What’s Leading Thursday’s Slide…

The
major indices are drifting to the worst levels
of the day
at the midpoint of trading. The S&P 500
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fell 23.25, or 2.5%, to 900.51 as of
12:11 p.m. ET. This is the -1.50 Volatility Band area.
Computer-related shares contributed more than a quarter of its decline. The
Dow

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slid 201.07, or 2.3%, to 8569.94, led by IBM
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and the Nasdaq
Composite

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dropped 41.86, or 3%, to 1377.13
after Cisco Systems
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came out with disappointing numbers.

Crude oil is higher today after dropping to the $25.00 a barrel support level.
According to U.K. Foreign Secretary Jack Straw, Britain and the U.S. are
prepared to attack Iraq without a United Nations resolution on weapons
inspections and disarmament. The rise in crude is not fueling the Amex Oil
Index

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or the Phlx Oil Service Sector
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.
Both are lower today. Other weak sectors are:

Networking
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, Banks
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,
Brokers
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and Airlines
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.

Only two sectors are stronger, Health and
Biotech
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.

Stocks in the news :

TMP Worldwide
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gapped lower and
traded as low as $11.94. The advertising firm said it will break even on a
per-share basis in the fourth quarter. The average estimate of analysts polled
by Thomson First Call is for profit of 14 cents.

Alcatel SA American depositary receipts
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, each representing one
common share, dropped 10% and has traded as low as $5. The phone-equipment
maker’s shares fell after the European Central Bank left borrowing costs
unchanged for a twelfth month, ignoring calls to cut rates to boost the economy.

Granite Construction
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fell 14 percent, to $14.78 and traded as
low as $14.52. The construction contractor said earnings for the year will be
$1.04 to $1.14 a share. It was expected to earn $1.29, the average estimate of
eight analysts surveyed by First Call.

Kos Pharmaceuticals
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rose 13%, and traded as high as
$19.61. The drugmaker had a third- quarter loss of 2 cents a share. It was
expected to lose 36 cents a share, the average estimate of five analysts polled
by First Call.

Michaels Stores
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22 percent, to $34.68 and traded as low as
$31.55. The arts-and-crafts retailer said full-year profit will be about $2.05 a
share, less than the $2.10 the company had forecast.

Pharmaceutical Product Development

(
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is breaking out to a six-month high
with increasing volume. PPDI has a


TradingMarkets.com RS3 rating of 88
and an up trending

ADX
of 53.

AdvancePCS
(
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is attempting
to take out its resistance line at 27.50. ADVP has strong volume on the day and
a

TradingMarkets.com RS3 rating of 88
.

Nasdaq Market Breadth

Adv: 937 UpVol: 1389348

Dec: 2074 DnVol: 7209935

Net: -1137 Net: -5820587

NYSE Market Breadth

Adv: 999 UpVol: 12967050

Dec: 2111 DnVol: 62291792

Net: -1112 Net: -49324742