Small-Stock Focus: Nasdaq and Russell 2000 Decline for the Week; Descartes, Buckle Fall; Foamex, Styleclick Surge
NEW YORK -- It was a nerve-racking week to be a technology-stock investor, and as usual much of the pain was felt in the small-stock and Nasdaq markets.</br></br>Last week, amid a flurry of selling in Internet-related stocks, and rare declines for initial public offerings of Web names, the Russell 2000 small-stock index fell 3.8% and the Nasdaq Composite Index -- dominated by large tech stocks -- dropped 3.4%. In contrast, most other market measures had more-moderate declines, and the Dow Jones Industrial Average edged up 0.55% for the week.</br></br>The Nasdaq composite now has fallen 11% from its July 16 record close. In the same period, the Russell 2000 has dropped 8%, leaving it 12.9% below its April 21, 1998 record high.</br></br>On Friday, technology stocks, which like the small-cap and Nasdaq markets have been under steady selling pressure the past few weeks, pushed moderately lower. The small-cap market was weighed down by the weakness of financial-services stocks, which make up the largest industry group in the Russell 2000 index, and which are particularly sensitive to rising interest rates. The Nasdaq nonbank financial index fell 2.7%.</br></br>After Friday's modest declines, the Russell 2000 stands at 428.04, and the Nasdaq composite at 2547.97.