Technology stocks rise for another record day

17 Jun 2002

(Reuter) The siren call of technology shares is boosting stocks in New York and Tokyo. The Dow Jones industrial average soared 52.02 points, or 0.96 percent, to 5,459.61 and set its ninth record closing high for 1996. In the broader market, advancing issues led declines 1,376 to 931 on very heavy volume of 465 million shares on the New York Stock Exchange."We're watching this market with wonderment rather than nervousness," said Arthur Cashin, a managing director of New York Stock Exchange floor operations for PaineWebber. "We're in awe."

Bellwether Dow component IBM rose 2 1/2 to 114 7/8 -- trading at its highest levels since early 1991. Stronger technology stocks included Micron, up 4 1/8 to 41 7/8, Texas Instruments, up 1 5/8 to 54 3/4, Hewlett Packard, up 1 3/8 to 90 1/2, and Intel, up one to 59 1/2. The technology-laden Nasdaq Composite index advanced to its third consecutive record, gaining 5.74 points to 1,089.08. The Standard & Poor's composite index of 500 stocks jumped 4.90 to 646.33, its sixth record closing high for the year.

Wall Street's rally carried over to the Tokyo market Wednesday. The Nikkei average ended up 192.34 points at 20,943.49 and the dollar rose to 106 yen.

"Techs were the big story yesterday and today. They're back in the limelight and part of the reason why stocks are doing so well. It's helped change psychology and there's also a good play in cyclicals," said Hildegard Zagorski, a market analyst at Prudential Securities.