Dow Ends Slightly Higher, Nasdaq Slips

Tech stocks and blue-chips recover from their session lows.
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Updated from 3:31 p.m. EDT

Stocks stabilized late in the day and finished mixed after weak overseas sessions and news of another high-profile bankruptcy.

The

Dow Jones Industrial Average

ended up 3.46 points, or 0.04%, to 9347.62. The

Nasdaq

was off 7.11 points, or 0.42%, to 1696.29, and the

S&P 500

lost 1.67 points, or 0.15%, to 1089.98. By the close, stocks had recovered from steep losses earlier in the session.

Among the major sectors, technology was weaker, with the semis getting hammered. Before the opening bell, J.P. Morgan downgraded several makers of communication integrated circuits, while Lehman Brothers urged investors to avoid chip equipment stocks. Elsewhere, banks and biotech stocks saw modest gains, and Internet stocks were mixed.

Bethlehem Steel

(BS)

filed for Chapter 11 bankruptcy protection Monday. Last week,

Polaroid

(PRD)

sought relief from its creditors. Shares of Polaroid last traded at 28 cents, and Bethlehem was at $1.20. Neither issue has traded since the companies sought protection from their creditors.

Cisco

(CSCO) - Get Report

ended down 77 cents, or 4.5% at $16.18.

Intel

(INTC) - Get Report

fell 74 cents, or 3% to $24.28.

Amazon.com

(AMZN) - Get Report

traded up 84 cents, or 10.4% to $8.91 after being upgraded by Dain Rauscher Wessels.

Cepheid

(CEPH)

, a company that manufactures products designed to detect biological contaminants, saw its shares rise 3.3% to $59.99 after new cases of anthrax put the U.S. on alert for the risk of a biological attack.

In Europe, London's FTSE 100 finished down 1.5% to 5067, while Germany's Xetra DAX dropped 1.7% to 4548. The CAC 40 in Paris was off 2.9% to 4214. Japan's Nikkei finished 1.7% lower at 10,453, and Hong Kong's Hang Seng lost 1.4% to close at 10,131.

Earnings season takes off in earnest this week.

Bank of America

(BAC) - Get Report

said third-quarter earnings from operations fell 4% to $1.28 a share. The company took a $1.25 billion charge to exit the subprime lending business. Bank of America was up $2.59, or 4.9%, at $55.60. For more corporate news, check out

TheStreet.com's

Stocks to Watch.

Meanwhile, the bombing of Afghanistan continued after President Bush rejected an offer from the ruling Taliban to discuss the extradition of Osama bin Laden.

Around 4 p.m. EDT, the 10-year Treasury note was trading up 15/32 at 103 2/32, yielding 4.61%.