Small caps open higher

The Russell 2000 (NYSE: IWM) is posting gains following upbeat news from the technology sector.

At 10:11 a.m. ET, the small-cap index had advanced 5.02 points, or 0.71%, to 715.04. The Dow Jones Industrial Average (INDU) was up 22.14 points, or 0.18%, to 12,449.40.

Small-cap stocks got off to a bullish start on news that networking products maker and tech sector heavyweight Cisco Systems Inc. (Nasdaq: CSCO) was upgraded to “buy” from “hold” by Citigroup Inc. (NYSE: C).

In economic news, the U.S. Labor Department reported that jobless claims for the week ended Feb. 16 fell 9,000 to 349,000 from the preceding week’s upwardly revised total of 358,000.

Economists were expecting a rise to 349,000 from an originally reported 348,000.

However, the more stable four-week measure increased 10,750 to 360,500, the highest average in more than two years.

Shares of casino and gaming companies are the top gainers this morning. Among them are small-caps Dover Downs Gaming & Entertainment, Inc. (NYSE: DDE) and Chester, W.Va.-based MTR Gaming Group, Inc. (Nasdaq: MNTG).

Elsewhere, wireless broadband access solutions provider Novatel Wireless, Inc. (Nasdaq: NVTL) is seeing its stock drop more than 20% on news that its fourth-quarter profit soared to $0.34 per share, compared with $0.09 per share a year earlier.

On the flip side, Valassis Communications, Inc. (NYSE: VCI), which offers marketing services to consumer packaged goods manufacturers, is higher on news of a rise in fourth-quarter profit.

For access to the full article, you must be a registered member - it's FREE.

Already a member? Please log in below