Stocks Fall On Signs Of Stagflation

Written By
Paul Shread
Paul Shread
Published: Feb 21, 2003
Updated: Jul 16, 2021
2 minute read

Thursday was like a trip back to the 1970s for the stock market, as several economic reports showed inflation and unemployment rising and the economy stalling.

The Nasdaq slipped 3 to 1331, the S&P 500 lost 8 to 837, and the Dow fell 85 to 7914. Volume rose to 1.18 billion shares on the NYSE, and 1.34 billion on the Nasdaq. Decliners led 17-15 on the NYSE, but advancers led by a few issues on the Nasdaq. Downside volume was 66% on the NYSE, and 52% on the Nasdaq. New highs-new lows were 24-62 on the NYSE, and 58-76 on the Nasdaq.

After the close, BEAand Portal Softwaretopped estimates, while Serenaand JD Edwardscame in light on revenues.

During the day, Baby Bells Verizon, SBCand BellSouthwere battered on a mixed FCC ruling.

Lucent, off 6.8%, named CEO Patricia Russo chairman, replacing Henry Schacht.

Intel, up 1.3%, is pushing chips to address IT needs. AMD, Micronand National Semiannounced cutbacks.

Microsoft, off 1.6%, is targeting academia.

Rambussurged 8.6% on reports of the demise of a competing DRAM consortium.

eResearchrose 7.8% to a new 52-week high.

Computer Sciences, off 1.5%, is offering anti-spam software.

Cienaslipped 2% on better than expected results but lower than expected revenue guidance. Nextelrose 0.4% after beating estimates and raising guidance.

Agileand ADC Telecomfell on their results, while Synopsisrose on its earnings report.

And on the lawsuit front, music industry groups are claiming $17 billion in damages from Napster.

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