RealTime IT News

Stocks Celebrate Black Monday Anniversary With A Green Thursday

On the 13th anniversary of the 1987 stock market crash, stocks soared on better-than-expected earnings from Microsoft. eBay and Commerce One beat earnings estimates after the close.

Wednesday's steep plunge and recovery seemed a distant memory. The ISDEX surged 47 to 655, and the Nasdaq soared 247 to 3418, both gains of almost 8%. The S&P 500 climbed 46 to 1388, and the Dow rose 167 to 10,142. Volume declined to 1.3 billion shares on the NYSE and 2.33 billion on the Nasdaq. Advancers led by 19 to 9 on the NYSE and 28 to 11 on the Nasdaq. For earnings reports, visit our earnings calendar and reported earnings. For after hours quotes and news, visit our after hours trading site.

eBay soared 7 to 64 after hours and Commerce One rose 4 to 68 after both beat estimates by 3 cents, eBay with 4-cent earnings and Commerce One with a 9-cent loss.

During the day, Ariba rose 5 1/16 to 132 1/8 after reporting break-even results that beat estimates by 5 cents. The only possible negative in the report was that deferred revenue growth slowed from previous quarters, from about 80% to 30%. i2 gained 3 to 182, shaking off rumors of an impending negative analyst report on the company.

America Online lost .91 to 46 despite beating 13-cent earnings estimates by a penny. Merrill Lynch analyst Henry Blodget said he couldn't raise estimates on the company for the first time in years because of a flat advertising backlog and a decline in deferred revenue, both due to the difficult dot-com environment.

90% of ISDEX issues traded higher, led by E*Trade , which rose 3 1/4 to 14 11/16 after beating estimates by 2 cents with 2-cent earnings. BroadVision climbed 1 3/4 to 26 1/2 after 5-cent earnings beat estimates by a penny. Phone.com surged 16 5/16 to 100 after it and merger partner Software.com blew away estimates. Broadcom advanced 24 3/4 to 234 1/4 after its 30-cent earnings beat estimates by 6 cents.

Akamai soared 12 9/16 to 52 15/16 after beating estimates by 7 cents with a 60-cent loss.

Efficient Networks soared 9 to 37 1/2 after beating estimates by 9 cents with 10-cent earnings. Avanex soared 28 1/2 to 118 1/2 on better-than-expected earnings. But Avici Systems slipped 5 3/4 to 66 1/4 on a better-than-expected loss. Extreme Networks , off 12 5/16 to 94 13/16, and Tut Systems , down 6 3/16 to 31 1/4, both beat earnings estimates.

Multex.com gained 1 1/8 to 13 on its first profitable quarter.

Webvan slipped 5/16 to 1 1/4 on a Prudential Sell rating, based on cash burn concerns and the fact the company's Oakland facility is only operating at 30% capacity in a very Web-savvy area. Women.com dropped 5/16 to 1 7/16 on an earnings warning.

Allaire slipped 1/4 to 6 1/2 after meeting lowered estimates.

Some technical comments on the market: Note: We are now including charts with the technical market commentary; just click on the links in the story below to go to them. If you have trouble accessing the charts via the e-mail newsletter version, try this link: http://www.afterhourstrading.com/column.html

We got our strong finish; it appears that a bottom of some significance is in, particularly on the Nasdaq. First, one last look at yesterday's action. We mentioned significant positive divergences in favor of techno