Higher oil prices and news of slowing growth in the service sector pulled stocks lower today despite some optimism over a 25 billion dollar bid for Guidant Corp.

Lower oil prices and technology news helped stocks rally today despite a legal dispute that raised questions about Johnson & Johnson’s $25bn acquisition of Guidant Corp.

Stocks plummeted in the United States today as heightened fears of another hurricane hitting the Gulf Coast sent oil prices racing past 67dollars a barrel and investors grew anxious about the Federal Reserve’s upcoming interest-rate meeting.

US stocks raced ahead in a late surge of bargain hunting today, as oil prices stepped back from their highs.