Yahoo! Stampede, Sizzling Red Hots Sweep Net Sector Higher

The rush into Yahoo! ahead of its entry into the S&P 500 pulled the Net sector up today.
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Yahoo!'s (YHOO) inclusion in the Standard & Poor's 500 after the close today created a stampede of interest and a run-up in the stock that was beyond description.

Yahoo! closed up an incredible 67 3/16, or 24%, at 348 in what

TSC's

James Cramer

called one of the biggest stock squeezes ever. Funds that benchmark the S&P 500 have been forced to buy shares of Yahoo!. It has now added roughly 135 points, or about 64%, since news that it was being added to the index last Tuesday. Gains in Yahoo! helped

TheStreet.com Internet Sector

index close up 14.28, or 1.4%, at 1058.92.

While Yahoo! has been the story in the Internet sector over the past few days, it was not the only standout. For other blockbusters, you had to go check out the

Red Hots.

Juniper Networks

(JNPR) - Get Report

closed up 43 3/4, or 15%, at 332. The Internet infrastructure company introduced its new M20 Internet backbone router, which will act as an on-ramp to the Internet and alleviate traffic bottlenecks. A router is a special kind of computer that connects networks to each other on the Internet. It also said that

Verio

(VRIO)

had ordered $7 million of the new M20 routers.

TSC

tipped off today's announcements last

week.

Red Hat

(RHAT)

, which is not being added to the S&P 500 as far as we know, closed up 52 points, or 22%, at 284 1/8. The stock has added more than 83 points, or around 40%, in the past two days after

Dell

(DELL) - Get Report

said it would factory-install Red Hat Linux on its server line.

Verio also was mentioned in a note from

J.P. Morgan

on a number of broadband and Internet data services companies. Analyst Mark Langner initiated coverage of Verio,

Exodus Communications

(EXDS)

,

Akamai Technologies

(AKAM) - Get Report

,

Finisar

(FNSR) - Get Report

and

Covad Communications

(COVD)

with buy ratings.

Verio ended up 2 1/16, or 4%, at 48 1/2, while Exodus climbed 20 11/16, or 17%, to 144 1/2. Akamai finished up 9 1/4, or 4%, at 226, and Covad closed up 6 1/16, or 11%, at 60 1/8. Finisar ended down 7 3/16, or 7%, at 101 3/16.

Among the leading decliners was

eBay

(EBAY) - Get Report

, down 12 3/4, or 7%, at 163 3/4. eBay's site was down for about an hour this morning due to what the company said was a "hardware issue." The outage may have been used by investors as an excuse to take profits in the stock.

Finally,

Amazon.com

(AMZN) - Get Report

closed down 1 11/16, or 2%, at 86 1/16.

TSC's

Suzanne Galante

wrote in a

piece today that the company was sending workers from its Seattle offices to distribution centers in Las Vegas to meet a shortage of workers.