The Bears Beat the Bulls on the Dow Today

The Dow Jones Industrial Average (INDEX: ^DJI) flew with the eagles on Thursday, but it's lagging other market indicators on Friday.

A soft jobs report didn't help, but a couple of Dow stalwarts jumped ahead of the pack anyhow. Caterpillar (NYS: CAT) is up 4.2% today on news that China is investing in infrastructure projects again -- always good news for the leader in construction equipment.

On the financial side of the Street, Bank of America (NYS: BAC) added another 4.7% gain to Thursday's strong rise, helped by a potential recovery in the housing market and positive analyst comments (from a rival bank's investing arm, no less).

But these bright spots were overshadowed by bad news from the technology sector. Intel (NAS: INTC) shares are down 3.5% after management slashed its revenue outlook for the third quarter. The company also dropped heavy hints that PC demand is on the fritz in general, dragging several computer-centric Dow components along for the downward ride. Three of the Dow's 30 components rely on PC sales for a significant share of their total revenue, so Intel's market update triggered plenty of collateral damage in the index.

But Intel isn't the biggest loser on the Dow today. That backhanded compliment falls to Kraft Foods (NYS: KFT) , whose shares have plunged 5.7% so far and could still drop even further. The company just presented financial forecasts for the two companies that will be created in October, when Kraft spins off its North American grocery products into a separate market entity. Let's just say that investors weren't impressed by Kraft's anemic long-term growth targets.

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