Blue-Chip stocks sagged but technology shares eked out modest gains in listless trading yesterday as investors awaited this week's key Federal Reserve meeting on interest rates.
Many investors also sat on the sidelines to wait out the storm of companies saying slowing US economic growth will crimp their profits, analysts said. Technology stocks found buyers, however, amid hopes the Fed's widely anticipated interest rate cut will help the battered sector.
Some investors are pinning their hopes on further interest-rate reductions by the Fed, which meets on Tuesday and Wednesday, hoping that its aggressive monetary easing can engineer a come-back for the US economy.
The Nasdaq Composite Index rose 16.07 points to end at 2,050.91. Cisco Systems , the world's largest maker of gear that powers the Internet, helped boost the tech-packed index with a 99cent gain at $18.51.
The Dow Jones industrial average slumped 100.37 points to 10,504.22. Retailer Home Depot was a big drag on the blue-chip index, as its shares were hurt by a bearish article in the financial weekly Barron's. The broader Standard & Poor's 500 Index fell 6.74 points to 1,218.61.
