NEW YORK (AP) – Stocks moved sideways Wednesday as investors tried to determine whether the previous session’s rally had legs and might continue or whether the pessimism that pressed investors into selling for much of the past week would win out.

While Tuesday’s advance was impressive – the Dow Jones industrials made up about 26 percent of the losses they suffered in the previous week – investors were left trying to determine whether recent volatility that had been absent the markets in recent months would subside long enough to allow Wall Street to build some consensus about where stocks were headed.

Investors showed little reaction to comments from Chicago Fed President Michael Moskow that inflation remains stubborn and that interest rate increases might be needed to contain costs.

Investors in the past week have harbored concerns about a global economic slowdown and have looked to economic data as they try to determine whether the economy is still capable of pulling off a soft landing and showing slower yet sustainable growth.

“The market is stabilizing after the storm of last week. That’s real progress. It’s extremely welcome. It allows us to restore investor confidence,” said Hugh Johnson, chairman and chief investment officer of Johnson Illington Advisors.

In early afternoon trading, the Dow Jones industrial average rose 18.82, or 0.15 percent, to 12,226.41. The Dow traded within a 63-point range Wednesday, a much narrower band than in recent sessions, which showed greater volatility.

Broader stock indicators fell slightly. The Standard & Poor’s 500 index rose 1.47, or 0.11 percent, to 1,396.88, and the Nasdaq composite index fell 3.60, or 0.15 percent, to 2,381.54.

Bonds investors made small bets as they tried to gather a further reading on the economy. Bonds rose, with the yield on the benchmark 10-year Treasury note falling to 4.52 percent from 4.53 percent from late Tuesday. The dollar mixed against other major currencies, while gold prices rose.

Light, sweet crude rose $1.03 to $61.72 per barrel on the New York Mercantile Exchange after weekly domestic inventory data showed a surprise draw on stocks.

Overseas markets, which have influenced U.S. trading over the past week, finished mixed, which contributed to Wall Street’s uncertainty. Investors awaited economic data due later in the day, including the Federal Reserve’s assessment of regional economic conditions.

While much of the day’s economic news is due later in the session, investors received some word on employment. The ADP National Employment Report found private sector employment rose by 57,000 jobs in February, the weakest reading since July 2003. The findings arrived before Labor Department’s employment report, which is due Friday.

In corporate news, CV Therapeutics Inc. fell $3.09, or 25.1 percent, to $9.21 after the drug maker said its only approved drug failed to show adequate improvement over a placebo at treating heart disease.

Friendly Ice Cream Corp. jumped $1.74, or 14.7 percent, to $13.58 after the restaurant chain said it would consider putting itself up for sale and that it turned a profit in the fourth quarter.

Saks Inc.’s same-store sales – or sales at stores open at least a year – jumped 24.7 percent in February as the department store chain saw higher sales of full-price merchandise. The stock rose $1.07, or 5.7 percent, to $19.81.

BJ’s Wholesale Club Inc. rose 52 cents to $31.42 after the wholesale store chain’s fiscal fourth-quarter profit fell 77 percent amid restructuring costs. Results were stronger than expected.

Conseco Inc., the life and health insurer, fell 77 cents, or 3.9 percent, to $18.89 after it swung to a fourth-quarter loss amid higher expenses. The company also said it won’t offer financial forecasts until it irons out problems in its business.

Advancing issues outnumbered decliners by about 9 to 7 on the New York Stock Exchange, where volume came to 917.2 million shares, a level more typical of everyday trading than the big volume numbers Wall Street has posted for much of the last week.

The Russell 2000 index of smaller companies fell 0.10, or 0.01 percent, to 778.78.

Overseas, Japan’s Nikkei stock average closed down 0.47 percent, Hong Kong’s Hang Seng index fell 0.73 percent, the Shanghai Composite Index, which helped trigger last week’s selloff when it fell nearly 9 percent in single session, rose 1.99 percent. In afternoon trading, Britain’s FTSE 100 closed up 0.29 percent, Germany’s DAX index added 0.34 percent, and France’s CAC-40 advanced 0.33 percent.

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