Russell pushes higher

Will Atkinson | Jul 25, 2008 12:14pm EDT | Comment

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Small-cap stocks are pushing higher in midday Friday trading, boosted by upbeat economic data and a dip in crude oil prices. The gains, however, have not erased Thursday’s market dive. At 12:13 p.m. ET, the Russell 2000 (NYSE:IWM) was up 9.86, or 1.4%, at 712.25.

Crude oil futures pulled back $1.54 to $123.92 a barrel in recent trading. The U.S. dollar is up against the yen and flat against the euro.

The Michigan sentiment survey extended this morning’s upside data surprise trend, beating the median forecast handily at 61.2 versus the projection of 56.4. Still, the number is low historically. Equities did produce a decent bounce when the sentiment figures came out just before 10:00 a.m. ET.

New home sales also topped the forecast, coming out at a pace of 530,000 annual units, compared with an expectation for 500,000. In addition, the May figure was revised upward, which kept the “feel good” data surprise intact heading into the rest of the trading session.

Ahead of the open, the June durable goods report came in well above expectations, with the headline figure up 0.8%, compared with the forecast for a dip of 0.3%. Although durables was a nice upside surprise for equities, the data is a little dated and seldom has a staying influence on stocks.

Broad market sectors on the rise this afternoon include coal, metal mining, airlines, iron and steel, construction and agricultural machinery, and oil and gas operations companies. Sectors on the decline include printing services, computer storage devices, apparel, office equipment, plastics and rubbers and life insurance companies.

Small-cap stocks making moves this afternoon include molecular diagnostics company Cepheid (Nasdaq:CPHD), which has shed 34% today after reporting late Thursday that its second-quarter loss widened. Internet-based travel company Travelzoo Inc. (Nasdaq:TZOO) has slipped 11% today to a 52-week low after it reported after Thursday’s close it had swung to a second-quarter loss. Crocs Inc. (Nasdaq:CROX) is down 46% after the footwear maker lowered its second-quarter and full-year earnings guidance after Thursday’s close.

Wayne, Pa.-based Triumph Group Inc. (NYSE:TGI) is up 13% today after reporting after the close on Thursday that its first-quarter earnings set a new record for the company. Insight Enterprises Inc. (Nasdaq:NSIT) is up 6% after announcing better-than-expected preliminary second-quarter results. Internet protocol test systems provider Ixia (Nasdaq:XXIA) reported after the close on Thursday that its second-quarter earnings had grown on record bookings; the news sent shares up 11% today. Viad Corp. (NYSE:VVI) is up 8% in the morning session after the Phoenix-based company said early Friday that its second-quarter profit totaled $12.9 million, or $0.62 per share, which topped Wall Street’s estimate of earning $0.43 per share.