US STOCKS-Bargain hunters lift Nasdaq

* Homebuilders index below forecast

* NY Fed manufacturing rises in August, new orders fall

* Japan GDP lags forecast

* S&P 500 up 0.1 pct, Dow off 0.1 pct, Nasdaq up 0.4 pct

* For up-to-the-minute market news see [STXNEWS/US]
(Updates to open)

By Edward Krudy

NEW YORK, Aug 16 (BestGrowthStock) – The technology-heavy Nasdaq
rose on Monday as investors put aside worries about the economy
to take advantage of beaten-down prices.

Wall Street sought to halt four days of losses as one
technical measure indicated stocks were oversold. The Dow and
S&P 500 traded near flat.

“There are value players out there ready to nibble,” said
Peter Kenny, managing director at Knight Equity Markets in
Jersey City, New Jersey. But Kenny said the trend was still
lower, with investors wary about taking more risk.

Cisco Systems Inc (CSCO.O: ) gained 2.9 percent to $21.98
after falling last week on a disappointing revenue forecast.

The PHLX semiconductor index (.SOX: ) rose nearly 1 percent,
while its relative strength index hit its lowest point since
November 2008 on Friday. The RSI, which determines whether
stocks are oversold or overbought, fell to 31.4, right above
the oversold indicator at 30, indicating a security or index
was relatively cheap.

The index also traded below its lower Bollinger band on
Friday, pointing again to an oversold condition. The Bollinger
is a technical measure used by traders to show the highs or
lows of a price, relative to previous trades.

Among leaders on the PHLX, Intel Corp (INTC.O: ) rose 1.7
percent to $19.48.

The Dow Jones industrial average (.DJI: ) was down 9.76
points, or 0.09 percent, at 10,293.39. The Standard & Poor’s
500 Index (.SPX: ) was down 0.72 points, or 0.07 percent, at
1,078.53. The Nasdaq Composite Index (.IXIC: ) was up 8.33
points, or 0.38 percent, at 2,181.81.

Last week, U.S. stocks (Read more about the stock market today. ) posted their worst performance in
six weeks after a downbeat assessment of the economy from the
U.S. Federal Reserve.

In the latest sign the recovery may be lagging
expectations, U.S. homebuilder sentiment unexpectedly fell for
a third straight month in August to its lowest level since
March 2009, according to an industry survey. For details, see
[ID:nN16205304]

Lowe’s Cos Inc (LOW.N: ) rose 2.4 percent to $20.05 after the
home improvement chain said it expects same-store sales to rise
about 2 percent for the fiscal year. Some analysts saw the
forecast as a good sign, given persistently soft U.S. consumer
sentiment. [ID:nN16250437]

Japan’s economy grew at just 0.1 percent in the second
quarter, below forecasts. The tepid data pressured Asian
equities and the weakness fed into European trading. European
shares edged lower, while the Nikkei index closed off 0.6
percent. [ID:nTOE67901S]

A gauge of manufacturing in New York state was up in August
after dropping in July, the New York Fed said. But the Empire
State index came in below forecast, while the new orders
component index fell below zero for the first time since June
2009, an early sign of a slowdown.
(Reporting by Edward Krudy; additional reporting by Rodrigo
Campos; Editing by Jeffrey Benkoe)

US STOCKS-Bargain hunters lift Nasdaq