Advertisement - Click to support our sponsors.
Dow off 49.85
Associated PressNEW YORK - Stocks fell today after companies that represent both the new economy and the old suggested that corporate profits might falter.
An earnings warnings from Citrix Systems Inc., a maker of computer network products, gave the Nasdaq its worst loss since May 23. Meanwhile, Home Depot fell after a Wall Street analyst said rising interest rates are taking a toll on sales. The Nasdaq composite index fell 106.93, or 2.8 percent, to close at 3,767.91. The Dow Jones industrial average was down 49.85 at 10,564.21, and the Standard & Poor's 500 index was down 10.95 at 1,446.00. Both indexes had given up early gains.
Decliners barely beat adancers on the New York Stock Exchange, with 1,480 down, 1,404 up and 515 unchanged. NYSE volume was light at 755.75 million shares vs. 787.98 million Friday.
The NYSE composite slipped 1.66 to 646.78; the American Stock Exchange composite rose 2.72 to 942.47; and the Russell 2,000 index of smaller companies dropped 14.55, or 2.8 percent, to 508.51.
The Treasury's 10-year note rose 10/32, or $3.13 per $1,000 security; its yield dropped 4 basis points to 6.08 percent, the lowest level since April 24. The 30-year bond also rose 10/32 point, and its yield dropped 2 basis point to 5.87 percent, also a six-week low.
Stock trading was light, convincing analysts that investors are treading cautiously in advance of several government reports on the economy, due out later this week.
"It's an orderly market, but not a market with a great deal of conviction," said Alan Ackerman, senior vice president at Fahnestock & Co. in New York.