Also, concerns over effects a war will have on the U.S. economy and consumer spending pressured prices. At midmorning, Dow SM component General Electric announced that it will meet analysts' expectations for next quarter. It also reaffirmed that revenue estimates will be inline for 2001 and 2002 despite current economic conditions. This upbeat news helped erased earlier losses and moved most indices into positive territory. However, the technology sector started weighing on prices just before midday.
Many investors fear that a slow down in consumer spending is going to hurt future revenues.
In the Dow, Microsoft and Intel were leading the losers due to these thoughts. Many investors will be watching the major indices this afternoon to see which way they will close, after being indecisive for most of the session. The Fed also noted that it will continue to add liquidity to the market, but it is going to tighten its reigns. Well now you can.