The Queen of the Internet hath spoken. Shortly before the market's close,
influential analyst, Mary Meeker, declared that the worst is over for select Internet stocks. Among the companies Meeker likes are
Shares of Yahoo! jumped 14 7/16, or 12%, to 134 1/2; eBay closed up 9 13/16, or 14.6%, to 77 3/16; Cisco finished 3 7/16 higher, or 5.6%, to 64 3/8; Sun Microsystems ended the day up 5 5/16, or 6.4%, to 88; Lucent ended ahead 3, or 5%, to 63.
finished the day ahead 230.8, or 6.44%, to 3813.3. The gain was its third-largest point gain and fifth-largest percentage rise ever.
TheStreet.com Internet Sector
index ended up 95.5, or 11.24%, to 945.42, getting an extra bounce after Meeker made her remarks.
The impetus for the daylong rally in the technology sector was this morning's
employment report. The
Labor Department reported that
grew by 231,000, compared to the 386,000 forecast by economists polled by
was 4.1%, vs. the 3.9% prediction, while
average hourly earnings
were up 0.1%, in contrast to the 0.4% percent rise expected. Wall Street analysts envisioned that soft data would boost the market. Reports pointing to a slowing in the economy have fueled speculation that the
Fed may be less tempted to continue raising interest rates.
In individual stock news, the chief of Internet search engine
, Robert Davis, announced that he expects the combined revenue of
and its merger partner, Spain's
, to exceed the revenue of Web giant Yahoo! by late 2001 or early 2002.
Additionally, Davis told the
Silicon Alley Reporter International Network 2000 Conference
in New York that he expects the combined company will use the ample cash it expects to have on hand to go after acquisitions to help fuel growth. Shares of Lycos popped 6 15/16, or 10.8%, to 71 3/16, while Terra Networks fired up 5 5/8, or 12.78%, to 49 5/8.
Web music retailer
more than doubled today, after the troubled company said that it expects to announce a deal involving a merger partner or investor this month. CDNow pumped up 2 9/16, or 110.8%, to 4 7/8. In March, CDNow stated that it was seeking a merger partner or investor. Worries about the company's future have battered the stock in recent months.
today initiated coverage of
as an intermediate-term accumulate. "In our opinion," Merrill's research note begins, "chinadotcom is more than a Chinese-language portal, as it is often considered to be, but rather a pan-Asian Internet firm that is building a network of several Internet companies." chinadotcom finished the trading session up 4 1/16, or 17.06%, to 27 7/8.