NEW YORK (AP) — Stocks snapped a three-day losing streak Friday, letting investors recoup some of the losses incurred during a week in which concerns about interest rates roiled Wall Street. In Friday's session, the Dow Jones industrial average showed its biggest point gain in more than two months, and the Standard & Poor's 500 index crossed back above the 1,500 mark.After briefly dipping into negative territory, stocks gained steam Friday as yields on the 10-year Treasury note backed off five-year highs of 5.25 percent. As stocks closed Friday, the yield on the benchmark note hovered around 5.11 percent.

Yields, which move in the opposite direction as bond prices, jumped during the week after investors grew less optimistic that the Federal Reserve would lower short-term interest rates. A move above the five percent level Thursday in the 10-year bond yield sent stock market investors rushing to bonds.

On Friday, investors moved back into stock.

"The fact that it rallied the last two hours of the day showed people were coming in buying what they thought were pretty good bargains," said Ryan Detrick, senior technical analyst at Schaeffer's Investment Research.

The Dow industrials rose 157.66, or 1.19 percent, to 13,424.39.

Broader stock indicators also jumped. The S&P 500 advanced 16.95, or 1.14 percent, to 1,507.67. It was just last month that the index crossed above the 1,500 mark for the first time in seven years.

The Nasdaq composite index rose 32.16, or 1.27 percent, to 2,573.54.

Friday's gains couldn't offset all the losses for a week that started out with fresh closing records for the Dow and the S&P 500. The Dow fell 1.78 percent for the week, while the S&P 500 lost 1.87 percent and the Nasdaq gave up 1.54 percent. Before stocks regained some lost ground Friday, the major indexes had each fallen nearly three percent in what was the biggest three-session decline since a short-lived pullback that began February 27.

"It definitely was a down week, but investors tend to have a short-term memory," Detrick said. "They just remember the good Friday. This three-day dip might be nothing more than a solid buying opportunity."

He added that the coming week brings expiration of options contracts and that stocks have managed gains in 12 of the 17 such weeks since the start of last year.

Stocks received a boost Friday as oil prices fell after a cyclone spared major oil installations in the Gulf of Oman, easing supply concerns. Light, sweet crude for July delivery settled down $2.17 at $64.76 per barrel on the New York Mercantile Exchange.

In addition, a narrowing of the nation's trade deficit injected some calm into the markets. The Commerce Department reported that the gap narrowed by 6.2 percent to $58.5 billion in April, after widening to a six-month high of $63.9 billion in March.

The week's swings stirred concerns that an extended rise in interest rates could cork the huge flow of take-over activity that, according to financial data provider Dealogic, has been on pace to beat last year's record $4 trillion. The flurry of acquisitions has helped push stocks higher in recent months.

"We haven't had any major buyouts in the last week, and I think it's directly related to the higher interest rates we've seen," Detrick said.

While companies and investors might have felt less acquisitive than in recent months, some dealmakers saw fit to plough ahead.

Biomet, a maker of orthopedic products, said Thursday a private equity consortium upped its bid for the company by 4.5 percent from $10.9 billion to $11.4 billion. Biomet on Friday slipped 7 cents to $45.49.

Tyco International said its board has formally approved the industrial conglomerate's break-up into three companies through a tax-free distribution to shareholders. Tyco rose $1.17, or 3.6 percent, to $33.80.

In other corporate news, McDonald's rose $1.20, or 2.4 percent, to $51.41 after the world's largest fast-food chain said its global same-store sales, or sales at restaurants open at least 13 months, rose 8.7 percent in May.

National Semiconductor jumped $3.79, or 15 percent, to $29.58 after increased orders and stronger profit margins.