The stock market took a breather this week, fueled by some disappointing technology earnings reports.
The lower-than-expected earnings, coupled with cautionary tones from Federal Reserve chairman Alan Greenspan and continued economic uncertainty in Asia, helped push down both the tech-heavy Nasdaq Composite Index and the broader market.
Despite closing up 4.38 at 8937.36 today, the Dow Jones Industrial Average shed more than 400 points this week. The tech-heavy Nasdaq closed lower for the third day in a row, finishing down 4.23 at 1930.99.
One of the biggest losers in the high-tech sector was Silicon Graphics. The workstation maker was down more than 18 percent today after the company posted lower-than-expected earnings a day earlier. Excluding charges, the company posted a loss of 31 cents a share, 6 cents worse than Wall Street had predicted.
The stock closed down 2.625 at 11.5, nearing a 52-week low of 10.9375. Shares have traded as high as 30.3125 in the past 12 months.
Meanwhile, Adaptec stock lost nearly 9 percent, closing today at 11. Excluding some acquisition-related write-offs, the company posted first-quarter profits of 10 cents a share, but Wall Street was expecting 14 cents.
As if to illustrate the market's fickle mood this week, shares in Infoseek, which posted better-than-expected earnings yesterday, dropped more than 7 percent to close at 29. The Net directory beat analysts' expectations by 3 cents a share for the second quarter, but it did post a $1.3 million loss.
Likewise, stock in i2 Technologies plummeted nearly 24 percent today despite better-than-expected earnings released yesterday. The company posted second-quarter net income of $7.1 million, or 9 cents a share, compared with a net loss of $1.3 million or 2 cents a share a year ago. Wall Street was expecting 8 cents a share, according to First Call.
But analysts are concerned about the company's slowing sales in Europe and Asia, as well as increasing competition. Shares in the supply chain management software maker were down 8.6875 to 27.6875 at the final bell.
Some Internet bellwethers were also off the mark today. Yahoo dropped 7.25 points to close at 182.125. The Internet directory's 52-week high is 207.5. Lycos fell more than 8 percent to close at 67.25. America Online shed 6.3125 to finish at 119.1875, and Amazon.com was down 3.375, ending trading at 124.25.