Dow and S&P close higher for 7th week (ext)

NEW YORK (CNNMoney) -- U.S. stocks ended moderately higher Friday, as investors shrugged off lackluster economic data and shifted focus to next week's avalanche of corporate reports.

The Dow Jones industrial average (INDU) added 0.5%, while the S&P 500 (SPX) and Nasdaq (COMP) each gained more than 0.7%.

"The market's moves are extraordinary, considering this morning's economic reports were not great," said Keith Springer, head of Springer Financial Advisors.

Stocks are overbought right now and the market is due for a correction, Springer said. But rather than moving sharply lower, the market is "resting" by merely moving sideways.

Those daily pullbacks are actually good signs that the market is keeping itself in check. Stocks ended lower Thursday in a quiet session.

Before the opening bell, the government reported that both inflation and retail sales rose last month.

The Commerce Department's Consumer Price Index, a key measure of consumer inflation, rose 0.5% in December after inching up 0.1% in the previous month.

Core CPI edged up 0.1% after rising the same amount in November. The increase was in line with estimates.

The dollar fell against the British pound but rose versus the euro and the Japanese yen.

Oil for February delivery rose 14 cents to settle at $91.54 a barrel.

Gold futures for February delivery slumped $26.50 to settle at $1,360.50 an ounce, near six-week lows.