Tag - Ctx

Stocks are navigating choppy trading Wednesday after the Federal Reserve’s recent meeting meetings showed that officials saw that the economy was deteriorating.

At 2:18 pm ET, the Russell 2000 (NYSE:IWM) is up 5.73, or 1.33%, at 437.43, while the Dow is up 0.23% and the S&P 500 is up 0.59%.

Pulte Homes Inc. announced today that it has agreed to buy rival small-cap Centex Corp. (NYSE:CTX) for $1.3 billion in a stock deal that will create the nation's largest homebuilding company. Centex shares are currently up almost 20%.

Other small caps climbing today include United Western Bancorp (Nasdaq:UWBK), up 42% on news it will sell certain assets of its Sterling unit.

******It doesn’t happen often. Earnings season usually kicks off with either some bullish enthusiasm or bearish pessimism. But Tuesday afternoon, Alcoa (NYSE:AA) gave analysts exactly what they were looking for: nothing more, nothing less.

Alcoa lost money in the first quarter. A lot of it, really. $497 million. A year ago it earned $303 million.

But that loss was, apparently, perfectly priced into the stock. And so . . .

Small-cap stocks remained in negative territory into midday action, but rallied well off the morning lows as bargain hunters swooped in, hoping that this latest foray toward the range lows offered buying opportunity once again. Gains for airline, biotech, mining and IT stocks helped ease some of the losses endured in bank, financial, homebuilder and insurance shares. At 12:25 p.m. ET, the Russell 2000 (NYSE:IWM) was down 3, or 0.67%, at 444.94, after hitting an intraday low at 438.12.

The market fell hard early this morning, with the Dow sinking to the lowest point since the November lows were forged, while small caps appeared poised to test the January range lows. The market just didn’t believe a “too good to be true” retail sales report, which left another dreary reading on the employment picture as the only place to hang one’s trading cap. For those keeping score, the retail sales report was pegged up 1.0%, versus a forecast for a slide of 0.7%, while the weekly unemployment claims report came in at 623,000, slightly above the 610,000 projection. In the background of today’s news, investors continue to fret about the bank bail out plan and whether or not the stimulus bill will have too deep of a lag time to rescue the stock market in the near term.

Biotech stocks were among the top performers so far today, with the AMEX Biotechnology Index up 1.2%. In addition, the AMEX Airline Index was clinging to positive ground, up 0.2% as crude oil prices remained weak.

Speaking of “black gold” — crude prices fell below $35 a barrel this morning as worries about soft demand amid the U.S. recession continue to smack down buyers that are seduced by talk of OPEC production cuts. The dip in crude oil prices likely weighed on energy shares, which were off about 1% into mid-session.

Despite pockets of strength today, key “theme” groups, like banks and homebuilders were carrying the torch for the bears. The ISE Homebuilder Index was . . .

The Russell 2000 (NYSE:IWM) fell hard today, as investors worried that a new plan to rescue a teetering banking system might be “too little, too late” to stave off a deepening recession or unclog credit lines. Some of today’s small-cap gainers were California First National Bancorp (Nasdaq:CFNB), Williams Controls (Nasdaq:WMCO) and SuccessFactors (Nasdaq:SFSF).

Other Market Watch highlights today included:

• U.S. stocks were seen opening lower, pulled down by losses overseas as the market waits for updates on the fiscal stimulus vote and on the bank bailout details.
• Copper prices and shares of copper miners were on the defensive overnight, a caution sign as copper is considered a key economic indicator.
• The wholesale inventories report came in at minus 1.4%, which was a bigger drop than forecast. 
• Small-cap stocks plunged as investors engaged in a “buy-the-rumor, sell-the-fact” response to the official rollout of the bank bailout plan
• Bernanke said that financial markets were frozen over about the economy and hinted that there was a risk for stagflation if the banking system is not fixed.
• With investors fleeing stocks today and scrambling for safe-haven outlets, money clearly moved into Treasury products.
• Crude oil futures in New York eventually closed down 5.5%, or $2.21, to $37.35 a barrel and energy stocks sank some 4.5% on the day.
• Given the focus on bank rescue news today, bank stocks were the worst performers today, with the KBW Banking Index tumbling 13%.
• Almost all of S&P sector groups were in the negative today. Even gold, . . .

Small-cap stocks collapsed Tuesday as investors worried that a new plan to rescue a teetering banking system might be “too little, too late” to stave off a deepening recession or unclog credit lines. Even a one-two punch of a new bank plan coupled with Senate approval for a massive $838 billion stimulus bill wasn’t enough to bring cheer to worried investors. The Russell 2000 (NYSE:IWM) closed down 22.17, or 4.74%, at 445.77, giving back most of last week’s hard-fought gain in breakneck fashion, while generating the second-largest one-day decline of 2009. For the year, the Russell is now off 10.7%, while the Dow is down 10.1% and the S&P 500 8.4%.

