Updated from 4:25 p.m. EST
Tech stocks were pummeled and blue-chips saw their first down session of the week Thursday as a profit warning from
and news that an economic stimulus package might be dead spooked investors.
Dow Jones Industrial Average ended down 85 points, or 0.85%, to 9985, while the
Nasdaq was down 64 points, or 3.25%, to 1919. The
S&P 500 was down 10 point, or 0.8% to 1140.
Juniper, a maker of network equipment, said it expects to earn a pro forma 5 cents a share on revenues of $150 million to $155 million in the fourth quarter; analysts had been expecting earnings of 10 cents on revenues in the $200 million range. The company's shares dropped $4.08, 17.8% to $18.85
Chipmaker shares got pounded for the second consecutive day, with the Philadelphia Semiconductor Index losing 5.6%
The auction for
cable unit is over, with
emerging victorious. Comcast will issue stock worth $47 billion and assume $25 billion of debt in a transaction that will give AT&T shareholders a 56%-equity stake in the combined firm. Shares of Big T climbed $1.05, or 6.25% to $17.85, while Comcast was off $2.28, or 6% to $35.79.
One day after Moody's lowered its debt to junk status,
outlined a restructuring under which it will sell off $1.6 billion of assets and offer 40 million common shares. The company also slashed its capital budget and lowered earnings guidance for 2002. The stock was recently down $2.08, or 12.9% at $13.99.
An economic stimulus package appeared headed for a stalemate in Congress after House Republicans passed a measure that observers believe is unlikely to be approved by the Senate. Stocks got a boost Wednesday when President Bush claimed an agreement had been reached.
Foreign stocks were mostly lower, with London's FTSE 100 down 0.8% to 5080 and Germany's Xetra DAX off 1% at 4934. In Asia, Japan's Nikkei was down 0.4% to 10,435, while Hong Kong's Hang Seng gained 0.3% to 11,601.
In Argentina, a state of emergency was declared by President Fernando de la Rua amid rioting sparked by the country's fiscal collapse. Argentina defaulted on $130 billion of debt last week, leading to a cash shortage when bank accounts were frozen. Mass looting was reported in the country's three biggest cities.
At 4 p.m. EST the 10-year Treasury note was up 1/32 to 99 22/32, yielding 5.04%.