SAN FRANCISCO (AP) -- Technology stocks made an abrupt U-turn Thursday, reducing the gains that had been piling up as investors sought refuge from the lending and housing morass weighing on the U.S. economy.
Internet networking supplier Cisco Systems Inc. took one of the biggest beatings after its chief executive, John Chambers, warned that weakening demand among major customers, including banks saddled with huge loan losses, would probably slow Cisco's growth.
Cisco's shares plunged $3.12, or 9.5 percent, to close Thursday at $29.63. The setback obliterated $19 billion in shareholder wealth and was the sharpest decline in the San Jose-based company's stock price since a 10.6 percent drop in August 2004.
But Thursday's comedown was widespread, pulling down even high-tech stars like online search leader Google Inc. and iPod maker Apple Inc., whose stocks had been leaping from one new peak to another for months.
Apple shares were down $18.53, or 9.9 percent, at one point. And Google shed as much as $55.06, or 7.5 percent, before rebounding later in the session to close at $693.84, down $39.10, or 5.3 percent, for the day. Apple's stock closed at $175.47, down $10.83, or 5.8 percent.
