Blue-chip stocks fell for a third straight session yesterday as investors worried about rising interest rates, but technology shares continued their recovery and drove the Nasdaq composite index higher.

The Dow Jones industrial average fell 154.19 points, or 1.4 per cent, to close at 10,733.91. The blue-chip index ended the week down 110.14 points, or 1 per cent.

The Nasdaq composite rose 86.64, or 2.3 per cent, to close at 3,860.67. The index, which fell steeply earlier this month, ended the week with a gain of 216.81 points, or 5.9 per cent. Broader stock indicators were mixed today.

The Standard and Poor's 500 fell 12.49 to 1,452.43.