Nasdaq Slumps 1.7% As Volume Falls Modestly

Nasdaq stocks inched higher early Tuesday, but trended mostly lower throughout the session to finish near their intraday lows.

The Nasdaq composite sank 1.7%, closing just above its 200-day moving average. The tech-heavy Nasdaq 100 also fell 1.7%. Volume fell 9% from Monday's level.

Declining stocks outpaced advancers by a wide margin. But few leading stocks tanked on heavy trade.

Garmin GRMN lost 7.65, or 8%, to 92.61 on above-average volume. It was the GPS device maker's biggest single-day percentage loss in more than nine months. At 12% off its Aug. 8 high, it still remains well above its 50-day line.

Deckers Outdoor DECK stumbled 6.67 to 91.90 on fast turnover, the shoemaker's third straight session below its 50-day.

LKQ Corp. LKQX fell 1.43, or 5%, to 28.52 on higher-than-usual trade. Though the stock had already fallen 6% in each of the past two sessions, it's also still holding above its 50-day. The provider of recycled auto parts is 19% off its record intraday high on Thursday.

Eclipsys ECLP dropped 1.55 to 22.37 on twice normal trade. The medical software maker recently reported second-quarter earnings that rose 64% and topped views by a penny. But that was its slowest growth of the past three quarters. Analysts expect 38% in the third quarter.

On the upside, Fossil FOSL gained 1.42, or 5%, to 29.46 on huge trade. It was up as much as 18% in early trade, crossing a 32.07 buy point, before sliding with the market. But the stock closed above its 50-day for the first time since June. The accessories maker announced a second-quarter profit of 21 cents a share, up 31% from last year and above forecasts. Sales also were above views.

Nvidia NVDA advanced 1.69 to 45.20 on brisk volume after recent support at its 50-day. Thomas Weisel Partners' positive comments on the graphics chipmaker may have given shares a boost. Last week, Nvidia's second-quarter earnings trumped views by 8 cents a share.

Silicom SILC, a thinly traded networking gear maker, added 0.86, or 5%, to 19.81 on triple its usual action. The stock, which started the day with as much as a 10% gain, may be shaping a rather wide-and-loose base started in late April.

The Israeli firm's Computer-Networking group has fared well the past few months. It ranked No. 15 in Tuesday's issue, up from No. 48 two months ago.