By Tanya Agrawal
(Reuters) - The Nasdaq composite hit a record high on Friday on strong results from Google, while the Dow and the S&P 500 fell, dragged down by Boeing and energy stocks.
A sharp drop in crude prices pushed the S&P 500 energy index down 1.37 percent to its lowest level since January 2013. Exxon, down 0.7 percent, and Chevron, down 1.5 percent, were the biggest drag on the sector and also weighed on the broader market.
U.S. crude dropped 1.39 percent and Brent declined 0.74 percent on concerns of growing oversupply.
Google surged over 16.7 percent to a record high of $702.11, a day after reporting strong ad revenue growth that led to its profit beating estimates for the first time in six quarters.
The strong report rubbed off on Facebook, expected to report next week. Its shares rose nearly 5 percent to a record high of $95.39.
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"While earnings have beaten low expectations, the market is looking for forward guidance," said David O'Malley, chief executive of Penn Mutual Asset Management.
Malley said the markets need to see better earnings for it to move higher and break out of the sideways action that has characterized much of the year.
At 11:00 a.m. ET (1500 GMT) the Nasdaq Composite was up 30.27 points, or 0.59 percent, at 5,193.45. The index touched a record intraday high of 5,197.61.
The Dow Jones industrial average was down 70.58 points, or 0.39 percent, at 18,049.67 and the S&P 500 was down 1.92 points, or 0.09 percent, at 2,122.37.
Boeing fell 1.2 percent to $146.52, and was the biggest drag on the Dow, after the company said it will take a second-quarter charge related to problems with its KC-46 aerial refueling tanker aircraft program.
General Electric shares rose 0.6 percent to $27.19, one of the six gainers among the Dow 30, after raising its 2015 outlook for its industrial manufacturing businesses.
Nine of the 10 major S&P 500 indexes were lower, with the technology index the lone gainer, up 1.5 percent.
The Nasdaq closed at a record high on Thursday, boosted by strong results from tech companies such as Netflix and ebay. The three major indexes were poised to end the week higher following strong earnings reports from most of the blue-chip companies.
The dollar was on track for its biggest weekly gain in two months on the likelihood of a Federal Reserve rate hike this year. However, a strong dollar reduces the vale of U.S. companies' overseas income.
Despite early, upbeat results this week, U.S. companies are expected to post their worst sales decline in nearly six years in the second quarter, in part due to the strong dollar. Profit is expected to have fallen 2.9 percent, according to Thomson Reuters estimates.
Declining issues outnumbered advancers on the NYSE by 2,065 to 810. On the Nasdaq, 1,601 issues fell and 984 advanced.
The S&P 500 index showed 16 new 52-week highs and 24 new lows, while the Nasdaq recorded 68 new highs and 51 new lows.
(Editing by Savio D'Souza)