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Tech Stocks Fall With Broad Market as Bonds Tank

Nasdaq ends near session lows. gains 49% on its first day of trading.

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

(AMZN) - Get Inc. Report



(RNWK) - Get RealNetworks Inc. Report

, which helped dictate Monday's weak tone, recovered early today before fading in late trading, typifying action in Net stocks. 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.



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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.

Information Advantage


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

First Call


(MQST:Nasdaq) made its debut today along with

Goldman Sachs

(GS:NYSE), which was an unenviable position, though 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

Securities Data

, said the Goldman Sachs offering certainly overshadowed 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.