Tag - Gco

Immunomedics Inc. (Nasdaq:IMMU), RTI International Metals Inc. (Nasdaq:RTI) and Genesco Inc (Nasdaq:GCO) are among the biggest percentage gainers in Thursday's trading among companies with market capitalizations under $1 billion.

Also included among the results: Clean Energy Fuels Corp. (Nasdaq:CLNE), Medallion Financial Corp. (Nasdaq:TAXI), Westport Innovations Inc. (Nasdaq:WPRT), Isle of Capri Casinos Inc. (Nasdaq:ISLE), Bon-Ton Stores Inc. (Nasdaq:BONT) and Jo-Ann Stores Inc. (Nasdaq:JAS).

Stocks continued their drop from the opening on a pullback in energy prices and on rumors that small-cap General Motors (NYSE:GM) may file bankruptcy.  Some of today’s small-cap gainers were Gevity HR (Nasdaq:GVHR), Weight Watchers International (NYSE:WTW) and Genesco, Inc. (NYSE:GCO).

Other Market Watch highlights today included:

• Investors are pulling their money out of equities and piling into bonds and gold.  
• The market is extremely anxious ahead of Friday's February Labor Department report that is likely to show the loss of hundreds of thousands of jobs. 
• Stocks across the board were falling today, with those in the banking sector posting some of the steepest losses.
• The bad news out this morning weighed on stocks, and included a survey release that showed nearly 12% of mortgage holders are behind on payments or are in foreclosure.

Small Cap Gainers:

• Gevity HR up 85% On TriNet deal at 97% premium. See (Nasdaq:GVHR). 
• Weight Watchers International is up 16% on heavier-than-average volume. See (NYSE:WTW).
• Genesco, Inc. is up 10% after reporting positive Q4 profit results. See (NYSE:GCO).  
• Cornell Companies is up 5% after reporting a rise in Q4 profit. See (NYSE:CRN). 

Small Cap Losers:

• Solutia subsidiary moves forward with patent infringement suit; shares fall 53%. See (NYSE:SOA).
• Jackson Hewitt Tax Service falls 44% after guiding below estimates. See (NYSE:JTX).  
• GE Railcar tells Greenbrier it wants fewer railcars; GBX shares fall 31%. See (NYSE:GBX).  

Children's Place Retail Stores Inc. (Nasdaq:PLCE), Orion Marine Group Inc. (Nasdaq:OMGI) and Ciena Corp. (Nasdaq:CIEN) are among the biggest percentage gainers in Thursday's trading among companies with market capitalizations under $1 billion.

Also included among the results: SXC Health Solutions Corp. (Nasdaq:SXCI), DrdGold ADR (Nasdaq:DROOY), Fred's Inc. (Nasdaq:FRED), Sterling Construction Co Inc. (Nasdaq:STRL), Seabridge Gold Inc. (Nasdaq:SA) and Genesco Inc. (Nasdaq:GCO).

Stocks continued their drop from the opening on a pullback in energy prices and on rumors that small-cap General Motors (NYSE:GM) may file bankruptcy.

At 11:30, the Russell 2000 (NYSE:IWM) was down 16.96, or 4.57%, at 354.34, while the Dow is down 3.16% to 6,658.88, and the S&P 500 is down 3.69% to 686.60.

The bad news out this morning weighed on stocks, and included a survey release that showed nearly 12% of mortgage holders are behind on payments or are in foreclosure.

GM auditors have said they have “substantial doubt” as to whether the battered automaker has the ability to continue, and GM said they may have to seek bankruptcy protection if its huge restructuring plan falls through. GM shares slid over 16% and are now under $2 per share.

Small caps bucking the downward trend today include Weight Watchers International (NYSE:WTW), up 18 on heavier-than-average volume. Cornell Companies (NYSE:CRN) is up over 10% after reporting a rise in Q4 profit, and also reporting positive Q4 profit results was Genesco, Inc. (NYSE:GCO), up 10% on the news.

*****Wednesday's rally could have been stronger, though you can't really be surprised that investors aren't jumping head first back in the stock market. Volume appears to have been solid, but not outstanding.

The most encouraging aspect to Wednesday's rally was leadership. We got leadership from technology and oil. If investors are buying in anticipation of an economic recovery, then oil necessarily must trade higher. Because any uptick in economic activity means increased demand for oil. And with OPEC production cuts taking hold and recent reserve draw-downs, the oil market has to be tight. 

