Dow Loses Another 97.19 As Investors Unload

The Dow Jones industrial average dropped 97.19 to 5,032.94 Wednesday, or 1.89 percent, for the biggest one-day point drop since Dec. 18. The blue-chip index got hammered in a broad and fierce sell-off that included cyclical stocks, financial, global and consumer issues.

Technology stocks made a stab at recovering from Tuesday’s sharp drop but ended Wednesday’s session mixed.

Declining issues led advancers by nearly 15 to 4 on the New York Stock Exchange, where volume was heavy at 496.79 million shares as of 4 p.m., up from 416.67 million Tuesday. It was the fifth-highest volume ever on the Big Board.

Broad market indexes were lower. The NYSE’s composite index fell 6.07 to 321.41. The Standard & Poor’s 500-stock index dropped 10.97 to 598.48.

The Nasdaq composite index slid 8.60 to 990.21. The American Stock Exchange’s market value index declined 6.34 to 535.35.

“The financial markets are firing a very clear shot across the Washington bow,” said Hugh Johnson, market strategist at First Albany Corp.

Some of the stocks that moved substantially Wednesday:

NYSE

Motorola rose 4-1/4 to 49-7/8.

The leading producer of cellular phones said Tuesday it earned $432 million, or 72 cents a share, in the final three months of 1995. The average of analysts’ estimates had been 90 cents a share.

Dun & Bradstreet rose 1-1/2 to 65.

Dun & Bradstreet said Tuesday it will split into three public companies by spinning off two concerns. Oppenheimer & Co. and Donaldson, Lufkin & Jenrette Securities upgraded Dun & Bradstreet stock.

Homestake Mining rose 3/8 to 18.

Barrick Gold rose 1/8 to 29-1/8.

Gold-mining stocks rose as the price of gold briefly broke $400 an ounce.

Seagate Technology rose 7/8 to 47-3/4.

The disk-drive maker’s second-quarter net income was 1.69 per primary share, up from 1.07 a year ago. Sales rose 47 percent. Salomon Brothers upgraded the stock to strong buy from buy.

NASDAQ

Ericsson Telephone rose 1/16 to 18-1/4.

The telephone equipment stock was recovering after a drop Tuesday tied to disappointing earnings from Motorola.

AMEX

Royal Oak Mines rose 1/4 to 4-5/8.

Pegasus Gold rose 1/4 to 15-5/8.

Hemlo Gold rose 5/8 to 11-5/8.

Bema Gold fell 1/16 to 2-5/16.

Most gold stocks rose as gold prices flirted with $400 an ounce.