SAN FRANCISCO -- In what resembled a rerun of Friday's action, tech stocks fell along with the rest of the market amid ongoing weakness in the bond market. But unlike Friday, there was no late-day recovery and the
closed near its session lows.
Internet stocks, which rallied early in the session, saw gains cut as Treasuries stumbled. Both
, which helped dictate Monday's weak tone, recovered early today before fading in late trading, typifying action in Net stocks.
Amazon.com traded to a high of 160 1/2 early in the session, but closed down 7 15/16, or 5%, at 143. And RealNetworks eked out a gain of 1 1/2, or 1%, at 201 9/16, though that was far from its session high of 221 1/2.
With interest rates rising and uncertainty about whether Internet stocks are due for a correction, traders appear to be treading cautiously and taking profits on any strength. Nevertheless, there is still a desire to buy Net stocks on weakness, which is why longs emerged after Monday's setback.
Among the leading decliners were two Internet banking stocks.
closed down 24 5/16, or 12%, at 173 1/16 and
was off 18 5/8, or 17%, at 90. Today's steep declines follow run-ups over the past month as online banking stocks caught the market's fancy.
was among the leading percentage decliners after the software company said it expected to report a loss in its first quarter. It closed down 29/32, or 22.5%, at 3 1/8. Information Advantage was expected to report a gain of 4 cents a share, according to
(MQST:Nasdaq) made its debut today along with
(GS:NYSE), which was an unenviable position, though Mapquest.com still posted a sizable gain. Mapquest closed up 7 3/8, or 49%, at 22 3/8. Goldman closed up 17 3/8, or 32.8%, at 70 3/8.
Richard Peterson, market strategist with
, said the Goldman Sachs offering certainly overshadowed Mapquest.com today. Peterson said the average Internet IPO has gained approximately 141% in its first day of trading this year, though the average gain has slipped to 124% over the past 30 days as more supply has come to the market.