*****Jason Cimpl, analyst for TradeMaster Daily Stock Alerts, made 10% on the US Oil Trust ETF (USO) last week. And the USO position he recommended . . .

Par Pharmaceutical Companies Inc (Nasdaq:PRX), Ship Finance International Ltd (Nasdaq:SFL) and Dynamic Materials Corp (Nasdaq:BOOM) are among the biggest percentage losers in Tuesday's trading among companies with market capitalizations under $1 billion.

Also included among the results: Young Innovations Inc (Nasdaq:YDNT), Republic Airways Holdings Inc (Nasdaq:RJET), Skywest Inc (Nasdaq:SKYW), Emeritus Corp (Nasdaq:ESC), Investors Title Co (Nasdaq:ITIC) and Genesco Inc (Nasdaq:GCO).

The Russell 2000 (NYSE:IWM) closed down nearly 8% today, sinking to the lowest point since May 2003. Some of today’s small-cap gainers are Orexigen Therapeutics (Nasdaq:OREX), Retalix Limited (Nasdaq:RTLX) and Targanta Therapeutics (Nasdaq:TARG).

Other Market Watch highlights today included:

• The consumer price index headline figure came in at minus 1%, which was slightly below the consensus forecast for a dip of 0.8%.
• The MBA Mortgage Application Index slipped 6.2% and is hovering near 8-year lows as the housing market continues to struggle. 
• Single-family housing starts tumbled to the lowest level in 27 years.
• Automobile manufacturers, REITS, health-care facilities and hot commodities like aluminum and coal were all down. 
• The yield on benchmark 10-year notes collapsed some 4.5% today and the yield on five-year notes hit a five-year low.
• The chart picture for small caps is decidedly one-dimensional, with all the power and the dynamic long-term patterns pointing to further decay.

Small Cap Gainers:

• Orexigen Therapeutics Inc. (Nasdaq:OREX) closed up 20% without any apparent fresh news behind the move.
• Retalix Limited (Nasdaq:RTLX) closed up 20.5% on light volume this morning, following earnings results earlier this week that showed a decline in Q3 profit, prompting small cap to cut guidance.
• Targanta Therapeutics Corp. (Nasdaq:TARG) was a featured small-cap in rally mode Monday and the move was extended today –- the company closed . . .

Small-cap stocks fell hard Wednesday, with the Russell 2000 (NYSE:IWM) tumbling to fresh bear market lows while sinking to the lowest point since May 2003. Financials and commodities were hammered by investors, but there really were very few safe ports in today’s stock market storm. In fact, the desire for some kind of safe place to park cash played a role in the stock market’s descent as investors pulled money out of equities and put it in low-yielding credit instruments. The Russell lost 35.13, or 7.85%, to 412.38 and is now down 46% for 2008. Meanwhile, the Dow was off 5.07% for the day and is down 40% for the year and the S&P 500 was down 6.12% Wednesday and off 45% for 2008. Both the Dow and S&P 500 also made new closing lows for the move; the intraday low for the Dow from Oct. 10 is still intact, however.

There was some sense that the difficulty in crafting a rescue package for domestic automakers was hampering market psychology. It certainly didn’t do any good for General Motors Corp. (NYSE:GM) stock, which was off nearly 12%. Meanwhile, Ford Motor Co. (NYSE:F) was down 25%, trading well below $2 a share. While auto executives grovel for a handout from tongue-lashing lawmakers, the political hot potato bounces about without much progress, leading Senate Banking Committee chair Christopher Dodd to say that the chances for a bailout bill for automakers was “remote.”

In a fitting end to another bruising day in the stock market, the only broad S&P sector with a noteworthy gain was brewery companies. On the downside, automobile manufacturers were smashed, REITS were evicted from portfolios, health care facilities were anemic and former hot commodities like aluminum and coal were running cold.

Elsewhere on the commodities scene, crude oil prices actually edged higher, breaking free of the lock-step equities trade that had been in place of late as the onset of colder weather boosted physical energy prices. Still, it didn’t do much to heat up energy stocks, as the Energy Select Sector SPDR Fund slipped 5.4%. Even the cattle market was slaughtered today, with futures for December delivery collapsing 3.3% to new contract lows, while prices on some continuous charts were at . . .

Genesco Inc. (Nasdaq:GCO), DryShips Inc. (Nasdaq:DRYS) and Century Aluminum Co. (Nasdaq:CENX) are among the biggest percentage losers in Wednesday's trading among companies with market capitalizations under $1 billion.

