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MARKET CLOSE: Techs rally on jobs report

3 min read

Technology stocks rose with the rest of the market Friday after the release of the latest job growth figures from the U.S. Department of Labor.

The tech-heavy Nasdaq Composite Index rose 62.63 to 4,023.20. The S&P 500 gained 22.23 to 1,478.90. The blue chip Dow Jones Industrial Average advanced 154.51 to 10,635.98.

Inter@ctive Week's @100 Index increased 73.47 to 4,946.48.

Wall Street cheered June's payroll numbers, which showed a slower pace of jobs creation that analysts said underscored the idea that the six Fed rate hikes of the past year have begun to take effect.

"Obviously, the report is being construed bullishly because this means that the Fed can't really do anything at the next meeting," said Donald Selkin, chief market strategist a Joseph Gunnar & Co. The Labor Department reported that June payrolls increased by a modest 11,000 as the addition of 206,000 private-sector jobs was offset by the departure of 190,000 temporary workers, who were working on the year 2000 Census. Most economists expected stronger job growth.

Despite the market's overall gains, some of the Friday's highest volume movers lost ground.

Broadvision (Nasdaq: BVSN) lost 13 5/8 to 40 after rival Art Technology (Nasdaq: ARTG) won a contract with AMR (NYSE: AMR), parent of American Airlines. Broadvision had been viewed as the incumbent software vendor in that competition. Shares of Art rose 17 to 111 1/2.

Qualcomm (Nasdaq: QCOM) slid 5 1/16 to 56 5/8. South Korea's three largest wireless service providers opted to build their next generation networks on W-CDMA technology, instead of the Qualcomm-backed CDMA standard.

Compuware (Nasdaq: CPWR) lost 1 3/32 to 9 5/32 after it became the latest major independent vendor of mainframe software to warn of disappointing quarterly results.

Applied Microsystems Inc. (Nasdaq: APMC), down 11/16 to 6 3/16, said it expects to report second quarter results that miss Wall Street estimates.

Shares in Brio Technology (Nasdaq: BRIO) were cut in half Friday, down 11 11/32 to 8 15/32, after the company said it missed revenue and earnings targets for the first quarter.

Network traffic management software maker CrossKeys Systems (Nasdaq: CKEY) increased 2 7/8 to 9 following its report of a stronger-than-exepcted fourth quarter. The company also announced changes to its board of directors.

French software vendor InfoVista (Nasdaq: IVTAV) shot up 18 1/4 to 30 1/4 in its IPO debut. InfoVista, whose software monitors computer networks, was the Nasdaq's top percentage gainer Friday.

Cisco Systems Inc. (Nasdaq: CSCO), up 5/8 to 65 3/8, will acquire privately-held Netiverse Inc. in a stock deal worth around $210 million.

Yahoo! Inc. (Nasdaq: YHOO) slipped 5 7/8 to 116 1/2 after Deutsche Banc Alex Brown analyst Andrea Williams Rice cut her rating on the stock, along with some other Internet companies. Amazon (Nasdaq: AMZN) rose 1/16 to 36 1/8 and AOL (NYSE: AOL) was up 1/2 to 56 3/4.