NEW YORK, Nov 15: Stocks sagged on Friday and ended the week lower as disappointing corporate results and mixed economic data offered investors little reassurance that the economic rebound is gaining momentum.

Shares of computer chip makers and biotechnology companies were among the hardest hit as investors locked in profits on significant gains in those sectors made earlier in the week.

People want better evidence of true strength in the future to make another wave of commitments. Right now, the markets want something extra special because of (high) valuations, said Paul Cherney, chief market analyst at Standard & Poor’s Marketscope.

But strong gains in drug stocks like Johnson & Johnson and Merck & Co. Inc, spurred by growing optimism about the beaten-down group, helped to stem the day’s losses.

The blue-chip Dow Jones industrial average dropped 69.26 points, or 0.7 per cent, to 9,768.68, while the broader Standard & Poor’s 500 Index fell 8.06 points, or 0.76 per cent, to 1,050.35.

The technology-laced Nasdaq Composite Index dropped 37.09 points, or 1.89 per cent, to 1,930.26.

Trading was active, with about 1.3 billion shares changing hands on the New York Stock Exchange and 1.8 billion traded on Nasdaq.

For the week, the Dow fell 0.4 per cent, the S&P 500 sagged roughly 0.3 per cent and the Nasdaq dropped 2.1 per cent. Since hitting 2003 lows in March, the market has surged, leaving some investors concerned that much of the US economic rebound is already factored in current stock prices.—Reuters