STOCKS were mixed in the US yesterday, with investors favouring blue chip over more speculative shares in cautious trading before today's elections.
The highlight of the lacklustre session was BT's planned merger with MCI Communications, announced on Sunday after a flurry of market speculation on Friday.
On Wall Street, the Dow Jones industrial average rose 19.75 points to close at 6,041.68. Broader measures were mixed, with technology and other more volatile shares losing ground.
Stocks drew some support from the bond market, where the yield on the 30 year Treasury - a key determinant of borrowing costs - fell to 6.65 per cent from late Friday's 6.68 per cent.
But many traders continued to limit their exposure to any potential market jolts from today's elections. Advancing issues outnumbered decliners by a 5 to 4 margin on the New York Stock Exchange, with 1,343 up, 1,069 down and 867 unchanged.
NYSE volume totalled 391.05 million shares, against 463.78 million in the previous session.
The Standard and Poor's 500 stock index rose 2.95 to 706.72, and the NYSE's composite index rose 1.39 to 375.07.
The Nasdaq composite index fell 1.27 to 1,220.51, and the American Stock Exchange's market value index fell 0.82 to 571.76.
