Stocks look to open weaker this morning with the Fed out of the way and the specter of even higher interest rates on the horizon.

In early action, the

S&P 500 June futures contract was off 11.2 or about 12 points below fair value. The

Nasdaq 100

June contract was off 50, suggesting a bearish start for tech stocks.

Yesterday, the Fed acted as expected and raised the

fed funds rate by 50 basis points. Following the move, the market rallied and both the

Dow Jones Industrial Average

and the

Nasdaq Composite Index

ended higher for the day. But now, just a few hours later, people are wondering if this is the last move or will the Fed raise rates again when it next meets in six weeks.

Most of the earnings are done for this quarter, but both

Campbell Soup

(CPB) - Get Report


Analog Devices

(ADI) - Get Report

are scheduled to report today.

In other stocks to watch today,



beat expectations last night after the close by posting earnings of 87 cents, versus estimates of 82 cents. Despite this, Hewlett-Packard was off 4 5/8 to 136 this morning, according to


. Also, Mattel is expected to announce that former Kraft CEO Robert Eckert will be named new CEO of the toymaker, replacing

Jill Barad, who resigned in February.

Yesterday's After-Hours Trading

By Angela Privin
Staff Reporter

What will be English and Spanish and read all over? Why, it's

Terra Lycos

, of course. The company was born tonight when Europe's leading Spanish Internet service provider,

Terra Networks


, cinched the deal to buy American Internet portal



for $12.5 billion in stock, or $97.55 a share.

The Spanglish merger will create an Internet company to rival

America Online





, with an estimated 50 million users, 175 million page views a day and $500 million in pro forma 2000 revenues.

After a trading halt was lifted at 5:15 p.m. EDT, Lycos shot up 2 11/16 to 75 1/4 on 320,000


shares. Lycos has surged nearly 40% since rumors of a possible merger surfaced on Friday.

However, Lycos shareholders will only get between 37% and 46% of the combined company, despite the fact that Lycos brings more than 60% of sales and the only positive earnings to the deal.

"We would not chase Lycos shares into this Terra takeout,"

Salomon Smith Barney

analysts warned.

Currency risk could be another consideration for Lycos owners, as Terra trades as an ADR and is subject to the fluctuations of a weak euro.

But evening euphoria raged anyway as late-night lurkers broke out the beer and Sangria and sent Lycos laughing.

Some people like to write their names on tiny grains of rice, while some companies like to design complex semiconductor systems on tiny chips. That is how



makes communications technology for network routers and cell phones.

inSilicon is the new kid. It's daddy is

Phoenix Technologies


. On March 9, the company priced 3.5 million shares at $12 each, above the expected $9-to-$11 range, and gained 9 9/16, or 79.7%, to 21 9/16 in its trading debut. But there must have been a heat wave in San Jose, because its shares have melted slowly ever since, finishing up 5/8, or 9%, to 8 today.

Tonight the tech company was on the road to recovery, scrambling up 29/32, or more than 12%, to 8 29/32 on 250,000 Island shares.



chose inSilicon as the development collaborator for demonstrating a new USB scanning technology.

At a developer's conference this morning in Anaheim, Calif., young inSilicon showed that the new technology allowed an H-P scanner to transmit an image 40 times faster than current technology allows.

It was the

United Nations

of after-hours trading as late-night lurkers lifted a Chinese ADR that calls itself

China Prosperity International Holdings


for short. It ran up 1 3/4 to 12 1/4 on 125,000 Island shares.

The Hong Kong based company announced that it appointed

Commerzbank Hong Kong


FleetBoston Financial Hong Kong

as joint financial advisors on a broadband cable television network joint venture.

China Prosperity's optimism was matched by part-owner and fellow Hong Konger

Best Fortune Capital

, which proposed to put its 37% interest and the 30% owned by a third party toward the venture, according to a press release. The independent party was not cited as its name was not deemed chipper enough by Chinese authorities.

It is expected that $2 billion will be invested in the joint venture in the next few years, the release added.

In the Chinese tradition of happy and prophetic names,




helped its parent move up 2 to 66 1/2 on 70,000 Island shares. announced that it had upgraded its free Internet access service, which will be available to 3.5 million registered subscribers.

CMGI develops and operates Internet and fulfillment services companies and provides private-label Internet access services for brands including



, Lycos,


(ATHM) - Get Report


. If naming subsidiaries for success were a viable business, CMGI would be at the top of its game, with companies such as




Nascent Technologies







under its wing.

BEA Systems


reported first-quarter earnings of 3 cents a share after the bell, bettering last year's earnings of 1 cent and beating analyst consensus estimates of 2 cents. Pro forma net income rose 217% to $12 million from $3.8 million last year, but traders weren't impressed. They sent the stock on its way. BEA was bludgeoned 1 13/32 to 47 7/32 on 29,000 Island shares.

Nor did it matter that BEA, a San Jose e-commerce company, powers the Web sites of monster companies such as

(AMZN) - Get Report


Federal Express

(FDX) - Get Report





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Island ECN, owned by Datek Online, offers trading, mainly in Nasdaq-listed stocks, from 7 a.m. to 8 p.m. EDT.


explains how the rules change when the sun goes down in Investing Basics: Night Owl, a section devoted to after-hours trading.