Going into today’s trading the market was clearly focused on a bevy of events coming out of Washington, including the Treasury Department’s official unveiling of the bank rescue project; the Senate vote on the stimulus package and testimony from Federal Reserve Chairman Ben Bernanke before the House Financial Services Committee. Apparently, it was three strikes and the market was out for today’s big events, but clearly the dominant force was the initial selling wave triggered after the bank plan was formally announced by Treasury Secretary Timothy Geithner.

Was it simply a case of “buy-the-rumor, sell-the-fact” selling from investors who had previously bid up bank stocks ahead of the news, or was there a deep-seated disappointment about the plan? “I think there was a little of both, but the biggest thing is that investors are worried that the current problems are just too big to fix quickly by having taxpayers absorb the risk from banks on their toxic holdings,” one veteran trader told smallcapinvestor.com.

As for the Senate’s long-awaited okay on the stimulus program there will still be a process in which the Senate’s bill and a House version signed two weeks ago will be meshed out together before a final bill is presented to President Obama to be signed into law. For the most part, investors have viewed the stimulus package as more of a long-term recovery tool than an immediate panacea for the economy . . .

Small-cap stocks slipped back into negative territory after a brief morning rally stalled out. Large-cap indices were hovering near steady levels reflecting investor indecision about the stimulus and bank bail out package as traders basically were sitting on their hands waiting on fresh news out of Washington. Some of today’s small-cap gainers were Huntington Bancshares (Nasdaq:HBAN), Albany Molecular Research (Nasdaq:AMRI) and Fifth Third Bancorp(Nasdaq:FITB).

Other Market Watch highlights today included:

• The light volume pullback so far today for small caps really was not that big a warning sign for the chart picture.   
• Homebuilders, retailers, apparel firms, health-care facilities and electronic component companies were down at midday.  
• Despite the upside bump from banks and energy, small caps were still struggling overall and were clearly lagging the large-cap stocks.  
• Energy shares were another source of strength today, with the Energy Select Sector SPDR Fund up 1.3% at midday.  
• The KBW Banking Index was up 2.5% at mid-session. 

Small Cap Gainers:

• Huntington Bancshares rises 22% as many regional banks saw a rise today. See (Nasdaq:HBAN).  
• Albany Molecular Research turns around to profit in Q4; shares rise over 13%. See (Nasdaq:AMRI).  
• Small-cap regonail bank Fifth Third Bancorp jumped 12.5%, and was clearly not rattled by a rpice cut on the stock from Morgan Stanley.  See (Nasdaq:FITB)
• Volcano Corp. rose 7% as the market of heart products gapped higher without any apparent fresh news behind the move. See (Nasdaq:VOLC).

Small Cap Losers:

• Small-cap homebuilder Centex Corp. was off 3.7%. See (NYSE:CTX).  
• On the homebuilder front, the ISE Homebuilder Index was off 1.3%, with similar losses seen for small-cap builders such as KB Home and Lennar Corp. See (NYSE:KB) and (NYSE:LEN). 

Small-cap stocks slipped back into negative territory after a brief morning rally stalled out. Large-cap indices were hovering near steady levels reflecting investor indecision about the stimulus and bank bail out package as traders basically were sitting on their hands waiting on fresh news out of Washington. At 12:19 p.m. ET, the Russell 2000 (NYSE:IWM) was down 1.82, or 0.39%, at 468.89.

Volume seemed quite light through morning activity, but it was interesting to see that bank stocks were among the strongest performers, so investors clearly weren’t too put off that a Washington rollout of the bank rescue plan was pushed back a day to allow lawmakers to focus on the stimulus debate.

The KBW Banking Index was up 2.5% at mid-session, and regional banks were on a roll, hoping that the rescue plan would avert nationalization of the big banks that battling for survival and also prop up smaller banks bogged down by tight credit and hurt by toxic assets. Small-cap regional bank Fifth Third Bancorp (Nasdaq:FITB) jumped 12.5%, and was clearly not rattled by a price cut on the stock from Morgan Stanley. Small-cap regional bank Huntington Bancshares Inc. (Nasdaq:HBAN) jumped 22%, one of the largest percentage movers within the group.

Energy shares were another source of strength today, with the Energy Select Sector SPDR Fund up 1.3% at midday, helped along by a rise in crude oil prices amid talk of further OPEC production cutbacks. The U.S. dollar was down today, providing support to commodity themes as hope for a bank bail out package spurred some . . .

