Stocks Run Around in Circles

(Updated with stock prices.)

NEW YORK (TheStreet) -- Oil surged more than $3 a barrel, but stocks struggled to find a second wind Wednesday in what appeared to be a battle between the bulls and bears following a report showing contraction in manufacturing.

Nonetheless, the major averages locked in15% gains for the third quarter, which ended today, with the Dow recording its best three-month stretch in 11 years.

After swinging more than 100 points into negative territory and as many as 30 to the upside, the Dow Jones Industrial Average closed down 29.92 points, or 0.3%, at 9712.28 for the day, while the S&P 500 fell 3.54 points, or 0.3%, to 1057.07. The Nasdaq Composite edged down 1.62 points, or 0.08%, to 2122.42.

The final day of the quarter brought an array of economic data, most not up to expectations. But some bumps in the data should be expected in a "stutter-step recovery," says Jeffrey Saut, chief investment strategist at Raymond James.

Stocks briefly recovered midday only to sink back into negative territory.

"So the bears come and try to raid it so fast near the end of the day that there isn't even time for the bulls to get down to the floor with bids!" wrote Jim Cramer on RealMoney.com. "It's bear blitzkrieg."

"Bulls are in a jam about employment claims tomorrow and the big one Friday. They can't afford to be too aggressive," writes Cramer.