Rate Cut Doesn't Halt Tech Stock Slide

Rate Cut Doesn’t Halt Tech Stock Slide

Written By
Roy Mark
Roy Mark
Jan 22, 2008
1 minute read
eWeek content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More

Despite an emergency interest rate cut by the Federal Reserve Board, technology, telecom and chip maker stocks stumbled badly coming out of the gate Jan. 22.

In mid-morning trading, Google was down more than $20 per share in a 3.3 percent slide to $579.44 a share. Microsoft fell almost 3 percent to $32 a share, while Cisco Systems was down 3.2 percent to $23.54 and Intel tumbled by 2.4 percent to $18.57. Yahoo was spared some of the bleeding on rumors that it is planning layoffs but still fell 1.35 percent to $20.20 a share.

Telecom stocks were faring even worse, with AT&T off almost 5 percent to $34.25 a share and Verizon plunging 4.14 percent to $37.40 a share. Sprint fell 3.8 percent to $8.35 and Qwest was down 3.7 percent to $5.20.

Overall, the Dow was down 142.5 points (1.18 percent) to 11,956.80 and the NASDAQ fell 48.61 (1.97 percent) points to 2,290.60.

Officials in the tech sector have maintained the collapse of the subprime mortgage market would have little or no effect on tech stocks, but the widespread sell-off Jan. 22 called those predictions into question.

eWeek Logo

eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site's focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

Property of TechnologyAdvice. © 2026 TechnologyAdvice. All Rights Reserved

Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.