday, with the Dow and S&P 500 hovering near record highs,
as weak factory and labor market news was offset by data
indicating inflation pressure remains tame despite aggressive
Cisco Systems led gains in both the Dow and Nasdaq
Composite with a 12 percent surge after the network equipment
maker posted a higher-than-expected quarterly profit and said
current-quarter revenue could increase.
Cisco shares shot up 12.3 percent to $23.82 after hitting
$24.24, the highest since November 2010.
The U.S. economy showed fresh signs of slower growth in the
second quarter, with factory activity slipping in the
mid-Atlantic region, while groundbreaking slumped at home
construction sites. New claims for jobless benefits unexpectedly
jumped last week.
However, soft underlying inflation - which could point to
weak demand in the economy - also means the Federal Reserve has
room to continue the aggressive monetary policy that has
provided a main pillar for the U.S. stock market's advance.
The S&P 500 is up 16 percent so far this year and trading at
"The data wasn't great, but it has recently surprised a
little bit to the upside," said Paul Zemsky, head of asset
allocation at ING Investment Management in New York.
"Inflation data was very good. It doesn't put any pressure
on the Fed. Investors are confident the Fed will continue to
stimulate the economy."
The Dow Jones industrial average rose 15.79 points or
0.10 percent, to 15,291.48. The Standard & Poor's 500
dipped 0.23 of a point or 0.01 percent, to 1,658.55. The Nasdaq
Composite added 9.04 points or 0.26 percent, to
Earlier, the Dow reached a fresh all-time intraday high at
Shares of Wal-Mart Stores Inc fell 2.1 percent to
$78.22 and dragged on the Dow after the world's largest retailer
posted a quarterly profit that missed Wall Street's
expectations, with sales down 1.4 percent at U.S. stores open at
least a year.
Tesla Motors Inc gained 8.8 percent to $92.28 after
the electric carmaker said it aims to raise $830 million through
a stock-and-debt offering that will be used to repay its U.S.
Department of Energy loans with interest. The stock has surged
more than 50 percent since the company reported earnings last
Shares of NetApp Inc hit their highest in a year
after a Bloomberg report cited unidentified sources as saying
activist investor Elliott Management took a "significant" stake
in the company and intends to push for changes to the board and
cash return strategy.
NetApp shares leaped 6.9 percent to $38.73 on more than
twice the average daily volume of the past 25 days. Earlier, the
shares touched an intraday 52-week high at $39.15.