By Chris Prentice and Greta Rosen Fondahn
(Reuters) -Wall Street indexes advanced in choppy trading on Friday, after briefly dipping following a contentious White House meeting with Ukrainian President Volodymyr Zelenskiy.
Oil prices fell on worries stoked by the White House meeting, tariffs and Iraq's decision to resume exports from the Kurdistan region.
European shares ended flat but still notched another weekly gain.
An on-camera argument in the Oval Office broke out between U.S. President Donald Trump and the Ukrainian President over a possible cease-fire agreement in the Russia-Ukraine war.
"The market initially sold off because it was a heated and contentious conversation, which is not usually a good thing between two leaders of the world," said Adam Sarhan, chief executive of 50 Park Investments in New York.
"That's why the market sold off, but then cooler heads prevailed."
The S&P 500 climbed 1.59% to end the session at 5,954.50 points. The Nasdaq gained 1.63% to 18,847.28 points, while the Dow Jones Industrial Average rose 1.39% to 43,840.91 points.
Volume on U.S. exchanges was heavy, with 17.5 billion shares traded, compared with an average of 15.4 billion shares over the previous 20 sessions.
European stock futures fell, with the Dax and CAC40 futures down 0.6% and the Eurostoxx 50 futures dropping as much as 1.4%.
U.S. Treasury yields fell to new multi-month lows after a report closely tracked by the Federal Reserve showed annual inflation subsided and consumer spending slowed last month.
MSCI's gauge of stocks across the globe rose 5.69 points, or 0.66%.
Crypto prices tumbled as the Trump-fuelled boom fizzled.
Ukraine's dollar bonds were down on Friday but reacted mutedly to the meeting's chaos, holding on to earlier levels. The 2034 maturity fell just over one cent in price, last bid at 59.04 cents on the dollar, and set for monthly gains. The country's international debt rallied strongly last year on hopes that Trump could negotiate an end to the three-year war with Russia, but bonds have wobbled over the past month as investors shift their views on the Trump administration's approach to Russia and how that will ultimately affect Ukraine's economy.
Earlier, the pan-European STOXX 600 index ended flat.
The dollar index, which gauges the greenback against six major peers, rose 0.21% to 107.59.
The euro fell by as much as 0.37% to a two-week low of $1.036, before paring some of that decline to trade at $1.0366.
Emerging market stocks fell 28.01 points, or 2.49%.