CHICAGO (CNN/Money) - Technology stocks posted muted gains Thursday as positive comments from Dell helped large-cap tech issues maintain strength in an otherwise lackluster session.

The Nasdaq Composite Index slipped 0.14 to close at 1,396.58, according to preliminary results. Most of the major tech indexes, however, posted slight gains. The Morgan Stanley 35 edged up 0.90 to 300.21, while the CBOE Technology Index gained 2.66 to 360.71.

After Wednesday's rally, inspired by news that U.S.-led coalition troops were advancing quickly toward Baghdad, investors took a breather awaiting more developments out of Iraq.

Although war-related news will continue to push the market, tech investors will begin to turn some of their attention to earnings news, as companies begin pre-announcing their expectations ahead of reporting.

Large-cap tech stocks got a boost from Dell Computer (DELL: Research, Estimates), which gained 58 cents to $28.67 after the computer maker reaffirmed that its first-quarter earnings results should fall in line with analysts' estimates.

Among tech blue chips, IBM (IBM: Research, Estimates) rose 45 cents to $81.91, Hewlett-Packard (HPQ: Research, Estimates) climbed 37 cents to $16.36, and Microsoft (MSFT: Research, Estimates) edged a penny higher to $25.73.

Several software companies, however, warned that their latest quarterly results would not meet expectations.

JDA Software (JDAS: Research, Estimates) fell $1.15, or 11 percent, to $9.19 after the company warned that its first-quarter revenue will likely fall short of Wall Street estimates. Wachovia Securities cut its rating on JDA to "underperform" from "outpeform."

WebMethods (WEBM: Research, Estimates) tumbled 51 cents to $9.49 after warning that quarterly sales would miss expectations due to customers delaying technology spending amid uncertainty regarding the war with Iraq.

Nonetheless, the Goldman Sachs Software Index gained 0.21 to 105.63.

Morgan Stanley cut its rating on the telecommunications industry to "cautious" from "in-line," citing valuation concerns and reduced earnings expectations.

Among individual telecom stocks, Morgan Stanley cut its rating on Verizon Communications to "equal weight" from "outperform," but the brokerage raised its rating on BellSouth (BLS: Research, Estimates) tto "overweight" from "equal weight."

Verizon (VZ: Research, Estimates) shares fell $1.39 to $36.09, while BellSouth (BLS: Research, Estimates) slipped 29 cents to $23.06.

Semiconductor stocks continued to climb on the heels of Wednesday's rally on the Philadelphia Stock Exchange. After climbing 6.3 percent in the previous session, the Sox rose 1.16 319.26.

Among individual chip stocks, Intel (INTC: Research, Estimates) edged 5 cents higher to $17.57, Advanced Micro Devices (AMD: Research, Estimates) gained 20 cents to $7.20, and Analog Devices (ADI: Research, Estimates) added 7 cents to $29.65.