Market dips 1 in quiet trading

NEW YORK Blue-chip stocks showed small losses in quiet tradingtoday as investors limited their activity to minor portfolioadjustments ahead of the weekend.

"Today is a squaring off day," said Joseph Barthel, chiefinvestment strategist at Fahnestock and Co. "There's very littlestimulus for the market."

The Dow Jones industrial average was off 1.34 points at 3,347.27at 2 p.m. Losers and gainers were about even in sluggish volume of154 million shares on the New York Stock Exchange.

Smaller stocks were also lower.

J.C. Bradford analyst Bruce Bittles said the rotation out ofgrowth stocks and into cyclicals was continuing despite someconsolidation in the Dow. Cyclicals are stocks that traditionallyrise in a recovery.

Analysts said investors focused on quarterly earnings, most ofwhich are already out of the way.

"The market's actually holding up fairly well," said Ron Doranat C.L. King and Associates. "You have to look at the over allearnings, and they look pretty good although there are some badspots."

The dollar fell in quiet European trading, and gold prices alsodropped.

In Tokyo, the dollar rose to a closing 134.65 Japanese yen from134.15 yen at Thursday's close. Later, in London, it fell to 134.51yen. The dollar was trading at 134.45 yen at midday in New York.

In London, the British pound rose to $1.7715 from $1.7650 lateThursday. In New York at midday, the pound fetched $1.7119.

Other late dollar rates in Europe, compared with late Thursday:1.6515 German marks, down from 1.6615; 1.5330 Swiss francs, down from1.5405; 5.5765 French francs, down from 5.6045; 1.8568 Dutchguilders, down from 1.8660; 1,242.00 Italian lire, down from1,247.88, and 1.1854 Canadian dollars, down from 1.1855.

Gold fell in London to a late bid price of $336.40 a troy ounce,down from $339.25 bid late Thursday. In Zurich, the metal fell to aclosing bid of $336.25, down from $338.85 bid late Thursday.Earlier, in Hong Kong, gold fell $1.82 to close at a bid $337.31.