U.S. stocks headed for their best week in

Equities in New York

U.S. stocks headed for their best week in four years after a surge in oil prices pushed energy shares higher and an unexpected increase in home resales eased concern the housing market will stall economic growth.

Amgen fell

Amgen inc. fell 4 % on news the worlds largest biotechnology company had cancelled a clinical trial involving a colon cancer drug.

Oil prices rose after Iranian forces seized 15 British Royal Navy personnel triggering a diplomatic crises.

Session close:

Dow Jones: 12,482.45 (21.31 points/0.17 %)

S&P500: 1,436.39 (1.85 points/0.13 %)

NASDAQ: 2,456.18 (4,44/0.18 %)

The dollar rose

The dollar rose slightly and trimmed losses against the yen on Friday after a surprise jump in U.S. existing home sales led some investors to believe the Federal Reserve would keep interest rates steady for a while.

The pace of existing home sales rose 3.9 % in February to a 6.69 million-unit annual rate, beating economists' consensus forecast for a 6.31 million-unit rate. It was the biggest rise since a matching increase in March 2004.

U.S. crude oil futures firmed above USD 62 at midday on Friday on news Iran had captured 15 British Royal Navy sailors, sparking a diplomatic incident amid mounting tensions between Iran and the West over Tehran's nuclear ambitions.

Swedish Finance Minister Anders Borg raised his forecasts for economic growth on Thursday and said the government would adjust its budget surplus goal down to meet European Union rules. Borg raised the government's forecast for GDP growth to 3.7 % this year, up from a previous estimate of 3.3 %.

In 2008 the economy is expected to grow 3.3 % against a previous estimate of 3.1 %, he added. In 2006, the economy expanded by 4.4 %, its fastest pace since 1999.