Technology Stocks Soar Above Others

A strong showing in Microsoft, plus a hot new computer-stock offering - Netscape Communications - pushed technology stocks higher on Wednesday.

But blue-chip issues languished along with bonds. The Dow Jones industrial average fell 21.83 to 4,671.49. Declining issues edged out advancers on the New York Stock Exchange. Volume was a moderate 303.4 million shares as of 4 p.m., down from 305.16 million on Tuesday.

The Nasdaq composite index, which is laden with computer issues, rose 7.98 at 1,005.10, within a hair of its all-time closing high of 1,005.89 made on July 17.

Other market indexes did not fare as well, however.

The Nasdaq index got a huge lift from a recent stalwart, Microsoft, which gained 3 to 96-1/2.

The Justice Department said Tuesday that it would not pursue an antitrust action against the software company before the Aug. 24 debut of its hotly anticipated Windows 95 operating system.

Microsoft’s gains, plus upbeat expectations for semiconductor industry book-to-bill data, pushed chip-maker and other computer stocks higher.

Some of the stocks that moved substantially or traded heavily:

NYSE

Compaq rose 1-7/8 to 52.

Micron Technology rose 4-1/8 to 63-1/8.

Storage Technology rose 2 to 27-7/8.

Computer issues were strong.

Federated Department Stores rose 5/8 to 29-7/8.

Cincinnati-based retailer lost about $67 million in the second quarter, largely due to the costs associated with the acquisition of the R.H. Macy & Co. The second quarter loss per share was 37 cents, compared to profits of $3.7 million, or 3 cents a share, last year.

Browning-Ferris fell 1/8 to 33-1/2.

Alex. Brown upgraded the stock to “strong buy” from “buy,” noting that the price of the stock had dropped more than 4 points since the company announced its third-quarter results on Aug. 3. Salomon said the market’s reaction to landfill volume figures was overdone.

NASDAQ

Microsoft rose 3 to 96-1/2.

The Justice Department said it would not pursue an anti-trust action against athe software maker before the Aug. 24 introduction of its Windows 95 operating system.

Netscape rose to 58-1/4 from an original price of 28.

The stock soared after being priced on Tuesday at 28, more than twice what investment bankers had initially anticipated. The company makes software for browsing on-line services.