Buyers were ready, willing and able to sponsor this morning's early setback in the technology sector, sensing that last week's rally was only the beginning of a strong move higher.
In recent trading, the
Nasdaq Composite Index
was up 52.64, or 1.38%, at 3866.02 after trading as low as 3765.60.
TheStreet.com Internet Sector
index was up 2.33, or 0.25%, at 947.75 after trading as low as 919.67.
Among stocks in the news,
, was up 11/16, or 0.9%, at 66 15/16. The company is expected to unveil part of its next generation Internet technology today. According to
The Wall Street Journal
, the new feature, called BizTalk Server, will assist businesses with their e-commerce transactions.
was down 2 1/4, or 4% at 55 5/8.
babbling columnist, Alan Abelson, took yet another shot at the online retailer in his column over the weekend.
Abelson regurgitated a note by
from last week that indicated Amazon and other e-tailers will be forced by the
Financial Accounting Standards Board
to change their accounting methods, thus impacting gross profit margins. The change entails how Amazon will book the costs of handling and shipping goods, according to the piece. Where Amazon once carried those costs on its income statement, they will now be included under costs of goods sold. While it will not impact the bottom line, it would have cut Amazon's first-quarter gross profit margin to 10% from 22.3%, according to Lehman Brothers. Lehman has not done underwriting for Amazon.
However, a note from
Dain Rauscher Wessels
today apparently takes aim at the Lehman note. While not specifically naming Lehman, the note says a competitor's report was "factually incorrect." Dain Rauscher analysts claim that Amazon includes both shipping revenue in total revenue and shipping costs in costs of goods sold. "Thus, under the opinion, our view, after discussing the issue with the FASB, is that Amazon's reported gross margins would be unchanged." Dain Rauscher has not done underwriting for Amazon.
Business-to-business plays enjoyed a stellar week last week and were back on the offensive today.
was up 7 1/2, or 10.8%, at 78. The company will team with
to deliver integrated card-payment processing utility for online B2B transactions.
Also among B2B plays,
was up 8 3/4, or 9%, at 103 1/2 and
was up 3 1/4, or 6%, at 57 1/2.