Also included among the results: Oppenheimer Holdings Inc. (Nasdaq:OPY), Arbitron Inc. (Nasdaq:ARB), Rockwood Holdings Inc. (Nasdaq:ROC), James Hardie Industries (Nasdaq:JHX), RC2 Corp. (Nasdaq:RCRC) and TAL International Group Inc. (Nasdaq:TAL).

Small-cap stocks went into free-fall mode into midday trading, pulled down by worries a collapse in the nation’s auto manufacturing business could sweep into a wider problem for an economy already in the throes of recession. In addition, money continues to move out of equities and into credit instruments as investors seek safe-haven outlets to try and ride out this storm. That safe-haven mentality also takes a deeper toll on small caps, which are seen as even riskier than large-cap companies. At 12:35 p.m. ET, the Russell 2000 (NYSE:IWM) was down 20.18, or 4.51% at 427.34, hitting the lowest price since May 2003.

General Motors Corp. (NYSE:GM) was down 15% on perceptions that this week’s lobby efforts by auto executives in Washington might not yield a rescue package for embattled automakers, or that an aid deal might not get there quick enough to stem a downward spiral through automakers, parts suppliers, etc. Ford Motor Co. (NYSE:F) tumbled 21%, but with the stock trading well below $2 a share, the percentage moves are easily magnified.

Yields on benchmark 10-year notes tumbled more than 3.5% at mid-session as investors made a stampede for Treasury products to try and park cash somewhere safe. The yield on five-year notes already hit five-year lows ahead of the opening this morning. The push for safe-haven outlets has extended into the gold market, where a report from the World Gold Council today said that global demand for the yellow metal soared 18% in the third quarter. While industrial metals such as copper have been pummeled by the economic crisis, which slows demand for building materials, gold stands to benefit by panic in financials and hope from long-term gold hoarders that all these bailout programs will eventually spark inflation.

However, any hope for inflation on the horizon seems like a far-off concern, especially after today’s CPI report showed that consumer prices notched the biggest decline in 61 years of data history. In fact, the deflationary environment right now just makes Treasury products even more attractive because inflation devalues fixed income investments.

Sometimes on days like today it’s interesting to see just what companies are doing well when the rest of the market is sinking. On the small-cap front, . . .

Small-cap stocks opened lower, quickly recouped the losses but then resumed the downdraft in whipsaw trading, as the market tried to shrug off overseas declines. A fresh batch of economic data on housing starts, consumer inflation and mortgage applications was predictably awful, but not a surprise. Today’s small-cap gainers are TechTarget (Nasdaq:TTGT), Senomyx Inc. (Nasdaq:SNMX) and Retalix Limited. (Nasdaq:RTLX). 

Other Market Watch highlights today included:

• Auto executives will be in Washington again today to lobby for aid, in an issue that has been contentious from a political standpoint.  
• The U.S. dollar was down 1% against the euro, which provided some support to the commodities sector.  
• Commodity markets began to rise off the overnight lows ahead of the stock market open, which helped limit initial losses for equities.  
• Single-family housing starts tumbled to the lowest level in 27 years.  

Small Cap Gainers:

• TechTarget climbing 16% following a rise in the company's Q3 online revenue reported last week. See (Nasdaq:TTGT).
• Senomyx Inc. up over 18% on lower-than-average volume. See (Nasdaq:SNMX).
• Retalix Limited up 12% on light volume this morning, following earnings results earlier this week that showed a decline in Q3 profit, prompting small cap to cut guidance. See (Nasdaq:RTLX).  
• Shares of Pan American Silver Corp. are up 10% analysts cut the company's price target to $19 from $36 on Monday. See (Nasdaq:PAAS).  

Small Cap Losers:

• General Motors says European Opel Brand not for sale; shares are down 15.2%. See (NYSE:GM).
• Genesco Inc. tumbled 11% as the specialty retailer reported earnings and revised guidance. See (NYSE:GCO).  
• Arbitron Inc. is down 10% as the media and marketing research firm tumbled to fresh 52-week lows. See (NYSE:ARB).  
• JA Solar down 3% in pre-market on very light volume. The small cap is hovering near its 52-week low of $2.01; its 52-week high is $27. See (Nasdaq:JASO).