Small-cap stocks pushed higher Tuesday, shaking off losses in the banking and financial sector amid gains for homebuilders, drug and energy shares. The Russell 2000 (NYSE:IWM) closed up 3.28, or 0.73%, at 452.90, but lagged gains in the Dow and S&P 500, which takes some of the edge off the advance. For the year, the Russell is down 9.3%, while the Dow is off 7.9% and the S&P 500 is down 7.1%.

The market started off on a defensive note and continued to chop around on both sides of positive ground until the bulls gained traction in the afternoon. About 30 minutes into the session an upbeat reading on pending home sales and an announcement by the Federal Reserve that they would extend various credit windows helped underpin the market.

For the record, pending home sales came in plus 6.3%, well above the forecast for a flat reading. The upside release helped spark a rise in homebuilder stocks with the ISE Homebuilders Index climbing 8.3%. Several key companies in the homebuilder universe fall within small-cap guidelines, including Meritage Homes Corp. (NYSE:MTH), which jumped 17% on the day. Small-cap builders KB Home (NYSE:KBH) rose 10%, while Centex Corp. (NYSE:CTX) was up 10%.

The other piece of economic data in play today came from various sales reports out of automobile companies. As expected, vehicle sales fell off a cliff again in January, with General Motors Corp. (NYSE:GM) collapsing 49%, Ford Motor Co. (NYSE:F) down some 40%, while Toyota Motor Corp. (now the world’s largest automaker) saw a sales drop of 34% and Nissan tumbled 30%. Despite the sober news on sales, Ford shares actually finished higher on the day (up about 4%), while General Motors was down 3%.

Energy shares outpaced the overall market rise today, helped along by a modest 1.7% advance in crude oil futures, which gained $0.70 a barrel to $40.78. Crude prices were underpinned by talk of additional production cuts out of OPEC and some . . .

Small-cap stocks took a hit Thursday, snapping a string of four consecutive winning sessions with a resounding downside spiral as dreary economic data and lousy corporate profit reports triggered a wave of selling. The Russell 2000 (NYSE:IWM) tumbled 19.78, or 4.18%, to 453.24, and is now down 9.2% for the year. The Dow is now down 7.1% for 2009, while the S&P 500 is off 6.4%.

Just one day after generating the second-biggest rally of the year, the Russell slumped to the third worst daily decline, reminiscent of the roller coaster ride surrounding the Obama inauguration, which saw the best and worst days of 2009 in back-to-back fashion. It has become a familiar and uncomfortable trendless volatility as the market waffles between bargain hunting and renewed dread about the worst economic recession since the Great Depression 70 years ago.

Today’s big event was a trio of economic reports that stood to remind us all that even though data might be a “lagging” indicator for stocks, when the numbers get numbingly awful, the confidence to shrug them off starts to wane. This morning saw weekly unemployment claims rise to 588,000, which was slightly above the forecast. But it wasn’t the weekly figure that was troubling, it was the number of Americans forced to file for continuing unemployment benefits because they can’t find a job. That number swelled to 4.77 million, the highest number on record. There are now more people than ever before forced to draw unemployment insurance, and we’re supposedly not yet at the worst of the jobs situation.

“In addition to staggering layoff announcements in January across a wide spectrum of firms, the actual number of folks filing for unemployment insurance climbed 3,000 during the week ended Jan. 24. Continuing claims, which lag initial claims by one week, advanced to 4.776 million and the insured unemployment rate increased to 3.6%, which is a cycle high from 3.4% in the prior week. The January employment report is likely to show a grimmer picture of the labor market compared with the December data,” Asha Bangalore, economist with Northern Trust, said in an email. 

And while the weekly claims report alone was an uncomfortable piece of data, there was no relief to be found in the monthly durable goods report or the latest reading on new home sales. Durable goods orders declined for the fifth consecutive . . .

Small-cap stocks extended the morning slide into midday trading, as a fresh run of economic data this morning suggested that the economic recession is darkening. Selling interest was heightened by a bevy of awful corporate profit reports, shuffling the previous four days of rallies into the background. Some of today’s small-cap gainers were POZEN (Nasdaq:POZN), OSI Systems Inc. (Nasdaq:OSIS) and Sepracor (Nasdaq:SEPR).

Other Market Watch highlights today included:

• The chart picture took a sudden turn for the worse today, unable to sustain Wednesday’s breakout through the recent trading range highs.  
• Energy shares fell 2.4% as the crude oil market saw the weak economic data and fretted anew about demand destruction in a global recession.  
• Gold shares were mildly higher, but just barely, with the Gold and Silver Index rising about 2%.  
• As you might expect given dreadful home sales numbers & historically high unemployment rolls, homebuilder stocks were getting bruised today.   J
• This morning’s weekly claims report showed that more Americans are now drawing unemployment insurance than at any point in history.  

