Dow Edges Up In Choppy Session
Stocks drifted through an unimpressive session to a split finish Tuesday as the Dow Jones industrial average crept to another closing high.
Profit taking took the steam out of a rally in technology issues, making for a down day on the Nasdaq Stock Market, which lists numerous computer, software and related companies.
Blue-chip stocks chugged forward enough to carry the Dow industrials to a second straight record. It edged 8.65 points past Monday’s high to 4,485.20.
But the Dow’s feat didn’t inspire analysts who were discouraged by the market’s breadth, meaning the numbers of stocks that rose vs. those that fell. A closing tally on the New York Stock Exchange showed gainers outnumbered losers by only about 50 issues.
Volume on the Big Board’s floor amounted to 339.99 million shares as of 4 p.m. Eastern time, compared to 337.45 million Monday.
Hugh Johnson, chief investment officer of First Albany Corp., said the market didn’t give a convincing performance.
“I think everybody’s worried about the economy and no one is clear whether it’s going to be a hard landing or a soft landing,” Johnson said. “There’s a very intense debate going on about that on Wall Street and that debate was reflected in the market with a virtual standoff.”
Some of the stocks that moved substantially or traded heavily Tuesday: NYSE
Ford Motor, down 1/2 to 30.
The automaker’s stock was in the spotlight following release Monday of its report on May car and light truck sales.
Circuit City, up 1 1/8 to 27 5/8.
Investors were encouraged by solid retail sales reported for May by the consumer electronics chain.
Philip Morris, up 1/8 to 73.
The stock was active as the tobacco company agreed to remove cigarette ads that had been placed in baseball, basketball, football and hockey stadiums and arenas.
NASDAQ
Lotus Development, up 3/8 to 61 13-16.
The stock attracted investors as International Business Machines launched a tender offer for Lotus at $60 a share. IBM rose 5/8 to 91 7/8 on the NYSE.
AMEX
Fibreboard, up 2 5/8 to 20 1/2.
The stock got investor attention after the company said it was considering selling its wood products group and plans to buy back as much as $20 million of its shares.