Tech stocks rise, powered by Facebook, Groupon
SAN FRANCISCO (MarketWatch) -- Gains from
Facebook (FB) climbed $1.40 a share, or 4.7%, to close at $31.41. The social-networking leader said it acquired Face.com, an Israeli company that develops face-recognition technology. Facebook is expected to use Face.com's technology to improve how its members can identify people in posted photos. Read more about Facebook's acquisition.
Groupon (GRPN) also rose, climbing almost 11% to $11.15. Before the market opened, Morgan Stanley analyst Scott Devitt raised his rating on the daily-deals company to overweight from equal weight, saying Groupon's acquisitions and ability to scale have helped it improve its margins. Read more about Groupon in the Ratings Game.
The Nasdaq Composite Index (COMP) rose 22.5 points to close at 2,895, while the Philadelphia Semiconductor Index (SOX) added 1.4% and the Morgan Stanley High Tech 35 Index (MSH) also ended the day in positive territory. The market spent part of the day working through mixed messages from Europe after parliamentary elections in Greece and bond issues coming from Spain, with the Dow Jones Industrial Average (DJIA) down fractionally by late morning. Read more about the impact of Europe on the U.S. markets.
Microsoft Corp. (MSFT) shares closed with a loss of 18 cents at $29.84 in advance of an event the software giant is holding in Los Angeles later Monday. The company sent out invitations to media and analysts last week touting a "major announcement," and reports have suggested Microsoft could announce its own Windows-based tablet. Read Rex On Techs about why and how Microsoft would do its own tablet.
There were also reports over the weekend saying Microsoft will launch a new tablet from its partnership with