Tag - :RMIX

Small-cap stocks wasted no time validating Friday’s big breakout move, scorching the bears with back-to-back big gains as the inflation picture brightened and the U.S. dollar remained in rally mode. The Russell 2000 (NYSE:IWM) closed up 16.76, or 2.28% at 751.06, notching consecutive daily gains of more than 2% for the first time all year.

Small caps were noticeably strong relative to other large-cap index products, with the percentage gain in the Russell more than double what was generated in the Nasdaq 100, S&P 500 or Dow. “I think small caps are strong relative to other products amid asset shifts. The drop in commodities and investors warming up to equities is helping the small-cap sector,” Nick Kalivas, vice president, financial research with MF Global, told SmallCapInvestor.com in an email interview.

“The action in the small cap sector is a positive for the entire market. I also think that overseas growth is looking relatively weak and this may be causing investors to feel more comfortable with small caps since large corporations have more international exposure,” Kalivas said...

The Russell 2000 (NYSE:IWM) is in negative territory but has narrowed its morning losses.

At 12:16 p.m. ET, the small-cap index had declined 0.63 points, or 0.09%, to 701.48. The Dow Jones Industrial Average (INDU) had retreated 14.00 points, or 0.11%, to 12,408.86.

Economic growth in the fourth quarter of 2007 was as slow as economists were expecting, according to figures released before the opening. The U.S. Commerce Department announced that gross domestic product rose at the previously announced annual pace of 0.6%.

That’s significantly lower than the 4.9% growth recorded in the third quarter of 2007 and a sign that the economy has cooled. Many observers expect to see a contraction when the data for the first quarter of 2008 are released in late April.

In other economic news, the U.S. Labor Department reported before the start of trading that jobless claims for the week ended March 22 fell 9,000 to a downwardly revised level of 375,000. That’s better than what economists were expecting.

Oxford Industries, Inc. (NYSE: OXM), Perficient, Inc. (Nasdaq: PRFT) and KMG Chemicals, Inc. (Nasdaq: KMGB) are among the biggest percentage losers in Tuesday's trading among companies with market capitalizations under $750 million.

Here are today's biggest percentage losers:

The Russell 2000 (NYSE: IWM) and the Dow Jones Industrial Average (INDU) are dropping on news of weak earnings reports.

At 10:03 a.m. ET the Russell 2000 was down 11.09 points, or 1.30%, to 840.76. The Dow Jones Industrial Average was down 113.40 points, or 0.81%, to 13,887.01.

Peoria, Ill.-based maker of earthmoving machines Caterpillar Inc. (NYSE: CAT) became the latest casualty of the sagging U.S. housing sector, reporting before the opening bell that its second-quarter income declined 21%.

Google Inc. (Nasdaq: GOOG) also fell short of analysts’ expectations, announcing that its quarterly profit fell due to research spending costs that shot up 88% and costs associated with the Mountain View, Calif.-based company’ aggressive hiring policy.

The following were the most actively traded companies in Friday's trading among those with market capitalizations under $500 million:

Shares of U.S. Concrete Inc. (Nasdaq: RMIX) slid in pre-market trading after the ready-mixed concrete producer said late Thursday night it’s cutting its second quarter earnings guidance due to unusually wet weather in its Texas market earlier this spring.

For the three months ended June 30, U.S. Concrete says it now sees earnings of between $0.17 and $0.19 per share, which is slightly lower than the company’s previous guidance. Five analysts surveyed by Thomson Financial expect earnings per share of $0.20 per share.

U.S. Concrete will release its second quarter results on August 9. Shares of U.S. Concrete slid 4.01%, or $0.33, to $7.90 in pre-market trading.

The following small-cap companies were making news in after-hours trading Thursday:

Peerless Systems Corporation (Nasdaq: PRLS) reported a net loss for the first quarter ended April 30 of $0.8 million, or $0.05 per basic share, compared with one analyst's estimate for a loss of $0.01. In last year's first quarter, the company had net income of $2.0 million, or $0.11 per diluted share. The El Segundo-based technology provider said revenue was $4.7 million, compared with the analyst's estimate for $7.1 million and with $8.8 million in the first quarter of 2006. In a release, management said it was holding to previous forecasts for results over the rest of the year. Shares of Peerless were down $0.38, or 13%, at $2.88. 

Mountain View, Calif.-based Ditech Networks, Inc. (Nasdaq: DITC) said revenues for the fourth quarter ended April 30 were $19.2 million, down from $20.0 million in the same quarter the previous year and below analysts' expectations for $20.8 million. Diluted net income per share was $0.02, compared to expectations for $0.07 and to $0.07 in the fourth quarter of fiscal 2006. Shares of the supplier of voice processing equipment were lower after hours, trading at $8.00, down down $0.37, or 4.4%.

Verigy LTD (Nasdaq: VRGY) exceeded its guidance for revenue in the second quarter ended April 30, and shares were sharply higher in after hours trading. The Cupertino, Calif.-based semiconductor test company said revenues were $183 million, up 11% from the prior quarter and above analysts' expectations for $176.23 million. In the second quarter of fiscal 2006, revenues were $192 million. Net income for the quarter was approximately $0.36 per diluted share, matching expectations for $0.36 and ahead of the $0.22 per share in the prior quarter. The company lost $0.22 per share in the same quarter the previous year. Verigy was 10% higher in after-hours trading, up $2.49 at $27.12.