Internets Take Breather; Nasdaq on Verge of Ending Record Run

Technology and Internet issues were mostly lower in midday trading Tuesday as the sectors were losing some steam following the Nasdaq Composite’s eight-day record run.

Just before noon Eastern, internet.com’s Internet Stock Index had lost 10.92, or 1.75 percent, to 613.48, the Nasdaq Composite was off 33.15 to 3,110.82 and the Dow Jones industrial average had tumbled 106.73 to 10,612.12.

Amazon.com Inc. (AMZN) was off 5-1/4 to 72-3/4 after unveiling four new online stores. The company also acquired equipment retailer Tool Crib of the North.

America Online Inc. (AOL) was off 4-13/16 to 145-9/16 and Universal Music Group, a unit of Seagram Co. Ltd. (VO) was down 1/8 to 48-3/16. The two companies Tuesday launched a new Internet-based record label that will target young adults.

Cisco Systems Inc. (CSCO) was off 7/16 to 74-7/8 after announcing it will acquire Aironet Wireless Communications for about $800 million in stock. Aironet allows businesses to set up in-house wireless networks.

Jupiter Communications (JPTR) was down 3/4 to 41-1/4. Jupiter is teaming up with IBOPE, a research organization in Latin America, to conduct Internet economy surveys in the region.

theglobe.com Inc. (TGLO) was off 7/16 to 10-11/16. The company this week announced a $27 million advertising campaign that will air on both network and cable television the week of Dec. 20.

BackWeb Technologies (BWEB) had jumped 6-5/16 to 35-7/8. The “push” technology company was benefiting from adding several well-known customers, including Hewlett-Packard Co. (HWP).

The news led BancBoston Robertson Stephens’ John Powers to reiterate his “buy” rating.

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