NEW YORK (CNN/Money) -
Technology shares largely declined despite upbeat earnings reports from Lucent Technologies Inc. and Amazon.com.
The Nasdaq Composite Index fell 42.83 to 1,898.07, according to preliminary reports. The Amex Technology Index dropped 12.62 to 693.83, while the Morgan Stanley Technology Index edged 10.67 lower to 447.37.
Among the blue chips, Microsoft (MSFT: Research, Estimates) lost 46 cents to $28.89, Intel (INTC: Research, Estimates) moved 60 cents lower to $31.52, and Dell (DELL: Research, Estimates) lost 57 cents to $36.41.
Shares of Lucent Technologies (LU: Research, Estimates) rose 33 cents to $2.78 on news that the company posted its first net profit in over three years amid weak spending by telephone companies.
The Murray Hill, N.J.-based telecommunications equipment maker reported a net profit, including preferred dividend payments, in its fiscal fourth quarter of $77 million, or 2 cents a share, compared with a year-ago loss of $2.88 billion, or 84 cents. Its last net profit was recorded in the March 2000 quarter.
Amazon.com (AMZN: Research, Estimates) shares sank $5.32 to $54.03 despite reporting a third-quarter profit late Tuesday that topped Wall Street forecasts.
The world's biggest Internet retailer said it earned $48 million, or 11 cents a share, excluding certain items, compared with nil per share on the same basis a year earlier. Analysts had forecast a profit of 10 cents a share excluding items, according to First Call.
No. 2 computer services firm Electronic Data Systems Corp. says it expects to meet its 32 cents per share third-quarter profit outlook, excluding charges. But the company postponed its earnings report from Wednesday to October 29.
EDS (EDS: Research, Estimates) shares fell 40 cents to $20.60 in Wednesday trade.
And shares of Seagate Technology (STX: Research, Estimates), the largest U.S. maker of computer hard-disk drives, plunged $7.22 to $22.28 after the company announced demand for computer hard drives may not be as strong as usual in the current quarter.
Seagate, which reported strong first quarter earnings after the bell on Tuesday, also said the Securities and Exchange Commission had issued an investigative request for all analyst reports on the company over three-and-a-half years.
Looking ahead, AT&T Wireless (AWE: Research, Estimates) will release its quarterly figures after the market closes. The wireless communications firm is expected to earn 6 cents per share for its third-quarter, according to Reuters Research.
Analysts surveyed by Reuters Research also expect video game maker Electronic Arts (ERTS: Research, Estimates) to earn 44 cents per share for its second fiscal quarter.
--Reuters contributed to this story.
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