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Nasdaq Falls; Some Cosmetic Laser Firms Drop.(B)

Investor's Business Daily

| January 03, 2006 | COPYRIGHT 2006 Investor's Business Daily, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: CHRISTINA WISE AND INVESTOR'S BUSINESS DAILY

Yield curve concerns again weighed on Nasdaq stocks Friday.

The composite shed 0.6%, but finished the year up 1.4%. Friday's volume was higher.

Cosmetic laser manufacturers continued breaking down.

Syneron Medical gapped down below its 200-day moving average on more than six times its average volume. Shares fell 3.94, or 11%, to 31.75 after CIBC analyst John Calcagnini downgraded the stock to sector perform from sector outperform. The analyst said Syneron may miss its fourth-quarter consensus revenue estimate of $29 million amid increasing competition.

Palomar Medical moved in sympathy, losing 2.43, or 6%, to 35.04 on more than 5 1/2 times usual turnover. The stock had advanced 29% from a Nov. 7 breakout at 30.32. The industry's weakness started with a 34% plunge by Cutera, when the company suffered a setback in court in a patent battle against Palomar Medical.

Construction-related stocks suffered some of the day's largest declines. Building Materials Holding ...

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