RealTime IT News

ISDEX Posts Strong Afternoon Rebound

A number of alliances announced and positive comments from analysts sent Internet issues higher on Thursday.

A report that retail sales surged at the fastest rate since 1984 while inflation remains in check also played a major role in the day's success.

internet.com's Internet Stock Index climbed 35.44, or 4.48 percent, to 826.07, the Nasdaq Composite rose 107.19 to 3957.21 and the Dow Jones industrial average gained 31.33 to 11582.43.

Retail sales rose 8.9 percent in 1999 -- the highest level since a 10 percent gain was recorded 15 years ago. Meanwhile, the producer price index rose 0.3 percent last month, or 0.1 percent excluding food and energy. For the year, the PPI rose only 0.9 percent, substantially off 1998's climb of 2.5 percent.

NetZero (NZRO) jumped 7-1/8 to 32-1/16. The free dial-up Internet service provider announced a 4-year strategic alliance with General Motors Corp.. GM will receive the option to purchase up to 575,000 NetZero shares at $28.71 per share.

Venture Catalyst (VCAT) added 2-1/8 to 8-1/4. The online incubator announced it is increasing its investment in BuyIt.com (BUYT).

click2learn.com (CLKS) announced a joint venture with Softbank. The venture will introduce the click2learn.com e-learning portal to the Japanese market. Shares of CLKS rose 2-1/16 to 12-9/16.

Commerce One (CMRC) announced a joint venture with Shell to develop an online B2B marketplace for the energy industry. The alliance will provide online procurement for businesses invloved with oil, gas and chemicals. Shares of CMRC rose 17-5/16 to 173-7/8.

Shares of Netcentives (NCNT) added 6-5/8 to 54-3/8. USB Piper Jaffray initiated coverage with a "strong buy" and a price target of $65.

Among the leaders, Ariba Inc. (ARBA) was up 5-13/16 to 178-11/16, CMGI Inc. (CMGI) up 6-3/4 to 129-3/4, eBay Inc. (EBAY) climbed 7-7/16 to 137-13/16 and Goto.com Inc. (GOTO) jumped 9 to 71-3/4.

Inktomi Corp. (INKT) gained 14-11/16 to 102, Lycos Inc. (LCOS) climbed 4-15/16 to 74-7/8, MP3.com Inc. (MPPP) added 5/8 to 33-5/16, Network Solutions Inc. (NSOL) was up 6-1/8 to 226-15/16 and Verisign Inc. (VRSN) moved up 15-37/64 to 176.

Real Networks Inc.