Advanced Micro Devices

(AMD) - Get Report

was up 3.4% in late morning trading despite the chip-sector slump and a downgrade to market perform from strong buy at

Chase Hambrecht & Quist

. Analyst Sudeep Balain also sliced his AMD price target to $35 from $75. Other semiconductor stocks continued to fall in sympathy with

Intel

(INTC) - Get Report

, even though

Bear Stearns

TST Recommends

asserted that the chip bellwether's difficulties were largely confined to it and not industrywide. The

Semiconductor Index

was down 7.1%, with

Applied Materials

(AMAT) - Get Report

off 7.3% and

Rambus

(RMBS) - Get Report

off 2.1%. Intel recovered slightly but was still down 20.1%.