Tag - BCSI

Small-cap stocks pushed higher on the open, buoyed by a slide in crude oil prices, a bounce in the U.S. dollar, and soothing comments from billionaire investor Warren Buffett. At 10:04 a.m. ET, the Russell 2000 (NYSE:IWM) was up 8.35, or 1.15%, at 733.60, holding on to gains after the first flash of headlines from Federal Reserve Chairman Ben Bernanke.

Bernanke, speaking on financial stability, said that recent declines in commodity prices and the stability of the dollar were encouraging, and that although the inflation outlook is uncertain, that the Federal Reserve will act as needed to maintain price stability.

Buffett, nicknamed “The Oracle of Omaha” said on CNBC ahead of the opening this morning that stocks were “more attractive” today than they were a year ago and that he does not have any current bearish dollar investments. Buffett’s comments provided a lift to stock index futures and to the dollar ahead of the regular market opening.

Crude oil prices were in retreat mode this morning, unable to extend the dramatic rally from Thursday’s action. Crude oil prices were down nearly $2 dollars a barrel, hovering just below $119, weighed down by OPEC output increases. However, the market is still cautious about tensions between the United States and Russia and closely watching storm patterns trekking through the Gulf of Mexico.

The U.S. dollar was righting the ship today after a sudden freefall Thursday, which also pressured crude oil prices and a host of other commodity markets. The greenback was up some 1.2% against the yen and the pound sterling, and was up about 0.6% versus the euro. At this stage of the economic cycle a firm dollar is seen as a sign of optimism about the U.S. economy relative to other world economies, and . . .

Small-cap stocks pushed slightly higher on the open, lifted by positive earnings news on the banking front and by fresh M&A developments. At 10:03 a.m. ET, the Russell 2000 (NYSE:IWM) was up 2.59, or 0.37% at 695.68.

The leading indicators report, which came out at 10:00 a.m. ET, was in line with the forecast for a dip of 0.1% and had almost no immediate impact on the market. Overall, this is a very light week for economic data, but it will be a huge week for earnings results.

In what has become an ongoing trend, a major U.S. bank has posted better-than-expected earnings. This time around, the good news was from Bank of America (NYSE:BAC), as the nation’s largest retail bank topped the Street earnings forecast and jumped 7% shortly after the open. The earnings surprise follows on the heels of better-than-expected results last week from Wells Fargo & Co (NYSE:WFC), JP Morgan (NYSE:JPM) and Citigroup (NYSE:C).

Within the financial spectrum, government-sponsored mortgage lenders Fannie Mae (NYSE:FNM) and Freddie Mac (NYSE:FRE) were solidly higher this morning in the wake of weekend comments from Treasury Secretary Henry Paulson, who said that he expects Congress to quickly pass his bail-out program for GSEs. Paulson also said that 99% of the nation’s banks were healthy, but that the U.S. economy could be in a period of slow growth for “a while.”

Traders will keep a close watch on crude oil price movement this morning as the market for black gold was on the rise into the stock market opening, up about $1.50 dollars a barrel near $130.50. The energy market was walking a tightrope between soft demand concerns vs. holding a weather premium as Tropical Storm Dolly . . .

Small-cap stocks opened flat, rose higher in morning trading, and have settled down in midday action. Investors were encouraged by easing crude oil and NRG Energy’s (NYSE:NRG) $11.3 billion offer to buy power generation company Calpine Corp. (NYSE:CPN). At 12:21 p.m. ET, the Russell 2000 (NYSE:IWM) was up 6.71, or 0.92%, at 733.82.

News that NRG Energy tendered a bid to buy Calpine Corp. for a stock deal worth $11 billion injected some enthusiasm back into the M&A picture, and played a supportive role in market psychology. Calpine shares were up 7.07% in midday trading.

Large caps in the news early today include Pfizer Inc. (NYSE:PFE), which tumbled 1.36% on news that its anti-smoking drug had serious side effects. Also, NetApp Inc. (Nasdaq:NTAP) tumbled about 6% as the company’s forward projections disappointed.
Among broad market sectors, apparel retailers, fabricated plastics and rubbers, catalog and mail order retailers and trucking companies were on the upside. Sectors attracting sellers include water transportation, oil well services and equipment, . . .

Small-cap shares opened flat and then edged higher, underpinned by news of a big-cap energy acquisition, a firm tone in the dollar, and ideas that Wednesday’s post-FOMC minutes slide was overdone. At 9:52 a.m. ET, the Russell 2000 (NYSE:IWM) was up 2.46, or 0.34%, at 729.56.

News that NRG Energy (NYSE:NRG) tendered a bid to buy Calpine Corp. (NYSE:CPN) for a stock deal worth $11 billion injected some enthusiasm back into the M&A picture this morning, and played a supportive role in market psychology. Calpine shares were up 7.1% shortly after the opening on the news. If there are large-cap merger deals to be done, then there are certainly bargains to be had within small caps.

There are several apparel retailers coming out with earnings today, which could ripple through the markets. Children’s Place Retail Stores (Nasdaq:PLCE), which is right on the upper end of small-cap market capitalization, reported solid quarterly results this morning and the stock was up 6.2% right after the open.

Large caps in the news early today include Pfizer Inc. (NYSE:PFE), which tumbled 1% on the opening on news that its anti-smoking drug had serious side effects. Also, NetApp Inc. (Nasdaq:NTAP) tumbled 5.7% as the company’s forward projections disappointed.

Crude oil prices shot above $135 dollars a barrel overnight, and continue to be a drag on the both the consumer pocketbook and the cost structure for corporations (just ask the battered airline industry). Goldman Sachs technical analyst Kevin Edgeley said in a research report overnight that crude oil momentum and trend strength are pointing higher, and that there is a long-term channel extension target for crude at $142.90. If crude oil were to close lower today, and well off that $135 record overnight peak, it could generate a topping reversal on charts, and is worth . . .

Shares of Packeteer, Inc. (Nasdaq:PKTR) are on the uptick in pre-market trading after the provider of WAN optimization and WAN traffic prioritization technologies reported this morning that it will be acquired by WAN application delivery and secure web gateway provider Blue Coat Systems, Inc. (Nasdaq:BCSI) for $7.10 per share in cash, or approximately $268 million.

Shares gained 13%, or $0.81, to $6.99 in pre-market trading. For detailed price information and recent news stories about Horizon Lines, click PKTR.

DemandTec, Inc. (Nasdaq:DMAN), Orthofix International NV (Nasdaq:OFIX) and AZZ Inc. (NYSE:AZZ) are among the biggest percentage losers in Friday's trading among companies with market capitalizations under $750 million.

Helicos BioSciences Corp. (Nasdaq:HLCS), Blue Coat Systems, Inc. (Nasdaq:BCSI) and Nexity Financial Corp. (Nasdaq:NXTY) are also among the top small-cap percentage losers.

Here are Friday's biggest percentage losers among small caps: