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CNNfn tech stock report
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August 27, 1998: 5:47 p.m. ET
Russia's troubles slam Nasdaq, leading to second-worst loss ever
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NEW YORK (CNNfn) - Market turmoil in Russia spurred a market sell-off around the world Thursday, giving tech stocks no chance to escape the bloodbath.
The Nasdaq Composite fell 81.72 points to 1686.41, marking its second-worse single-day loss ever and the largest decline in 1998. Although the index has fallen 16.3 percent from the record high set in July 20, the index is still up 7.4 percent this year.
Volume was a very heavy 933.4 million shares with declines smashing advancing issues by more than a 5-to-1 margin.
The turmoil took down many of the technology heavyweights including software giant Microsoft Corp. (MSFT), which shed 3-9/16 to 109, and chip giant Intel Corp. (INTC) which lost 3-1/4 to 79-3/4.
Computer networking leader Cisco Systems Inc. (CSCO) dropped 4-1/2 to 99-1/8. Rivals Ascend Communications Inc. (ASND) lost 2-15/16 to 40-11/16, Bay Networks Inc. (BAY) fell 3-5/16 and 3Com Corp. (COMS) shed 2-1/4 to 27.
Internet stocks also took a tumble, led by search engine Excite Inc. (XCIT), which dropped 4-15/16 to 34-7/16 after reports that the company's decision to write off $56.8 million of its $70 million marketing deal with Netscape Communications Corp. (NSCP) as a one-time charge may hurt future earnings.
The other search engines didn't fare any better, with Yahoo! Inc. (YHOO) losing 5-13/16 to 91-1/16, Lycos Inc. (LCOS) dropping 3-3/4 to 34-1/4 and Infoseek Corp. (SEEK) shedding 2-3/16 to 23-3/4.
Internet book retailer Amazon.com Inc. (AMZN) also took it on the chin, losing 8-1/4 to 119. Shopping site Shopping.com (IBUY) dropped 8-7/8 to 5-3/4 after Waldron & Co., the company's underwriter and largest market maker, stopped trading its shares.
Internet providers also got hit, with America Online Inc. (AOL) falling 5-11/16 to 105, EarthLink Network Inc. (ELNK) dropping 4-7/16 to 36-11/16 and MindSpring Enterprises Inc. (MSPG) dropping 4-3/16 to 34-3/4.
Russian telecom stocks got slammed for a second day. Vimpel Communications (VIP) dropped another 5-1/2 to 9-15/16 and Russian long distance giant OAO Rostelecom (ROS) lost about 15 percent, falling 11/16 to 3-15/16.
All the major cellular manufacturers also had a bad day, with Finland's Nokia Corp. (NOK) losing 5 to 71-7/16, Sweden's Ericsson falling 2-1/4 to 21-5/8 and Motorola Inc. (MOT) dropping 2-1/16 to 48.
Ciena Corp. (CIEN) lost 3-7/16 to 30-13/16 after the telecom equipment maker was hit with a shareholder lawsuit alleging it issued false statements to drive up the stock price.
About the only bright spot in the sector was phone company ITC DeltaCom (ITCD), which jumped 3 to 35-1/4 after Merrill Lynch upgraded its long-term rating to "buy" from "accumulate." 
--by staff writers Cyrus Afzali and Brendan Hasenstab
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