Tech Stocks: Interest-Rate Worries Start Sell-Off

It seems the only question now is, will the Fed wait until after the election to hike the prime rate?
Investors apparently agree: The Federal Reserve is going to raise interest rates this year. The only question is, will the Fed wait until after the election to do so? All of our indexes fell dramatically Tuesday, leaving the InformationWeek 100 the least battered.

The Nasdaq fell 1.7%, or 35.4 points, to 2,030.08. Our InformationWeek 100 fell 1.2%, or 4.05 points, to 336.43. Over at the Dow, the damage was held to 1.3%, or 134.28 points, to close at 10,381.28. And the S&P 500 fell 1.4%, or 15.76 points, to 1,129.44.

Tech shares were probably hit hardest because of fears that Intel's earnings won't measure up to expectations. Generally, though, earnings reports are good as are recent retail sales, leading many to think the key prime lending rate will be raised to ward off inflation.

The Nasdaq-100 tracking stock, for instance, lost ground. It fell 1.5%, or 54 cents, to $36.63, on heady volume of almost 100 million shares.

See the full listing of all the companies in the InformationWeek 100 and the top 5 percentage winners and losers for the last closing at

Editor's Choice
James M. Connolly, Contributing Editor and Writer
Carrie Pallardy, Contributing Reporter
Roger Burkhardt, Capital Markets Chief Technology Officer, Broadridge Financial Solutions
Shane Snider, Senior Writer, InformationWeek
Sara Peters, Editor-in-Chief, InformationWeek / Network Computing
Brandon Taylor, Digital Editorial Program Manager
Jessica Davis, Senior Editor
John Edwards, Technology Journalist & Author