Small caps flat despite early rise

The Russell 2000 (NYSE: IWM) and the other major indices lost steam after opening strong on upbeat corporate and economic news.
 
At 10:25 a.m. ET, the small-cap index had advanced 2.01 points, or 0.29%, to 695.44. The Dow Jones Industrial Average (INDU) was up 30.32 points, or 0.25%, to 12,300.49.

Futures were pointing up and small-cap stocks began the day in positive territory following news that Finland’s Nokia Corp. (NYSE: NOK) reported a 44% surge in its fourth-quarter net profit. The world’s largest maker of mobile phones also said that its net sales during the final three months of 2007 grew 34% as the company expanded its market share.

Bullish news also came from Ford Motor Co. (NYSE: F), which announced before the opening that it has lowered its fourth-quarter and full-year loss. The Dearborn, Mich.-based carmaker plans on cutting as many as 11,000 hourly jobs in order to decrease its costs. Ford is currently in talks with the United Auto Workers union.

On the economic front, a report by the U.S. Labor Department shows that the job market remains strong despite the recent financial and economic turmoil.

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