Small Cap Gainers:

• POZEN informed by FDA that endoscopic gastric ulcer incidence continues to be an acceptable primary endpoint; shares climb 17% in pre-market. See (Nasdaq:POZN). 
• OSI Systems Inc. rose 16% as the electronics system designer received an earnings lift. See (Nasdaq:OSIS).  
• Sepracor rises 10% in pre-market to cut workforce despite rise in profit. See (Nasdaq:SEPR)

Small Cap Losers:

• Online futures and options broker optionsXpress Holdings Inc. fell 14% after reporting earnings. See (Nasdaq:OXPS).
• SurModics Inc. gapped lower and shed nearly 20% as the medical products company took an earnings related hit. See (Nasdaq:SRDX).  
• Inter Parfums Inc. tumbled 23%, wiping out solid recent gains in the process. See (Nasdaq:IPAR).  
• The ISE Homebuilders Index is down 5.7%; small-cap builders Centex Corp. off 5% and Meritage Homes Corp. down 12%. See (NYSE:CTX) and (NYSE:MTH). 

 

Small-cap stocks extended the morning slide into midday trading, as a fresh run of economic data this morning suggested that the economic recession is darkening. Selling interest was heightened by a bevy of awful corporate profit reports, shuffling the previous four days of rallies into the background. At 12:22 p.m. ET, the Russell 2000 (NYSE:IWM) was down 11.89, or 2.51%, at 461.13.

This morning’s weekly claims report showed that more Americans are now drawing unemployment insurance than at any point in history. Everyone is expecting the jobs picture to get worse, but with companies announcing layoffs on a daily basis and with other economic data looking equally gloomy, investors are struggling to cast aside the weak reports right now.

In other economic releases today, orders for durable goods fell more than expected and have now been down for five consecutive months. New home sales tumbled to the lowest rate since the data series began 41 years, sinking 14.7% to an annual rate of 331,000, which was shockingly below the forecast of 400,000.

As you might expect given dreadful home sales numbers and historically high unemployment rolls, homebuilder stocks were getting bruised today, with the ISE Homebuilders Index down 5.7% and small-cap builders Centex Corp. (NYSE:CTX) off 5% and Meritage Homes Corp. (NYSE:MTH) down 12%.

Looking at sector activity today, the market was swamped with selling breadth. Gold shares were mildly higher, but just barely, with the Gold and Silver Index rising about 2%. Energy shares fell 2.4% as the crude oil market saw the weak . . .

Small-cap stocks remained lower into mid-session, pulled down by losses in commodity, financial and technology stocks amid ongoing worries about corporate profits in one of the deepest economic recessions since the Great Depression.  Some of today’s small-cap gainers are A-Power (Nasdaq:APWR), Aladdin Knowledge Systems (Nasdaq:ALDN) and Mindray (NYSE:MR).

Other Market Watch highlights today included:

• Corn futures crashed 7%, touching limit down losses and the Gold and Silver Index slumped more than 5%, reflecting losses for mining and metals shares.  
• Commodities were hit especially hard today, with crude oil prices tumbling 7% on worries about the global demand picture.  
• Overseas markets were lower coming into today’s session, which likely weighed on the market as well. 
• The dollar was firm against the euro this morning, which could also weigh on other commodity markets and stocks with close ties to physical markets. 

Small Cap Gainers:

• GE joins with A-Power on wind turbine gearbox equipment; shares of A-Power rise 21%. See (Nasdaq:APWR)
• Aladdin Knowledge Systems agrees to buyout at 20% premium; shares rise 14%. See (Nasdaq:ALDN).  
• Mindray announces preliminary 2008 operating results; shares pop 14%. See (NYSE:MR).
• The Cooper Companies is up 8% today after declaring a half-year cash dividend last week. See (NYSE:COO).

Small Cap Losers:

• Small-cap gold stock Detour Gold Corp. is down 21%. See (Nasdaq:DRGDF). 
• Small-cap coal company Patriot Coal Corp. fell 17.3% as commodities slumped across the board today. See (NYSE:PCX).
• Small-cap eatery Morton’s Restaurant Group Inc. is down 7.8% as restaurant stocks get clobbered. See (NYSE:MRT).  
• Homebuilder shares were taking a hit today, with small-cap builders Centex Corp. down 7.7%; KB Home off 6.2% and Meritage Homes Corp. down 10.5%. See (NYSE:CTX), (NYSE:KBH) and (NYSE:MTH).  

Small-cap stocks remained lower into mid-session, pulled down by losses in commodity, financial and technology stocks amid ongoing worries about corporate profits in one of the deepest economic recessions since the Great Depression. At 12:43 p.m. ET, the Russell 2000 (NYSE:IWM) was down 5.11, or 1.06%, at 476.18.