Small-cap stocks opened lower, quickly recouped the losses but then resumed the downdraft in whipsaw trading, as the market tried to shrug off overseas declines. A fresh batch of economic data on housing starts, consumer inflation and mortgage applications was predictably awful, but not a surprise. At 9:56 a.m. ET, the Russell 2000 (NYSE:IWM) was down 3.39, or 0.76%, at 444.12. It’s worth noting that opening losses in equities were not nearly as steep as feared as commodity markets started to firm up in the minutes leading up to the stock market open.

The housing starts report came in at 791,000 units, which was better than the forecast of 780,000. That said, the number was still terrible. Single-family housing starts tumbled to the lowest level in 27 years. Meanwhile, the CPI report came in at minus 1%, which was the biggest drop since the data series began 61 years ago. Even the “core” rate, which excludes energy and food prices, slipped 0.1%, which was the first decline in core rates in 26 years. The dramatic free-fall in prices was also seen at the producer level on Tuesday’s PPI report and could stir up worries of deflation. Earlier today, the MBA Mortgage Application Index dipped 6.2% and continues to hover near eight-year lows. None of these reports contained “good news” for the market, but they were well within the range of expectations and appeared to have little immediate price impact.

The market was already limping into the session following another pullback in stock markets overseas. European shares were off about 1.5% heading into the U.S. session. In Asian trading, Japan was down 0.6%, Hong Kong off 0.7%, Australia down 0.6%, Singapore down 1.5%, South Korea off 1.8% and India down 1.8%.

Energy shares were an important part of the large-cap rally Tuesday, and appeared set to be a bearish element for stocks today after crude oil prices slipped to 22-month lows overnight. However, commodity markets started to rise off the overnight lows about 20 minutes ahead of the stock market open, which helped limit initial losses for equities. The U.S. dollar was down 1% against the euro, which provided some support to the commodities sector. Shortly after the open today, the Energy Select Sector SPDR Fund was up 0.5% as crude oil prices climbed back into positive . . .

Inspire Pharmaceuticals Inc (Nasdaq:ISPH), Genesco Inc (Nasdaq:GCO) and C&D Technologies Inc (Nasdaq:CHP) are among the biggest percentage gainers in Friday's trading among companies with market capitalizations under $1 billion.

FieldPoint Petroleum Corp (Nasdaq:FPP), Mexco Energy Corp (Nasdaq:MXC) and Vision Sciences Inc (Nasdaq:VSCI) are also among the biggest percentage gainers.

Here are the biggest percentage gainers among small caps:

The Russell 2000 (NYSE:IWM) and the Dow added to their earlier gains on news that existing U.S. home sales rose more than expected in February.

At 11:33 a.m. ET, the small-cap index was up 19.71 points, or 2.89%, to 701.13. The Dow Jones Industrial Average (INDU) had climbed 218.83 points, or 1.77%, to 12,580.15.

Sales of existing homes rose 2.9% to a seasonally adjusted annual rate of 5.03 million units in February from a pace of 4.89 million in January, the National Association of Realtors reported after the start of trading. Economists were expecting to see a fall.

“We’re not expecting a notable gain in existing-home sales until the second half of this year, but the improvement is another sign that the market is stabilizing,” said NAR chief economist Lawrence Yun in a statement.

However, the median home price declined 8.2%.

The Russell 2000 (NYSE: IWM) posted a decline following news of more bleak economic reports. The small-cap index fell 1.96 points, or 0.29%, to 684.22, its fourth consecutive decrease. The Dow Jones Industrial Average (INDU) lost 7.49 points, or 0.06%, to 12,258.90.

On a year-to-date basis, the Russell 2000 has lost 10.68%, while the Dow is down 7.58% and the S&P 500 has shed 9.33%.

The U.S. economy again took center stage today as twin government reports again raised fears of a recession. Stocks fell on Friday after an inflation gauge came in higher than expected and a measure of regional business conditions disappointed.

Today’s bad news came in the form of a report from the U.S. Census Bureau after the opening that construction spending fell a more-than-expected 1.7% in January to an annual rate of $1.121 trillion. On a year-over-year basis, construction spending is down 3.3%.

Meanwhile, the Institute for Supply Management said after the start of trading that its manufacturing index declined to 48.3 in February from 50.7 in January. Economists were expecting to see a steeper decline. Readings below 50 indicate a contraction.

New orders, inventories, production and employment all posted declines, while the backlog of orders increased.

The Russell 2000 dropped out of the get then rose to its session high of near 689 points at about 10:30 a.m. ET before falling again. Small-cap stocks bottomed out at 3 p.m. ET at a level of 675 but rallied in the last hour of trading.

