Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!americast.com!americast.com!americast-post
Newsgroups: americast.ibd
From: americast-post@AmeriCast.Com
Organization: American Cybercasting
Approved: americast-post@AmeriCast.com
Subject: NASDAQ Amex Market
Date: Tue, 17 Nov 92 12:53:40 EST
Message-ID: <6.1992Nov17.125340@AmeriCast.com>

11/17/92


TITLE NASDAQ Amex Market Nasdaq Slips 0.5% As Hectic Trading
Eases

Autodesk, Intel, Oracle Retreat; A Fistful Of Biotechs Fall Lisa
Lee Freeman After meandering at slightly lower levels for most of
the session, the Nasdaq market yesterday ran into increased sel-
ling pressure toward the close and finished near its low for the
day.  The Nasdaq composite index, in a six-week uptrend, relin-
quished 3.15 points, or 0.49%, to 634.01. Declines topped ad-
vances 10-to-9. But volume - although active - was relatively
subdued at 188 million shares, or 6% less than Friday.  It was
the first time in the past eight sessions that trading dipped
below 200 million shares. Still, Nasdaq volume overwhelmed the
Big Board's, which was 174 million shares.  Losses were spread
across the board, denting issues in the technology, medical and
retailing sectors.

On the listed exchanges, the NYSE composite index fell 0.37% and
the American Stock Exchange market value index slid 0.73% as
losers led 12- to-11.  In trading, the most actively traded stock
was Oracle Systems Corp., which shed 11/2 to 213/4 on 2.7 million
shares, or nearly twice its normal turnover. Dean Witter Reynolds
Inc. downgraded the software developer to neutral from buy based
on a sharp run-up in the stock. Oracle, along with the rest of
the software group, has been on a roll since July.  Borland
International Inc. eased 11/4 to 283/4. Volume was 1.8 million
shares - making it the day's second most active stock. Borland,
which leaped above 80 in January, is trading at levels not seen
since early last year. The company said yesterday it will be col-
laborating on a new database connectivity project with Interna-
tional Business Machines Corp., Novell Inc. and WordPerfect Corp.
Novell was down 5/8 to 321/8.  Autodesk Inc., which has been in a
sharp uptrend since dipping below 24 in February, surrendered 7/8
to 53 on profit-taking. It was down as much as 13/8. The maker of
computer-aided design and drafting software is expected to report
its fourth consecutive quarter of declining earnings after
Thursday's close.  Hambrecht & Quist Inc. analyst Robert Herwick
is looking for at least 48 cents a share, compared with 65 cents
a year earlier. Still, he said, this would be an improvement over
the prior quarter. Autodesk isn't expected to post a year-over-
year gain until next year.  Nevertheless, Autodesk has been in a
sharp uptrend due to the appointment of Carol Bartz as president,
chairman and chief executive in April. Bartz is attempting to
trim the company's costs, which had gotten out of control, and
improve its profitability, said Herwick. Already, she has suc-
cessfully turned around Wall Street's perception of the firm. The
success of a new Autocad product also had helped boost the stock.

Another major technology issue, Intel Corp., in a five-month up-
trend, drifted 11/2 to 683/4.  Like Oracle, Methode Electronics
Inc. Class A got punished by a Wall Street brokerage for its
strong performance recently. The stock, which soared to a new
high last week, dropped 2 to 173/4 after Merrill Lynch Capital
Markets -wary of the recent hike in Methode's price - downgraded
the issue. Despite the day's action, Methode is up more than 40%
in the past 12 weeks. Methode makes electrical components.  Ultra
Pac Inc., which had edged up more than 25% in recent weeks,
flopped back 2 to 113/4. The maker of recyclable plastic packag-
ing said third-quarter earnings would fall below expectations of
16 cents a share. A year earlier, the company earned 14 cents a
share.

Nordstrom Inc. eased 11/8 to 363/8. Last week, the stock rose to
a seven-month high after being showered with positive analysts'
comments. The praise came in the wake of a strong third-quarter
earnings report. After four quarters of declining earnings, the
company posted a better- than-expected increase of 21%.  Tuesday
Morning Corp., down 21/2 in the previous session, dropped a point
to 103/4 - a 13-month low. Late Friday, the company forecast a
worse-than-expected third-quarter loss. A year earlier, it re-
ported a four-cent profit.  Another retailer, Charming Shoppes
Inc., which hit a high of 38 last week, fell 17/8 to 361/8 amid
active trading.  Many biotechnology stocks also stumbled after
several weeks of sharp gains. Last week alone, the biotech group
soared 9.5%. Chiron Corp. surrendered 17/8 to 561/4, Immunex
Corp. 13/8 to 533/8 and Cambridge Neuroscience Inc. a point to
91/2.  On the downside, Cytel Corp., which jumped sharply higher
in recent weeks, climbed another point to 133/8 after releasing
promising research results -the lifeblood of developing drug com-
panies. Cytel said a monoclonal antibody under development pro-
tected animal subjects from permanent tissue damaged caused by
lack of blood and oxygen.  Seragen Inc. was up 11/4 to 111/2. The
company said data from ongoing research showed its interleukin-2
fusion toxin rheumatoid arthritis drug reduced symptoms of the
disease and showed no toxicity with retreatment.  Alliance Phar-
maceutical Corp.-
 climbed a point to 15 after receiving approval of its Sat Pad
magnetic resonance imaging product, which is expected to produce
revenues of approximately $20 a share in the next four to five
years.  Lifecore Biomedical Inc. recouped 21/4 to 87/8. The maker
of bone implant materials and medical devices said it will con-
tinue to work with Johnson & Johnson Co.'s Ethicon Inc. unit in
developing a product to reduce surgical adhesions. Last month,
the stock plunged after Lifecore Biomedical said clinical trial
data showed the product was not as effective as expected.  Heart
Technology Inc. soared 13/8 to 183/4 on news the company will
resume production of its Rotoblator angioplasty device, designed
to clear blocked coronary arteries. Heart Technology had plunged
in June after it had to halt production of the product due to
manufacturing problems during the final stages of its regulatory
review. In response, Hambrecht & Quist reiterated its buy rating
on the company, saying it expected the Food & Drug Administration
to approve the Rotoblator during the latter half of next year.
Apple Computer Inc., which has climbed sharply since emerging
from a 17-week base in mid-October, added 11/8 to 573/8. But
turnover was a slow 603,000 shares, compared to an average daily
volume of 1.4 million. The stock has been climbing on anemic
volume for the past several weeks, a sign to technical analysts
of possible trouble ahead.

This article is copyright 1992 Investors Business Daily. Redis-
tribution to other sites is not permitted except by arrangement
with American Cybercasting Corporation.  For more information,
send-email to usa@AmeriCast.COM