As we head toward the Labor Day holiday weekend, the market performance of the sector's blue chip companies have so far failed to capitalize on their welcomed surge in valuation in July. As a result they are treading water this month with the value of the BioWorld Biopharmaceutical Index up a modest 0.5 percent at last Thursday's market close compared to a 1 percent increase in the Dow Jones Industrial Average and a 3 percent jump in value for the Nasdaq Composite index. (See BioWorld Biopharmaceutical index, page 8.)