Stocks climb as earnings reassure

NEW YORK (Reuters) - Stocks rose in choppy trade on Friday after tech bellwether Google Inc posted reassuring results and energy stocks tracked the price of oil higher.

Wall Street was on track to snap its bruising three-week run with its best week in 5 years. Adding to optimism, major global money rates fell, supporting the view that central banks have turned the tide in their fight to unlock credits for cash-strapped banks and borrowers.

In a move that encouraged some investors to scour the market for beaten-down shares, billionaire investor Warren Buffett, writing in the New York Times, said he is buying U.S. stocks.

Energy stocks, such as Chevron helped push the market higher, as oil jumped $4 spurred by expectations OPEC could cut output at an emergency meeting next week.

Google shares jumped after its profits surpassed Wall Street expectations as the Internet search and advertising company said Web traffic and revenue growth were strong. IBM shares rose after it said it expects to meet long-term profit forecasts despite economic turmoil.

Recent earnings "have been better than fears led people to believe. That provides the psychological background for the bargain hunters.. who say stocks are really cheap and likely to be a lot higher somewhere down the road," said Al Kugel, chief investment strategist at Atlantic Trust in Chicago.

The Dow Jones industrial average rose 269.84 points, or 3.01 percent, to 9,249.10. The Standard & Poor's 500 Index climbed 33.86 points, or 3.58 percent, to 980.29. The Nasdaq Composite Index was up 56.22 points, or 3.27 percent, at 1,773.93.

In another good sign for technology investors, microchip maker Advanced Micro Devices posted stronger-than-expected results,

The price of U.S. crude for November delivery rose to $73.36 a barrel.

Earlier, the market had been lower after a report that new-home construction fell to a 17 1/2-year low last month, adding to recession fears. A report on U.S. consumer confidence from Reuters and the University of Michigan showed the steepest monthly drop on record in October. Consumer spending accounts for two-thirds of economic activity.

The government's housing report also showed permits for new homes sunk to a nearly 27-year low in another sign of deterioration in housing.

(Editing by Kenneth Barry)