Genesco Inc. (NYSE: GCO) shares are plunging on substantially higher-than-average volume after the shoe retailer announced that it terminated its merger plan with The Finish Line Inc. (Nasdaq: FINL). The $1.5 billion merger was going to be financed by investment bank UBS AG (NYSE: UBS).

The proposed deal, which is pending approval by the companies' boards, would require UBS and Finish Line to pay Genesco $175 million in cash and 12% of Finish Line's outstanding common stock. Both firms’ boards plan to meet on Monday to discuss the settlement.

UBS sued Finish Line and Genesco and sought permission from a Tennessee court to be freed of its responsibility to fund the merger.

Genesco’s largest shareholder, QVT Financial LP, said in a statement that it “strenuously opposes the proposed settlement.” The hedge fund said in a statement that it does not believe the settlement is in the best interests of Genesco’s shareholders. QVT said it wants to meet with the board and management to explain its opinion of the deal, which it views as “a breach of the directors' fiduciary duties to shareholders.”

Finish Line competed with Foot Locker (NYSE: FL) in bidding for Genesco, eventually offering $54.50 a share, or $1.5 billion. The deal experienced trouble after Genesco announced dismal second-quarter results by swinging to a steep loss. Since Genesco reported its second-quarter numbers, the deal has been in litigation.

In afternoon trading, GCO shares are down 18.86%, or $5.65, at $24.30. Over the last 52 weeks, shares have ranged from $21.71 to $54.15.

The Russell 2000 (NYSE: IWM) is unsteady following mixed economic news.

At 10:54 a.m. ET, the small-cap index was down 1.07 points, or 0.16%, to 685.11. The Dow Jones Industrial Average (INDU) had shed 44.45 points, or 0.36%, to 12,221.94.

Factory activity fell to 48.3 in February from 50.7 in January, the Institute for Supply Management reported after the start of trading. Economists were expecting to see a slightly steeper decline. Readings below 50 indicate a contraction.

“The manufacturing sector failed to grow during the month as the PMI fell below 50 percent, which indicates weaker performance in February when compared to January,” said Norman Ore, chair of the ISM’s Business Survey Committee, in a statement. “Manufacturers’ order backlogs continue to erode as the New Orders Index remained below 50 percent for the third consecutive month.”

Meanwhile, the U.S. Census Bureau reported after the opening that construction spending fell more than expected in January. The numbers show a 1.7% decline to a seasonally adjusted annual rate of $1.121 trillion. Private home construction led the way down, falling 3%.

The Russell 2000 (NYSE: IWM) is gaining ground on the second-to-last trading day of the year amid news of possible asset sales by big banks. However, gains are being tempered by news of new home sales in the U.S., which fell more than expected during November. After trading above 782, the Russell dipped to 776 almost immediately after the housing data was released.

The Commerce Department reported that sales of new U.S. homes fell by 9% in November to a seasonally adjusted annual rate of 647,000. Economists were expecting that new home sales would fall to 715,000 from 728,000 in October.

At 11:27 a.m. ET, the small-cap index was up 4.92 points, or 0.64%, to 778.43. The Dow Jones Industrial Average (INDU) was up 26.98 points, or 0.2%, to 13,386.59.

Citigroup Inc. (NYSE: C) and HSBC Holdings are among U.S. and European banks that are considering major asset sales, The Wall Street Journal is reporting this morning. Citigroup could sell an 80%-held student loan, its North American auto-lending unit, its 24% stake in Brazil credit-card operation Redecard and the bank's Japanese consumer finance business. HSBC might liquidate its auto-finance business.

In other economic news, the Chicago arm of the National Association of Purchasing Managers reported that business activity in the Chicago area expanded in December, which topped expectations

The Russell 2000 (NYSE: IWM) futures are gaining ground on the second to last trading day of the year amid news of possible asset sales by big banks.

Citigroup Inc. (NYSE: C) and HSBC Holdings, are among U.S. and European banks that are considering major asset sales, The Wall Street Journal is reporting this morning. Citigroup could sell an 80%-held student loan, its North American auto-lending unit, its 24% stake in Brazil credit-card operation Redecard and the bank's Japanese consumer finance business. HSBC might liquidate its auto-finance business.

The Census Bureau is expected to report new home sales for the month of November at 10 a.m. ET. Economists are that forecasting new home sales slid to 715,000 from 728,000 in October.

