Blue-chip stocks pulled back in New York yesterday, but technology shares rallied for a fifth trading session in a row, pushing the Nasdaq market back toward record heights. The Dow Jones industrial average finished 39.58 points lower - or down 0.4 per cent - at 10,815.98 after recovering from a nearly 100 point slide.

Broader stock indicators were mostly positive. The Standard and Poor's 500 rose 6.16 to 1,349.00, and the Nasdaq composite index rose 66.84 to 2,630.28.

Advancing issues outnumbered decliners by a small margin on the New York Stock Exchange, with 1,599 up, 1,420 down and 539 unchanged. Nasdaq advancers led by a wider margin.

NYSE volume totalled an anaemic 676.12 million shares, down sharply from Friday's 902.35 million.