LONDON -- In light European trading Tuesday morning, shares of technology and semiconductor stocks gave back some of the gains they accrued during yesterday's Wall Street rally. This profit taking appears to be paving the way for a weaker opening for the broader market in New York.


(INTC) - Get Report

, which single handedly accounted for half of Monday's 108.5-point rise in the

Dow Jones Industrial Average

, traded down 1/2 to 136. Likewise,


(CSCO) - Get Report

saw its shares dip 3/8 to 68 5/8.

Although the September futures contract for the technology-rich


was trading 12.5 points higher to 3995, indicating a positive open, the broader market appears to lack the same resilience. At 6:30 EDT, the September S&P futures contract was trading 1 point lower at 1503, or 4 points below fair value.

Not all stocks were back peddling, however.



, which was sidelined at yesterday's races, showed some life Tuesday. Shares edged up 1/4 to 33 5/8.

Also in good spirits was computer chip maker



, which will replace


(GTE) - Get Report

in the

S&P 500

. GTE is being acquired by

Bell Atlantic


, which already is a member of the Index. Broadcom shares climbed $13 to $160 1/2.

Other stocks showing strength include shares of consumer companies, including


(G) - Get Report

, which gained 3/32 to 31 9/32.

"Some stocks are relatively cheap at these levels," said one London dealer. Gillette, for example, is trading at 24 times fiscal 2000 earnings, slightly less than the average of 25 times for stocks in the S&P.

Monday's After-Hours Trading

By Angela Privin
Staff Reporter

Whoa, boy!



made some galloping gains tonight. It raced up 16 1/8 to 163 9/16 on news that the company will replace


(GTE) - Get Report

in the

S&P 500


Dow Jones

reported the news at about 3 p.m. EDT and it quickly spread on



message boards.

Broadcom was also in the news today, mentioned in a

story on


and also by

. Broadcom develops technology for digital data transmissions and will soon acquire


chipmaker Innovent. Bluetooth has been causing a stir with technology that allows electronic devices to talk to each other.

Wanna hear America's number-three PC maker scream? EEEE is not only the ticker symbol for



but also the sound it made as it tumbled almost 30% today on news that it will report a second-quarter loss of between 30 cents and 33 cents a share -- far worse than the penny loss expected by Wall Street. The company, which specializes in cheap PCs, warned analysts last month that the quarter was off to a slow start. CEO Stephen Dukker blamed the shortfall on weak consumer demand and aggressive discounting due to rising inventories. Analysts said that demand weakness has been isolated to the low-end market.

Initially the company recovered slightly at night but was lately flat at 2 5/8 on more than 170,000 Island shares.

OSI Pharmaceuticals


has been collaborating with


(PFE) - Get Report

on a promising experimental anticancer drug. Tonight, it was granted full rights to the drug by Pfizer to satisfy U.S. regulators who approved Pfizer's merger with



earlier in the day.

The drug compound, called CP-358,774, is geared for ovarian, head-and-neck and non-small-cell lung cancer. Currently the drug is in trials.

When the companies owned joint rights to the drug, OSI was entitled to "mid-single-digit" royalties from the drug if it received U.S. marketing approval. But now, with full rights and ownership, it is entitled to all the sales profits.

The stock spiked 8, or 50.6%, to 23 13/16 today on early news that it licensed some of


(MRK) - Get Report

patented products. In after-hours action the stock gained another 2 1/16 to 25 7/8.

The agreement allows OSI to expand in the hot field of genomics, which is the identification and characterization of genes, used to find cures for life threatening diseases

The telecommunications sector did well today with the help of phone carriers, which propelled the

S&P Communications Services Index

2.1% higher.

In a trickle-down move, equipment makers, such as

Redback Networks


, gained ground, rising 17 5/16, or about 15%.

Earlier tonight the California company fell more than one point, then eschewed the red to rise 1/16 to 136 5/16.

Rumor had it that


(MSTR) - Get Report

was getting some cash. Today, the rumors were confirmed and the company announced a $125 million infusion of cash, the company's stock surged by day and continued to rise at night. It was lately 1 19/32 higher to 44 after rising 3 7/8 during the day session.

Also, MicroStrategy founder and CEO Michael Saylor apologized to shareholders for accounting problems that caused the company's stock price to plunge and led to a federal investigation. MicroStrategy shares plunged 62% in March after it announced that it was revising its revenue figures after some accounting problems.

American Eco


rose 1/16 to 5/16 and was


ECN's most-active stock. Last Thursday, the company issued its most current news on management changes.

Company officials could not be reached for comment. An investor relations recording simply stated that the company was working with financial advisors to address the company's financial affairs. Once that is done, the company will make a statement.

There was lots of speculation to why the stock was moving tonight in after-hours action, after ending the day-session unchanged. One trader stated the obvious "There are rumors."

American Eco is a consolidator of outside contractors for the energy, pulp & paper, power generation and construction management industries.



rose almost 19% today after announcing this morning that it acquired six new European customer for its Internet search services. Companies from Sweden, Germany, France, Switzerland and two from the U.K. joined the list of the Internet software maker's clients.

And analysts from

Thomas Weisel

appeared on


touting their buy recommendation for the stock. A

Goldman Sachs

report has also been credited for boosted the stock.

Inktomi knows how to give and to receive. It returned some of its daytime gains in light profit taking, falling 1 3/8 to 136 7/8 on 14,000 Island shares.


(RMBS) - Get Report

continued to rise in a continuation of Friday's rally. It settle 9% higher today and pushed up 2 5/16 to 93 7/8. Read more in's

joint newsroom


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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.