RealTime IT News

Stocks Slip, But Google Rebounds

Stocks lost ground Thursday on fears of inflation and slowing growth, but Google gained ground on upbeat comments at the company's annual analyst day.

Shares of Google rose 5% after the company sounded a much more upbeat note than CFO Greg Reyes did on Tuesday, when the stock fell 7%.

Google CEO Eric Schmidt said Google is building the infrastructure to become a $100 billion company — which would be 1,600% growth from last year's sales of $6.14 billion. Schmidt also said the company still sees "significant keyword pricing upside."

Schmidt's comments were enough to calm fears about the company's growth rate, at least for a day.

The broader market, though, sagged under the weight of rising interest rates and oil prices and weaker than expected retail sales.

The Nasdaq slipped 3 to 2311, the S&P 500 gave back 2 to 1289, and the Dow slumped 28 to 11,025. Volume rose to 2.49 billion shares on the NYSE, but declined to 2.11 billion on the Nasdaq. Decliners led 17-14 on the NYSE, and 17-13 on the Nasdaq. Downside volume was 54% on the NYSE, and 52% on the Nasdaq. New highs-new lows were 149-19 on the NYSE, and 166-35 on the Nasdaq.

Ciena and ADC Telecom gained on their results.

Versant soared 50% on its results.

MatrixOne jumped on a takeover offer from France's Dassault Systemes.