Blue Chips End Up; Dow Gains 90.88
NEW YORK (AP) _ Blue-chip shares rose sharply today after shaking off an early slide, but most stocks finished lower amid continuing worries about last week’s rash of profit warnings.
The Dow Jones industrial average rose 90.88 points to close at 9,028.24 after erasing an early 81-point drop that put the measure almost 500 points below July 17′s record of 9,337.97. The Dow lost slightly more than 400 points last week, a slide that was barely interrupted by Friday’s 4-point gain.
Today’s blue-chip recovery also wiped out a 43-point plunge by the Nasdaq composite index and a 12-point loss by the Standard & Poor’s 500, but declining issues outnumbered advancers by a wide margin on the broad market.
Stocks were pressured at the open by a troubling day on foreign markets, where the Japanese yen slid against the dollar and Tokyo’s Nikkei Stock Average fell 2.6 percent.
Japanese traders cited concerns that outgoing Prime Minister Ryutaro Hashimoto’s likely replacement, Foreign Minister Keizo Obuchi, is ill-suited to push through tough reforms needed to reverse the sagging economy.
Boeing, one of the big names that stepped forward last week with discouraging earnings news _ including a mention of Asia’s continuing negative impact _ led the early decline in the Dow, which pushed higher with help from American Express, and Procter & Gamble.
In Europe, Frankfurt’s DAX index fell 2.2 percent and London’s FT-SE 100 fell 1.0 percent.