Commodities were hit especially hard today, with crude oil prices tumbling 7% on worries about the global demand picture. Elsewhere in commodities, corn futures crashed 7%, touching limit down losses and the Gold and Silver Index slumped more than 5%, reflecting losses for mining and metals shares. Small-cap coal company Patriot Coal Corp. (NYSE:PCX) fell 17.3%. In addition to the general decline in energy and commodities, PCX announced late Friday that they would close their Jupiter mining complex. Small-cap gold stock Detour Gold Corp. (OBB:DRGDF) was down 21%.

Treasury Secretary Henry Paulson said that the U.S. economy was going through a “difficult” economic period, which isn’t exactly a fresh revelation, but which did appear to spook investors and extend the morning pullback in equities. Credit markets were higher, which pulled some money flow away from stocks.

Homebuilder shares were taking a hit today, with small-cap builders Centex Corp. (NYSE:CTX) down 7.7%; KB Home (NYSE:KBH) off 6.2% and Meritage Homes Corp. (NYSE:MTH) down 10.5%.

Looking at the financial arena, bank stocks were getting drubbed, with the KBW Banking Index off 3.6% and Citigroup Inc. (NYSE:C), down more than 10% amid analyst talk that the bank may still need more capital even after . . .

Small-cap stocks turned in their best performance of the New Year today, as investors decided that a dreary picture of the current economic environment would simply make it that much easier for incoming President-elect Obama to push through a big fiscal stimulus package. The Russell 2000 (NYSE:IWM) closed up 9.68, or 1.92% at 514.71, the highest daily finish since November 4. For the first three days of trading in 2009, the Russell is up 3.1%, while the Dow is up 2.7% and the S&P 500 is up 3.5%.

In what promises to be a very busy week on the economic data front, the market skipped merrily through several gloomy reports today, with services sector activity, pending home sales and factory orders all consistent with an economy mired deep in recession. Even when a report beats the forecast, as was the case with today’s ISM Non-Manufacturing report on services sector activity, it’s still a low number historically. For the record, the ISM report came in at 40.6, well above the consensus projection of 37.0 and a nice turn of events considering the ISM’s tally on manufacturing Friday reflected a 28-year low.

Elsewhere on the data front, factory orders came in down 4.6%, which was quite a bit ...

Small-cap stocks started out the first full week of 2009’s trading in choppy, bifurcated fashion, with support from energy and homebuilding stocks countered by selling in banking, financial, gold, telecom and drug shares. The Russell 2000 (NYSE:IWM) closed down 0.82, or 0.16% at 505.03, and is now up 1.1% for the New Year, compared with a gain of 2.0% for the Dow and 2.7% for the S&P 500.

The day looked to start out with a bullish bias amid gains in overseas trading tied to optimism over incoming President-elect Obama’s stimulus plans. Officials said this weekend that the measures could include $310 billion in tax cuts, an idea that was embraced by overseas investors – especially in those companies with strong sales to U.S. customers. However, the market has already had a few “Obamanomics” rallies in recent weeks and didn’t seem inclined to run with this latest information.

Telecom and banking shares were both bruised by analyst downgrades in the respective sectors. Dow component JP Morgan Chase and Co. (NYSE:JPM) was one ...

Small-cap stocks turned lower into mid-session trading, unable to sustain a mild morning rise as ongoing worries about the economy came back to the forefront following dreadful data on home sales. As expected, homebuilders were among the hardest hit stocks so far today, with retailers, banks and auto manufacturers also acting as a drag on the market. At 12:49 p.m. ET, the Russell 2000 (NYSE:IWM) was down 7.79, or 1.64%, at 467.28.

Existing home sales, which account for the overwhelming majority of activity, plunged 8.6% to an annual rate of 4.49 million units, far below the projection of 4.93 million units. What’s more, the price on homes tumbled 13.2%, the biggest percentage decline in 40 years. The ISE Homebuilders Index tumbled 3%, outpacing the overall market slide by a wide margin. Among small-cap homebuilders, Centex Corp. (NYSE:CTX) was off 4.1%; KB Home (NYSE:KBH) was down 3%; and Lennar Corp. (NYSE:LEN) was down 4%.

The worst performers so far today have been the automakers, with General Motors Corp. (NYSE:GM) down 15% and Ford Motor Co. (NYSE:F) off 16% following news that their credit ratings were slashed. The PHLX Retail Index was down 1% at midday, while the S&P Retail Index was off about 0.5%. Big department stores were among the worst sector groups today, with Macy’s Inc. (NYSE:M) sinking 5.5%.

