More Stocks Climb Into the Black

The Dow remains in negative territory, pressured by a big loss in AT&T.
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Heading into the final hour of trading in an insanely volatile week, major market averages were mostly higher, with the exception of the blue-chip

Dow Jones Industrial Average

, which was a hair lower.

The Dow Jones Industrial Average was down 13 to 10,714.

The

S&P 500

was up 1 to 1360. The

Nasdaq Composite Index

was up 30 to 2592. The

Russell 2000

was up 1 to 430.

TheStreet.com Internet Sector

index was up 26 to 685. Powering the index was

Amazon.com

(AMZN) - Get Report

, which was up 19 9/16, or 10%, to 209 15/16.

Ricky Harrington, senior vice president and technical analyst at

Interstate/Johnson Lane

, said, "The market's groping for new leadership," and it hasn't found it yet.

Harrington said the market could suffer a correction at any time and it could see the market topping out today or early next week.

Positive earnings news in part has helped the market rebound from Monday's swoon. The driving force behind yesterday's rally was news of

IBM's

(IBM) - Get Report

stellar earnings, which came out after the close n Wednesday.

The 30-year Treasury bond was up 2/32 to 94 31/32, yielding 5.60%.

On the

New York Stock Exchange

, decliners were beating advancers 1,464 to 1,416 on 592 million shares. On the

Nasdaq Composite Index

, winners were beating losers 2,019 to 1,826 on 831 million shares.

On the NYSE, 50 issues had set new highs 52-week while 14 had touched new lows. On the Nasdaq, 66 stocks had set new highs while 45 touched new lows.

On the Big Board,

AT&T

(T) - Get Report

was most active, with 39 million shares changing hands. It was down 3 13/16, or 7%, to 52 15/16. AT&T yesterday made an unsolicited bid valued at more than $62 billion, including debt, for

MediaOne

(UMG)

, topping

Comcast's

(CMCSA) - Get Report

friendly $54 billion offer, made last month.

TheStreet.com

wrote about the situation in a story

this morning.

On the Nasdaq,

Dell

(DELL) - Get Report

was most active, with 21 million shares changing hands. It was up 1 to 42 7/8.

1:57 p.m.: Stocks Turn Mixed as IBM Climbs Anew

The

Nasdaq Composite Index

was up 1% this afternoon, outperforming the rest of the market's major gauges, while

IBM

(IBM) - Get Report

was surging again.

The Nasdaq Comp was up 25 to 2587.

Meanwhile, the

Dow Jones Industrial Average

was down 12 to 10,715. IBM, a Dow component, was up 8 1/16 to 202 9/16. It hit a 52-week intraday high of 204 1/4. Yesterday, on the heels of a powerful earnings report after the close Wednesday, IBM closed up 22 5/8, or 13%, to 194 1/2.

The

S&P 500

was down 1 to 1358. The

Russell 2000

was up 1 to 430.

TheStreet.com Internet Sector

index was up 22 to 681.

The 30-year Treasury bond was up 1/32 to 94 29/32, yielding 5.61%.

On the

New York Stock Exchange

, decliners were beating advancers 1,461 to 1,329 on 494 million shares. On the

Nasdaq Stock Market

, winners were beating losers 1,979 to 1,767 on 702 million shares.

On the NYSE, 43 issues had set new 52-week highs while 12 had touched new lows. On the Nasdaq, 62 issues had set new highs while new lows totaled 40.

On the Nasdaq,

3Com

(COMS)

was most active, with 25 million shares changing hands. It was up 3 13/17, or 17%, to 36 3/16.

Sector Focus: Cable

News of

AT&T's

(T) - Get Report

unsolicited bid valued at more than $62 billion, including debt, yesterday for

MediaOne

(UMG)

, which tops

Comcast's

(CMCSA) - Get Report

friendly $54 billion offer, has helped lift the cable sector overall today.

MediaOne shot higher on the news, but AT&T slumped. Ma Bell was down 3 5/8, or 6%, to 53 1/8, and was most active on the Big Board, with 32.3 million shares changing hands. MediaOne was up 7 1/2, or 11%, to 77.

TheStreet.com

wrote about the situation in a story

this morning.

Adelphia Communications

(ADLAC)

, which has been on a buying spree lately, was up 5 5/8, or 9%, to 66 5/8.

The AT&T bid for MediaOne wasn't the only news in the cable industry yesterday.

Cox Communications

(COX)

yesterday said it is buying

Media General's

cable systems serving approximately 260,000 customers in Fairfax County and Fredricksburg, Va., in a deal valued at $1.4 billion. Cox shares were up 2 1/2 to 75.

1:04 p.m.: Midday Musings: Market's Resilience Stays in Place With Midday Recoveryt

11:56 a.m.: Stocks Take a Break After Rallying Earlier in the Week

The major market barometers were mostly lower late this morning as the market pauses after surging for three consecutive sessions.

The

Dow Jones Industrial Average

was down 62 to 10,665.

AT&T

(T) - Get Report

was the biggest drag on the Dow, falling 3 3/8, or 6%, to 53 3/8. Yesterday Ma Bell made an unsolicited bid valued at more than $62 billion, including debt, for

MediaOne

(UMG)

, topping

Comcast's

(CMCSA) - Get Report

friendly $54 billion offer, which Comcast made last month.

TheStreet.com

wrote about the situation in a story

this morning.

AT&T was most active on the

New York Stock Exchange

with 23 million shares changing hands.

MediaOne jumped 7 3/8, or 11%, to 76 7/8, while Comcast rose 1 7/16 to 67 7/16.

The

S&P 500

was down 10 to 1349.

