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Nasdaq composite index down 7 per cent
Technology stocks tumbled in the wake several companies warning in the last few days that their profits would not meet the analysts expectations, dragging Nasdaq composite index down seven per cent to its lowest level on Wednesday since March last year.
Technology stocks tumbled in the wake several companies warning in the last few days that their profits would not meet the analysts expectations, dragging Nasdaq composite index down seven per cent to its lowest level on Wednesday since March last year.
Compounding the trouble was analysts at Merill Lynch slashing their recommendations on several stocks including Cisco System, Hewlet-Packard and IBM.
Analysts said that the index, which closed at 2332.78 showed its seventh one-day per cent worst loss since its founding in 1971. But Dow Jones industrial did better than Nasdaq, heavily weighted by technology stocks, but still lost 265.44 points or 2.51 per cent to close at 10318.93. After Wednesday's fall, the Nasdaq Index was 54 per cent below its highest point attained in March and 43 per cent for the year. The 'Wall Street' journal said that the fall had some veteran investors turning to some of the stocks worst periods for comparison. It quoted money Manager Scott Black, President of the Delphi Management Inc. in Boston, as saying, "This isn't a bear market, its crash for Nasdaq. There is panic selling and I think there will be more bloodletting." Now, barring an explosive rally in the last six trading of the year, 2000 will go into the books as the overall stockmarkets worst year since the 1980s or even 1970s, the paper said.
Bureau Report
Analysts said that the index, which closed at 2332.78 showed its seventh one-day per cent worst loss since its founding in 1971. But Dow Jones industrial did better than Nasdaq, heavily weighted by technology stocks, but still lost 265.44 points or 2.51 per cent to close at 10318.93. After Wednesday's fall, the Nasdaq Index was 54 per cent below its highest point attained in March and 43 per cent for the year. The 'Wall Street' journal said that the fall had some veteran investors turning to some of the stocks worst periods for comparison. It quoted money Manager Scott Black, President of the Delphi Management Inc. in Boston, as saying, "This isn't a bear market, its crash for Nasdaq. There is panic selling and I think there will be more bloodletting." Now, barring an explosive rally in the last six trading of the year, 2000 will go into the books as the overall stockmarkets worst year since the 1980s or even 1970s, the paper said.
Bureau Report