Oil Gains With Stocks Amid Iraq Conflict; Bonds Little Changed

Oil rose, capping the biggest weekly gain this year, as fighting in Iraq triggered concern of a return to civil war. U.S. stocks advanced as Intel Corp. rallied, while Treasuries were little changed amid speculation central banks may raise rates sooner than forecast.

West Texas Intermediate crude gained 0.4 percent, after surging 2 percent yesterday. The Standard & Poor’s 500 Index rose 0.3 percent as of 4 p.m. in New York, paring a drop for the week to 0.7 percent. The rate on 10-year Treasuries was little changed, as the yield curve approached its flattest level in almost five years. Sterling reached the strongest in 19 months against the euro and gilts tumbled as Bank of England Governor Mark Carney signaled interest rates may rise.