The ongoing fretting about the economy pulled down crude oil prices, which slipped below $39 a barrel, off about 3.7% at midday. Energy shares weren’t as weak as the cash market, but were still down about 0.9%, with oil and gas drillers among the weaker performers.

Financial shares were holding up reasonably well, but banks were a noticeable source of strain in the financial arena. The KBW Banking Index was off . . .

Small-cap stocks stormed higher Tuesday, extending a morning rally when investors got word that the Federal Reserve slashed interest rates to the lowest level in history and hinted that they wouldn’t hesitate to utilize other tactics to help jolt the moribund economy out of one of the worst recessions since the Great Depression of the 1930s. The Russell 2000 (NYSE:IWM) rose 30.28, or 6.69%, to 482.35, the highest daily close since Nov. 13. For the year, the Russell is still down 37%, while the Dow is off 33% and the S&P 500 is down 38%.

The FOMC stunned the market by slashing rates by 75 to 100 basis points, well beyond the 50-bp cut that was expected. Policy makers also made no bones about their mission right now: save the economy, worry about prices later. In fact, the Fed’s own statement said they would “employ all available tools to promote the resumption of sustainable economic growth and to preserve price stability.” With prices sinking as evidenced by today’s CPI report, the clear goal is economic growth. Now that the Fed is basically handing out money free of charge to those with access to the Fed window, the next order of business would appear to be attacking long-term interest rates, either through direct purchases or other means. The action was bold and stock market investors liked the approach.

It will be interesting to see if the heightened focus on long-term rates will provide a spark to the moribund housing market. Housing starts numbers released this morning tumbled to the lowest rate in history and slumped 18.9% on a seasonally adjusted rate. Despite the gloomy picture of the housing market, homebuilder shares took off today, attracting bottom-fishers on hopes that a light at the end of the tunnel . . .

Small-cap stocks were holding ground into mid-session, buoyed by hope for a White House rescue for automakers and by a bounce in tech stocks, real estate investment trusts, homebuilders and gold stocks, which helped counter ongoing weakness in the financial arena. At 12:32 p.m. ET, the Russell 2000 (NYSE:IWM) was up 4.18, or 0.93%, at 455.39, even though the Dow and S&P 500 were both in negative territory.

On the auto front, the White House appears ready to throw a lifeline to cash-strapped firms via the TARP funds, which have previously been utilized primarily in the banking arena. President-elect Obama also stated that he was disappointed that the Senate shot down a $14 billion bailout bill and the hoped the White House and Congress will find a way to help beleaguered U.S. automakers. As it became apparent some type of emergency bridge loan or funding proposal would more than likely take place quickly, shares in both General Motors Corp. (NYSE:GM) and Ford Motor Co. (NYSE:F) rallied hard off the morning lows. In fact, Ford climbed into positive ground, after sinking some 26% earlier in the day.

The resilient rise in small caps was a welcome sign after stock index futures tumbled 4% overnight when the Senate first squashed the automaker bill. Real estate investment trusts (REITS) were on a serious roll today, with small-capper Prologis (NYSE:PLD) jumping 26%, reversing a big slide from Thursday. Small-cap firm Apartment Investment & Management Co. (NYSE:AIV) was up nearly 7% and Developers Diversified Realty Corp. (NYSE:DDR) jumped 11% -- all of these companies were hammered Thursday and were in correction mode today.

On the homebuilder front, small-cap firm Centex Corp. (NYSE:CTX) rose 4%, KB Home (NYSE:KBH) was up 4% as well and Lennar Corp. (NYSE:LEN) was up 5%. Homebuilder shares were a hot ticket last week when mortgage applications shot to the highest point since February, but they cooled off this week until . . .

Small-cap stocks unraveled in the final hour of trading as the weight of crumbling commodity stocks, a raft of sloppy profit reports and another batch of dreary economic data countered a sturdy performance in retail, homebuilder and bank stocks. The Russell 2000 (NYSE:IWM) closed down 14.23, or 3.14%, at 439.53, the sixth lowest daily close in more than five years. For 2008, the Russell is off 43%, while the Dow is down 37% and the S&P 500 is down 42%.

Energy shares were a major drag on the market today, with crude oil prices tumbling to the lowest level in nearly four years as energy traders fretted about a global recession which would continue to destroy the demand side of the equation. The Energy Select Sector SPDR Fund tumbled nearly 7%.

The story in commodities ran deeper than just the energy market, however. Copper prices – which are considered a key industrial metal and a proxy for economic health – slumped to the lowest closing price in more than three years, losing 5% during U.S. trading. The Commodity Research Bureau Index of 19 physical markets slipped 3.7% and made new bear market lows, a troubling development when stock market watchers are eagerly trying to find a bottom in equities. The CRB Index is now down 54% from the July peak and is at the lowest point in more than six years.

