Dow, S&P, Nasdaq set records to end week

Industrial index hits 11,139.24

weekly rise is biggest in its history

Wall Street

July 03, 1999|By BLOOMBERG NEWS

NEW YORK -- Stocks rose to records in a quiet session yesterday, as a strong employment report fed investors' enthusiasm and capped a week of extraordinary strength on Wall Street.

It was the best week for stocks since October 1998, even after the central bank raised interest rates for the first time since March 1997 and the economy added more jobs than expected.

Communications technology and financial stocks led the market higher.

The Dow rose 72.82 to close at 11,139.24, easily topping its previous record close of 11,107.19 on May 13. For the week, the Dow rose 5.6 percent or 586.68 points, the biggest weekly point gain in its 103-year history.

The Standard & Poor's 500 index advanced 10.26 to 1,391.22 and the Nasdaq composite index climbed 34.84, or 1.3 percent, to 2,741.02.

Both set records for the third day in a row and, like the Dow, had their biggest weekly point gains ever.

The S&P 500 gained 75.91, or 5.8 percent, for the week and the Nasdaq soared 188.37 points, or 7.4 percent.

The Wilshire 5,000 index increased 59.91 to 12,643.51; the American Stock Exchange composite index advanced 7.47 to 802.42; the New York Stock Exchange composite index climbed 3.79 to 655.12; and the S&P 400 midcap index added 1.04 to 419.82. All were records.

The Russell 2,000 index, a benchmark of small-cap stocks, rose 2.09 to 456.51, and the Sun-Bloomberg Maryland index gained 1.89 to 244.60.

Four stocks rose for every three that fell on the New York Stock Exchange, where volume was light; 613.5 million shares traded.

Cisco Systems Inc. rose $2.6875 to $67.0625; Lucent Technologies Inc. gained $2.625 to $70.6875; and Tellabs Inc. advanced $1.6875 to $70.0625. Sun Microsystems added $1.875 to $70.0625.

Internet companies were almost uniformly higher, with search engine company Infoseek rising $5.50 to $55.875 and America Online Inc. gaining $3.125 to $115.25.

Cyclical stocks rose broadly. International Paper Co. climbed $1.375 to $51.125 and Minnesota Mining and Manufacturing Co. added $1.6875 to $88.875.

Financial stocks continued to gained strength from the interest rate environment. American Express Co., up $4.50 to $137.625, contributed most to the Dow average's advance. J. P. Morgan & Co. rose $1.625 to $141.875; and MBNA Corp. gained $1.625 to $31.9375.

RealNetworks Inc. soared $12.0625 to $89.9375, a day after the top maker of software used to access audio and video online said its software will be used in Microsoft Corp.'s WebTV and Windows CE operating system. The shares gained 13 percent Thursday.

Cablevision Systems Inc., the No. 1 U.S. cable TV company, added $2.25 to $74.50. Analyst Jessica Reif Cohen at Merrill Lynch & Co. said Cablevision is one of the best-positioned independent cable operators and reiterated her "buy" rating on the company.

Scotsman Industries Inc. rose $10.8125 to $32.625 after Berisford PLC, a British auto-parts and furniture maker, said it offered $712 million in cash and debt for the U.S. maker of commercial refrigeration products. Scotsman closed yesterday at $21.8125, making the offer a 51.3 percent premium to its closing price.

Mirage Resorts Inc. dropped $1.50 to $15.25 after the third-largest U.S. casino company said it expects to earn 7 cents to 10 cents a share in the second quarter -- far less than the 24-cent average estimate of analysts polled by First Call Corp.

Day Runner Inc. fell $2.625 to $10 after North America's top maker of loose-leaf paper organizers said it expects a fiscal fourth-quarter loss of 14 cents to 18 cents a share, short of the average 10-cent estimate of analysts.

Pub Date: 7/03/99

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