Internet stocks continued to slide in midday trading Wednesday during a session marked by red ink across the board.
Just before noon, internet.com’s Internet Stock Index was off 14.12, or 3.30 percent, to 413.39 and the Nasdaq Composite had fallen 13.82 to 2,574.17. The Dow Jones industrial average had jumped 88.96 to 10,766.27, largely due to Union Carbide whose shares were jumping on news it was being bought by Dow Chemical.
Internet brokers were again slumping following heavy losses seen Tuesday. The group dipped after Credit Suisse First Boston’s Bill Burnham predicted Internet brokers may see their first decline in trading volume in the third quarter. Part of the reason, Burnham said, was online investors tend to favor Internet stocks which are currently in decline.
E*Trade Group Inc. (EGRP) was up 1/16 to 24-3/4, DLJdirect (DIR) was down 1/2 to 18-1/8, National Discount Broker Group Inc. (NDB) was off 1-3/4 to 30-3/8 and Southwest Securities (SWS) had shed 7/8 to 36-1/2.
The famous names were mostly lower as investors continued to shy away from the sector. Amazon.com Inc. (AMZN) had dropped 4-1/16 to 90-13/16, America Online Inc. (AOL) was off 1-13/16 to 87, Ariba (ARBA) plunged 7-9/16 to 71-15/16, Broadcom Corp. (BRCM) had fallen 4-13/16 to 107-1/16, eBay Inc. (EBAY) tumbling 6-1/2 to 77-7/8 and Priceline.com Inc. (PCLN) was off 6-3/4 to 66-5/16.
Even better-than-expected earnings weren’t enough to turn theglobe.com Corp. (TGLO) into positive territory. Shares were off 13/16 to 12-1/16 even though the online community reported a pro-forma net loss of 27 cents a share, about 5 cents better than analysts were expecting.
ALL NEW! internet.com’s HotWatch a monthly e-mail subscription for $99,
featuring Internet Stock Report’s top 10 noteworthy Internet stocks for the
month. Each month you will receive in-depth analysis on the top 10 Internet
stocks to watch with the information you need to assess the fast-paced nature
of Internet stocks. Staying on top of market changes in the Internet Stock
market is what counts. For $99 per year, you receive 12 timely issues sent to
you by e-mail. Don’t wait, our next issue will be out before you know it with a
perspective on the market. Sign up today at: e-newsletters