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Closing Market Report

Star-Bulletin news services

Tuesday, March 30, 1999

Dow falls 93.5

NEW YORK - The Dow Jones industrial average retreated from 10,000 in mixed trading today as technology stocks held on to early gains but Coca-Cola dropped sharply on a disappointing sales forecast.

The Dow fell 93.52 points to close at 9,913.26, having trimmed an earlier 132-point loss.

The 103-year blue-chip index was taking a breather after yesterday's session, when it made its first close above 10,000, rising 184.54 to 10,006.78.

The S&P 500 index fell 9.42 to close at 1,300.75 and the Nasdaq composite lost 12.55 to end at 2,480.29.

Decliners beat advancers on the New York Stock Exchange with 1,720 down, 1,243 up and 568 unchanged. Volume on the NYSE equaled 731.25 million vs. 748.81 million yesterday The NYSE composite lost 4.51 points to close at 608.65. The American Stock Exchange composite fell 6.25 to 711.63 and the Russell 2000 index dropped .98 to 398.78.

U.S. bonds, meanwhile, posted the biggest gain in three weeks as Federal Reserve policy-makers left interest rates unchanged, suggesting they're not concerned that strong economic growth will spawn faster inflation.

The Fed signaled it "believes inflation is under control and the economy is beginning to slow," said Greg McMurran, who manages $1.2 billion at Analytic Investors Inc. in Los Angeles. He predicts yields could fall a low as 5 percent in six months.

The 30-year Treasury bond rose 25/32, or $7.81 per $1,000 security, to 95 5/32. The yield fell 6 basis points to 5.58 percent.

Overseas, Japan's Nikkei stock average fell 0.94 percent.



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