The market started out the day on shaky footing, as several prominent companies either missed profit projections or lowered guidance. In addition, several firms announced plans for sizable layoffs, a chilling thought heading into Friday’s monthly employment report. DuPont (NYSE:DD) missed the forecast badly, and said it would cut 2,500 jobs, while AT&T (NYSE:T) said it would slash 12,000 jobs. Those sobering jobs reductions came into the teeth of today’s weekly report on unemployment claims. Even though the weekly figure was below projections, the number of Americans who are out of work and forced to file for extended unemployment benefits rose to the highest point in 26 years.

Despite all the dreary news afloat, small-cap stocks actually spent much of the session in positive territory before the final hour meltdown. Homebuilder stocks, retailers and financial issues staged solid rallies most of the day, which . . .

Small-cap stocks hovered near steady levels into mid-session trading, with support from retail, homebuilder and financial shares countered by sinking energy and technology shares. At 12:36 p.m. ET the Russell 2000 (NYSE:IWM) was up 0.06, or 0.01% at 453.82, while the Dow and S&P 500 were both suffering losses approaching 1%.

The International Council of Shopping Centers said that November sales plunged a record 2.7% on a year-over-year basis as very few major retailers were able to generate positive sales numbers. Despite the gloomy news, investors made a risky bet that this marked a bottom point for retailers and that all the bad news was already priced into the market. The S&P Retail Index was actually up nearly 5% at midday.

In a familiar theme this week, homebuilder shares were still a hot item today. The ISE Homebuilders Index was up more than 7%. Small-cap firms like Centex Corp. (NYSE:CTX) were up 12%, while Lennar Corp. (NYSE:LEN) was up about 14%. In recent days, there has been a growing hope that a new push to lower mortgage rates will strike up activity in the downtrodden housing arena, and indeed this week’s MBA Mortgage Application Index jumped a whopping 112% to the highest point since mid-February. That’s not to say all the economic news is roses and cream; after all, today’s factory orders report was below expectations and the worst showing in eight years and the number of Americans forced to file for extended unemployment insurance is at 26 year highs.

The energy market is clearly not comfortable today with the economic picture around the world. Crude oil prices tumbled to near four-year lows amid worries about a global recession, finding little comfort in a fresh string of rate cuts from central bankers in Europe overnight. The slide in physical markets took a toll on energy stocks as well, with the Energy Select Sector SPDR Fund down 3.3%.

Individual small caps making noteworthy moves today include Parkervision Inc. (Nasdaq:PRKR), which gapped higher and soared some 65% on unusually heavy volume amid news that the wireless communications firm has entered into a joint . . .

Small-cap stocks reversed course, putting a brief but sharp morning slide on awful economic data in the rear-view mirror as investors gobbled up homebuilding, retail and financial shares and set aside any economic worries stirred by sobering private employment and services sector activity reports. At 12:26 p.m. ET, the Russell 2000 (NYSE:IWM) was up 4.75, or 1.07% at 446.57.

Small caps were leading the way on the midday surge, which suggests that investors were willing to take on a more aggressive posture and not just sit on defensive, low-risk plays. Along that theme, yields on Treasury products were higher as demand clearly was more focused on riskier fare today.

The ability to rally in the face of a bad reading on the ADP Employment Survey ahead of Friday’s big monthly employment report was a positive sign for the market. In addition, the ISM non-manufacturing survey came in well below the forecast, showing the services sector of the economy is mired deep in recession.

Homebuilder stocks were in rally mode Tuesday and remained a hot item today. The ISE Homebuilders Index jumped 10% and small-cap homebuilders were among the best performers in the group. Centex Corp. (NYSE:CTX) was a star Tuesday and jumped another 12% today. Meanwhile, Lennar Corp. (NYSE:LEN) was up 8% and KB Home (NYSE:KBH) soared 16%. Homebuilder shares appear to be attracting bargain hunters amid sentiment that the government’s new focus on lowering long-term and mortgage rates will spur renewed activity in the housing sector and generate fresh refinancing at lower interest rates. President-elect Obama said today that homeowners inability to pay mortgages is a key part of the recession.

Obama also said that automakers appear to be formulating “more serious” business models to help justify a government bailout of the ailing sector. Ford Motor Co. (NYSE:F) was up 5%, but General Motors Corp. (NYSE:GM) was down . . .

Small-cap stocks staged a solid recovery rally Tuesday, recovering a hefty slice of the historic collapse from Monday’s freefall but remaining in the shadow of that epic decline. Strength today stemmed from short-term oversold conditions, hope for a rescue bail-out of automakers as well as bargain hunting in financial and homebuilder shares. The Russell 2000 (NYSE:IWM) closed up 24.75, or 5.93%, at 441.82. The Russell is now down 42% for 2008, while the Dow is off 37% and the S&P 500 is down 42%.

