Tech stocks moved higher today as investors took advantage of lower prices following two sessions of losses. Blue chips also gained.
At 1 p.m., the Dow Jones industrial average gained 59.48 to 11,025.33. The Nasdaq composite index rose 51.20 to 2,694.41 and the Standard & Poor's 500 index gained 6.64 to 1,360.95.
Investors seemed to tune out corporate earnings to shop for bargain-priced tech stocks. The high-tech sector got a boost despite investors' worries that the slowing economy stands to pinch profits the most.
Still, the market was anxiously awaiting earnings due later in the day from tech bellwether Cisco Systems.
Cisco rose 94 cents to $35.50. Also trading higher were Dow components Microsoft, up 94 cents at $62.88, and Intel, which climbed 94 cents to $35.63.
JDS Uniphase gained $2.25 to $52.25. The No. 1 fiber-optic components maker won approval for its $17.6 billion acquisition of SDL. SDL gained $13.50 to $198.88.
"What's really pulling up the Nasdaq is SDL and JDS Uniphase," said Bryan Piskorowski, a market strategist with Prudential Securities Inc. "Still, there's a pull and tug" between those investors who see a recession and those who expect the stock market and economy to pick up in the second quarter, he said.
Abgenix rose $3 to $39.94. Celltech Group Plc, the U.K.'s biggest biotechnology company, said in a press release it will pay U.S.-based Abgenix Inc. $17 million in new shares for the use of its technology to identify proteins as drug discovery targets.
Applied Micro Circuits fell $8.75 to $55.63. Goldman, Sachs & Co. analyst Nathaniel Cohn cut the maker of chips that speed data traffic on fiber-optic networks to "market outperform" from "recommend list."
The so-called safe havens, including drug and consumer product stocks, were mixed. Johnson & Johnson rose 22 cents to $94.15, but Procter & Gamble lost 44 cents to trade at $73.91. Both are Dow components.
One of the Dow's biggest non-tech gainers was Scotch tape maker 3M, up $3.23 at $113.
The Russell 2000 index, which tracks the performance of smaller company stocks, advanced 6.37 to 507.11.