Updated from 4:04 p.m. EDTStocks closed with modest gains Friday to end a painful week, after a strong earnings report from General Electric ( GE) and upbeat words from its chief executive sparked an early rally that was held in check by high oil prices and the threat of global terrorism. The Dow added 41.66 points, or 0.41%, to 10,213.22; the S&P 500 rose 3.70 points, or 0.33%, to 1112.81; and the Nasdaq tacked on 11.01 points, or 0.57%, to 1946.33. In the credit markets, the 10-year Treasury was trading up 2/32 in price, yielding 4.46%. In light trading ahead of the weekend, volume approached 1.2 billion shares on the New York Stock Exchange, where advancers outnumbered decliners by about 2 to 1. On the Nasdaq, nearly 1.4 billion shares changed hands and advancers held about a 11-to-8 majority. "I think investors are getting worn out from all the faded rallies," said David Briggs. "There seems to be an incredible lack of interest in the market, and when you've got Tom Ridge on TV talking about large-scale terrorist attacks prior to an election, I think basically you're seeing a buyer's strike." Briggs said the terrorism talk would not be such a negative factor in financial markets if investors saw opportunities in the market. "People are struggling with valuations now, and there's just no leadership out there to get a rally started," he said. "These warnings are another stick on the fire that says the market is fair-valued at best in here. It's certainly not cheap." Homeland Security Secretary Tom Ridge added to jitters Thursday by saying American intelligence analysts have credible information that al Qaeda terrorists are planning another attack in the U.S. He had no specifics and said there was no reason to raise the terrorist threat level for now, but The New York Times reported Friday morning that, according to senior Bush administration officials, "Osama bin Laden and his chief lieutenants, operating from hideouts suspected to be along the Afghanistan-Pakistan border, are directing an al Qaeda effort to launch an attack in the United States sometime this year." Also on the geopolitical front, the legitimacy of the U.S.-led occupation of Iraq suffered another blow when key assertions that led to the 2003 invasion of the country were stated to be false or exaggerated in a Senate Intelligence Committee report released Friday. The report states that previous allegations that Saddam Hussein's regime had chemical and biological weapons and could make a nuclear weapon by the end of the decade were wrong.