Updated from 4:11 p.m. ESTInvestors handed stocks a pasting on the fourth anniversary of the Nasdaq's bubble zenith Wednesday, sending two of the three main indices to new 2004 lows despite a slew of positive earnings news in the industrial sector. The Dow Jones Industrial Average tumbled 160.07 points, or 1.53%, to 10296.89, while the Nasdaq Composite fell 31.01 points, or 1.55%, to 1964.15. Both closed at their lowest level since mid-December. The S&P 500 fell 16.68, or 1.46%, to 1123.90, its lowest close since Jan. 6. While stocks sold off, bonds held their ground, ending flat after several sessions of dramatic price appreciation. The 10-year note is currently yielding 3.72%. Volume on the New York Stock Exchange approached 1.7 billion shares, while almost 2.2 billion shares changed hands on the Nasdaq. Decliners outnumbered advancers by 7 to 2 on both exchanges. "What was happening up until now was mostly a rotation from one sector of the market to another, while today shows money is just coming out of the market," said Barry Ritholtz, chief market strategist at Maxim Group. "Clearly the character of the market has changed. It doesn't mean, mind you, that we're going right back to where we were. We're still waiting for 5% pullbacks in the Dow and the S&P in this bull market." "While the low-hanging fruit has already picked, there's still upside," he added. "It's just less of a 'chasing momentum' market, and more of a 'buying the pullback' market." Only three of the 30 Dow components ended in the green, among them Procter & Gamble ( PG), which Tuesday night predicted current-quarter earnings would beat estimates and set a 2-for-1 stock split. The other two gainers were McDonald's ( MCD) and Altria ( MO), proxies for the traditional sin havens that often thrive amid broader downturns. Falling more than 3% were old economy stalwarts Alcoa ( AA), DuPont ( DD), Honeywell ( HON), International Paper ( IP), and Caterpiller ( CAT). The industrials' weakness came despite a bullish update from Ingersoll-Rand ( IR), which raised its first-quarter guidance on strength in its end markets. IR's shares ended down $1.44, or 2%, to $63.45. Other industrial companies with positive earnings news Wednesday were Danaher ( DHR) and Hughes Supply ( HUG). In technology, the Philadelphia Semiconductor Index fell 2.07%, four years to the day after the Nasdaq touched its all-time high at 5048.62 in 2000. Was the anniversary weighing on sentiment? "For so many people, the mistakes made after that peak are going to haunt them for a long time," Ken Tower, a chief market strategist at Cybertrader. "I don't think that we will embrace hope and enthusiasm for a new technology in anything like the way we embraced the growth and opportunities presented by the internet -- at least not for a long time." "But the stock market is a creature of human emotions," he added, "and human emotions have not evolved very much over thousands of years, so I think you can certainly expect these patterns to repeat themselves over time. It just takes a long time for some of them." Among major Nasdaq names, Intel ( INTC) fell 2.2%, Microsoft ( MSFT) lost 1.2%, Siebel ( SEBL ) fell 3% and Xilinx ( XLNX) gave up 3.6%. Barry Hyman, an equity market strategist at Ehrenkrantz King Nussbaum, said the recent slide in the markets stems from investor concerns about the sustainability of the economic recovery in the wake of February's dismal employment report. "That was such a huge miss," said Hyman. "Now, as we enter the political season, it raises concerns about the electability or reelection of President Bush -- it's a little more in doubt than it was a month ago." "I still think the market is on solid footing -- economically and fundamentally," he added. "I think this downward movement is short-term in nature. The market is probably due for a more significant correction at some point, but I don't see any reason for a major sell-off. There's still room for growth."