Optimism for a $25 billion aid package for embattled U.S. carmakers may have played a supportive role in the action today, but stock in General Motors Corp. (NYSE:GM) came tumbling down from a steep morning rally after word got out that November vehicle sales collapsed 41.3% versus the same month last year. Executives from the Big 3 automakers submitted plans to Congress for the bail-out proposal. Ford Motor Co. (NYSE:F) was the first to release their plan, which called for a $9 billion loan, no executive bonuses, a reduction in dealers and new plans for electric cars. Into the close, GM shares were up slightly, while Ford was up about 4%.

Financial stocks were among the top performers today, with the Financial Select Sector SPDR Fund up 5%, including another sizable rise in Citigroup Inc. (NYSE:C), which was up 9%. Smaller banks and financial firms dominated the best percentage movers as well.

Homebuilder shares were surprisingly stout, with the ISE Homebuilder Index climbing 7.5%. Within the small-cap universe, KB Home (NYSE:KBH) jumped 9.5%, Lennar Corp. (NYSE:LEN) rallied 14.1% and Centex Corp. (NYSE:CTX) rose 11.5%. Perhaps the group was simply oversold, and perhaps some of the move was tied to hopes that further rate cuts and the government’s new push on lowering longer-dated debt rates would revive the sagging housing industry. On Monday, Federal Reserve Chairman Ben Bernanke intimated that the Fed could purchase long-term products and that sentiment was echoed today by Philadelphia Federal Reserve Bank President Charles Plosser, who said that the Fed certainly can buy Treasury products and . . .

Small-cap stocks remained in an upward holding pattern ahead of Thursday’s Thanksgiving Day holiday in the United States, with the Russell 2000 (NYSE:IWM) notching four consecutive higher closes for just the second time since the Memorial Day holiday back in late May. Technology shares, energy stocks and telecoms helped power the rise today. In addition, investors continue to applaud President-elect Obama’s choices for his economic team, this time giving a thumbs up for his choice of chief for his economic advisory board – former Federal Reserve Chairman Paul Volcker. The Russell 2000 closed up 25.68, or 5.79%, at 468.86 and is now down 39% for 2008. The Dow trailed gains in small caps, gaining just 2.91% Wednesday, but is still beating small caps for the year, with a loss of 34%. The S&P 500 was up 3.53% Wednesday and is down 40% for the year.

The higher close today flew in the face of a bevy of dreary economic data, highlighted by a durable goods report that showed orders fell off 6.2%, the largest drop in more than two years. Durables can be a volatile data series, and is sometimes written off when a big swing in aircraft orders skews the numbers. But this time around, the drop in orders was broad-based and shipments were down as well, not a good sign for the manufacturing sector of the U.S. economy. Speaking of manufacturing, a report on Midwest manufacturing – the Chicago Purchasing Manager’s Survey – came in at 33.8, which wasn’t just well off the forecast of 38.0, but was also the lowest reading in 26 years. Elsewhere on the data front, the weekly unemployment claims met projections, but was still dreadfully close to last week’s 26-year highs on continuing claims. New home sales tumbled 5.3% to the lowest level since January 1991. And oh yeah, just to emphasize a worrisome picture into the holiday season, consumer sentiment as measured by the Michigan sentiment survey tumbled to 55.3, below . . .

The Russell 2000 (NYSE: IWM) is leading the bulls’ stampede, up more than 2%, while the Dow (INDU) is on record territory. At 2:20 p.m. ET, the small-cap index had added 19.01 points, or 2.36%%, to 824.46. The Dow Jones Industrial Average had gained 195.82 points, or 1.41%, to 14,091.45, above its close of 14,000.41 on July 19.

The bulls are dominating trading this afternoon as investors speculate that the worst is over for the subprime mortgage sector.

Homebuilders, which have been hit particularly hard by the ongoing slump in the U.S. housing sector, got a breath of fresh air today when Citi Investment Research advised buying shares of Lennar Corp. (NYSE: LEN), D.R. Horton, Inc. (NYSE: DHI), Pulte Homes, Inc. (NYSE: PHM), Centex Corp. (NYSE: CTX) and The Ryland Group, Inc. (NYSE: RYL).

Citi Investment Research, the research arm of financial services giant Citigroup Inc. (NYSE: C), said that shares of the builders may be poised for a rally.

Also seeing its fortunes rise is micro-cap company Tarragon Corp. (Nasdaq: TARR), following news before the opening that Fannie Mae will reinstate $79.6 million in loans to the New York-based homebuilder and real estate developer.