SAN FRANCISCO (08/31/2000) - The late-August market doldrums broke Tuesday on rumors of another merger extraordinaire: Would Credit Suisse First Boston buy Donaldson Lufkin & Jenrette Inc.? This morning, the answer turned out to be a big "yes," to the tune of $11.5 billion. The merger would create a global investment powerhouse; this week it made DLJ shareholders very happy. The stock continued to rise Wednesday after Tuesday's 20 percent jump, gaining an additional 5 percent, or $4.38, to $88.38.
Meanwhile, the Dow was Wednesday's surprising loser, shedding 1 percent as investors gravitated toward a few individual Nasdaq issues. The Dow dropped 112.09 points, to 11103.01. The Nasdaq enjoyed a tiny bounce, rising half a percent, or 21.74, to close at 4103.91.
Large-cap techs were slightly down Wednesday, but other tech stocks enjoyed a nice boost, regardless of sector. CMGI Inc. (CMGI) jumped $5.19, or nearly 13 percent, to close at $45.81, and sector-mate Internet Capital Group Inc. (ICGE) rose $4.81, or 15.43 percent, to close at $36. Search-engine provider Inktomi Corp. (INKT) rose $6.81, or 5.72 percent, while BroadVision Inc. (BVSN) closed up $3, or nearly 10 percent, to $34.50. The day's big winner was b-to-b stalwart CommerceOne, which jumped 20 percent, or $10.87, to $63.25.
Amazon jumped Wednesday on encouraging words from the Street, which applauded both the company's domestic business and its plans for the French market. The stock rose 8 percent, gaining $3.94 to $42.31.
IBM, General Electric (GE) , Wal-Mart and Coca-Cola (KO) led the Dow's decline Wednesday; each lost 2 to 3 percent.