righted itself and rallied last week, it was with the understanding that it would not just be a one-way trip back up, but one full of obstacles, pitfalls and setbacks. One such setback was playing out Tuesday.
In recent trading, the Nasdaq was down 72.87, or 1.8%, at 3885.21. Internet stocks were mixed.
TheStreet.com Internet Sector
index was down 10.36, or 1.1%, at 909.06. The market likely needed a break after rallying since the end of last week, but some traders were taking advantage of Tuesday's weakness to buy. Our own James Cramer listed reasons why he's bullish in a recent
Among stocks in the news,
was up 31/32, or 11.5%, at 9 3/8. The company Tuesday unveiled what it claimed to be the first on-demand music subscription channel on the Internet. The
Classical Music Channel
made its debut by offering over 3,400 tracks. MP3.com will charge a $9.99 monthly subscription fee.
Like much of tech,
was taking a breather after gaining close to 70% since its quarterly report on Thursday. It was down 5 7/16, or 11%, at 44 3/16.
But continuing to tear things up were a number of business-to-business stocks.
was up 15 3/4, or 19%, at 100 3/8 on top of Monday's 28% gain. There has been no news out but the company did speak at a
conference Tuesday. Fellow B2B play
was up 4 3/8, or 13.6%, at 36 3/8, while
was up 6 15/16, or 15%, at 53 1/4 after
put the stock on its recommended list.
is raising eyebrows after a 4 1/2 point gain Monday and another 4-plus point gain Tuesday morning. It recently was up 2 15/16, or 14%, at 23 9/16 after trading as high as 30 5/8. On the conservative side, analysts are saying that Internet content providers have been pummeled within an inch of their lives and investors are realizing they might have overreacted. But MarketWatch's atypical gains raise the old short squeeze and/or takeover rumor questions.
MarketWatch investor relations folks say there's been no significant insider buying in the past few days.
Joel Krasner says, "Obviously there could be speculation that maybe
is going to buy the rest of MarketWatch because the stock got so low." But as one of MarketWatch's IPO underwriters, Krasner believes CBS is too busy with its
merger. And MarketWatch funder
Financial Times Asset Management
merger partner would preclude any such buyout. At any rate, he says, we "probably have seen the end of this kind of move."
MarketWatch's Web site,
, competes with