The

Russell 2000

was down fractionally at 429.

TheStreet.com Internet Sector

index was up 5 to 664.

On the

New York Stock Exchange

, decliners were beating advancers 1,479 to 1,147 on 315 million shares. On the

Nasdaq Stock Market

, winners were beating losers 1,715 to 1,697 on 430 million shares.

On the NYSE, 33 issues had set new 52-week highs while 11 had touched new lows. On the Nasdaq, 44 issues had set new highs while new lows totaled 31.

The 30-year Treasury bond was up 9/32 to 95 5/32, yielding 5.59%.

On the Nasdaq,

Dell

(DELL) - Get Report

was most active, with 12 million shares changing hands. It was up 5/16 to 42 1/4.

Tech Focus

The

Nasdaq 100

was down 1%, while the

Morgan Stanley High-Tech 35

was also down 1%. The

Philadelphia Stock Exchange Semiconductor Index

was down 3%. The

Philadelphia Stock Exchange Computer Box Maker Index

was down fractionally.

Gateway

(GTW)

, which after the close yesterday posted first-quarter earnings of 62 cents a share, 2 cents higher than the 23-analyst view and ahead of the year-ago 48 cents, was down 1 9/16 to 68 3/8.

U.S. Bancorp Piper Jaffray

analyst Ashok Kumar downgraded the stock today to buy from strong buy. Kumar, in a research note, pointed out that Gateway "has missed Q2 consensus estimates for the last two years. Given that Q2 is back-end loaded, with the last month representing 40% of unit shipments, we think it is prudent to revise our estimates down from $0.61 to a consensus estimate of $0.55."

In the Newsletters

3Com

(COMS)

expects several new manufacturers to clone its PalmPilot palm-sized PC before the end of the year, executives said at the

Demo Mobile 99 Conference

held in San Diego, according to

Computer Reseller News

.

3Com was up 2 1/2, or 11%, to 24 7/8.

10:58 a.m.: Stocks Remain Modestly Lower in Lackluster Trading

In a violently volatile week which began with fear and has shifted to sanguinity overall, the major market averages were taking a break so far today and were mostly lower at midmorning.

The

Dow Jones Industrial Average

was down 54 to 10,673. The biggest drag on the Dow was

AT&T

(T) - Get Report

, which yesterday made an unsolicited bid valued at more than $62 billion, including debt, for

MediaOne

(UMG)

. This topped

Comcast's

(CMCSA) - Get Report

friendly $54 billion offer, which Comcast made last month.

TheStreet.com

wrote about the situation in a story

this morning.

AT&T was down 3 1/8, or 6%, to 53 5/8. Ma Bell was most active on the

New York Stock Exchange

with 18 million shares changing hands.

Meanwhile, MediaOne jumped 7, or 10%, to 76 1/2. Comcast was up 1 1/2 to 67 5/8.

The

S&P 500

was up 7 to 1352. The

Nasdaq Composite Index

was down 10 to 2552. The

Russell 2000

was down fractionally at 429.

TheStreet.com Internet Sector

index was up 6 to 666.

Overall, "the climate's pretty good," for the market, said Peter Coolidge, managing director of trading at

Brean Murray Foster Securities

, citing in part solid earnings this quarter and continued merger-and-acquisition activity.

Coolidge said he's not looking for the market to do too much today.

The feeling is that this quarter has been the best in terms of upside earnings surprises in a while, Coolidge said.

One of this quarter's upside surprises was delivered by

IBM

(IBM) - Get Report

, which posted much better-than-expected results Wednesday after the close and powered the market sharply higher yesterday. Big Blue was padding its gains this morning, up 7/8 to 195 3/8.

On the earnings front today, drug titan

Merck

(MRK) - Get Report

reported first-quarter earnings of 54 cents a share, in line with the

First Call

30-analyst estimate and up from the year-ago 47 cents.

Merck was down 2 1/4 to 75 5/8. The

American Stock Exchange Pharmaceutical Index

was down 1%.

The 30-year Treasury bond was up 7/32 to 95 4/32, yielding 5.59%.

On the Big Board, decliners were beating advancers 1,381 to 1,089 on 227 million shares. On the

Nasdaq Stock Market

, winners and losers were tied at 1,5875 on 314 million shares.

On the NYSE, 27 issues had set new 52-week highs while 10 had touched new lows. On the Nasdaq, 34 issues had set new highs while new lows totaled 23.

On the Nasdaq,

Dell

(DELL) - Get Report

was most active, with 9 million shares changing hands. It was up 9/16 to 42 7/16.

9:56 a.m.: Stocks Take a Breather After Three Sessions of Gains

Stocks were softer early on, taking a break after three straight sessions of sizable gains.

The

Dow Jones Industrial Average

was down 47 to 10,680.

The

S&P 500

was down 6 to 1353. The

Nasdaq Composite Index

was down 18 to 2544. The

Russell 2000

was down 1 to 428.

TheStreet.com Internet Sector

index was down 6 to 654.

The 30-year Treasury bond was up 6/32 to 95 3/32, yielding 5.59%, in the wake of yesterday's selloff.

Most Up at Open -- NYSE

Vodafone (VOD) - Get Report, up 2 to 188 5/8

.

Most Up at Open -- Nasdaq

priceline.com (PCLN) , up 9 11/16 to 86 1/16

: Goldman Sachs initiated coverage of priceline.com, naming it to its recommended list.

Most Down at Open -- NYSE

America Online (AOL) , down 4 9/16 to 146 3/4

.

Most Down at Open -- Nasdaq

Knight/Trimark Group (NITE) , down 5 to 110

.