Also due out at 10 a.m. ET, the Chicago arm of the National Association of Purchasing Managers will report Chicago-area manufacturing index. The index is forecasted to edge down to 52 from 52.9 the previous month. A reading above 50 signals factory-sector expansion, while a reading below 50 signals contraction.

In small-cap news, a judge ruled Thursday that The Finish Line, Inc. (Nasdaq: FINL) must complete its $1.5 billion acquisition of mall retailer Genesco Inc. (NYSE: GCO) because it and advisor UBS reportedly knew about risks to Genesco's earnings. Finish Line said it may appeal.

Stocks also advanced as investors increased odds that the Federal Reserve will cut interest rates, quelling concerns of a recession.

Biggest percentage gainers:

• Chordiant Software Inc. (CHRD), up 15.8% to $9.40 on news that it that it has entered into a Global Framework Agreement with a leading telecommunications company for $26.1 million.
• Telestone Technologies Corp. (TSTC), up 5.3% to $6.86.
• Allos Therapeutics, Inc. (ALTH), up 5.3% to $7.

Biggest percentage losers:

• Cirrus Logic Inc. (CRUS), down 4.9% to $5.
• American Dental Partners, Inc. (ADPI), down 2% to $10.
• China Technology Development Group Corporation (CTDC), down 1.7% to $9.76.

Genesco Inc. (NYSE: GCO) shares are falling after the troubled shoe retailer reported third-quarter income from continuing operations of $5.6 million, or $0.23 per share, below analyst estimates of $0.56 per share. Last year, the company’s income from continuing operations was $16 million, or $0.62 per share.

The firm’s quarterly results include about $6.2 million, or $0.16 per share, in litigation and other expenses related to a messy merger proposal with Finish Line, Inc. (Nasdaq: FINL).

“Our third-quarter results continued to reflect generally challenging economic conditions and a difficult retail environment, especially in footwear,” CEO Hal Pennington said in a statement.

This year, Genesco’s third quarter ended on Nov. 3, instead of Oct. 28 during 2006. The Nashville, Tenn.-based firm’s quarterly net sales totaled $372.5 million, below Wall Street projections of $387.98 million and compared with $364.3 million a year earlier.

In pre-market trading, GCO shares are down 6.54%, or $1.75, at $25. Over the last 52 weeks, shares have ranged from $25.38 to $54.15.

The Russell 2000 (NYSE: IWM) and the other major indices posted solid gains today on news that Citigroup Inc. (NYSE: C) received a cash injection of $7.5 billion. The small-cap index added 8.20 points, or 1.12%, to 743.27. The Dow Jones Industrial Average (INDU) rose 215 points, or 1.69%, to 12,958.44.

On a year-to-date basis, the Russell 2000 has shed 5.61%, while the Dow has added 3.88% and the S&P 500 has advanced 0.82%.

The futures were pointing up and stocks climbed out of the gate on news after the close on Monday that the Abu Dhabi Investment Authority has purchased a 4.9% stake in the largest U.S. bank for $7.5 billion.

The cash will help New York-based Citigroup better deal with billions of dollars in losses due to the purchase of securities backed by subprime mortgages. News came out on Monday that Citi, which suffered a loss in the third quarter, may have to slash as many as 45,000 workers from its payroll in an effort to return to profitability.

Today the bank was a bullish force on Wall Street, even though some analysts suggested that Citi may still need to raise more capital.

Stocks were rising steadily until 10 a.m. ET, when the Conference Board reported a larger-than-expected drop in consumer confidence for November.

The business organization said that its index of consumer confidence fell to 87.3 from a downwardly revised level of 95.2 in October. That’s the lowest reading since the aftermath of Hurricane Katrina in October 2005 and a sign that Americans are getting more tightfisted in the face of higher energy costs and declining home prices.

The Russell 2000 (NYSE: IWM) and the Dow Jones Industrial Average (INDU) are posting solid gains despite news of worse-than-expected declines in consumer confidence and home prices. At 2:27 p.m. ET, the small-cap index was up 5.84 points, or 0.79%, to 740.91. The Dow had added 184.12 points, or 1.44%, to 12,927.56.

Stocks are bullish this afternoon as investors react to news after Monday’s close that Citigroup Inc. (NYSE: C) has sold 4.9% of itself to the Abu Dhabi Investment Authority for $7.5 billion. That’s the investment arm of the emirate of Abu Dhabi, one of the seven emirates in the United Arab Emirates.

News that the largest U.S. bank appears to be returning to solid ground after posting a loss in the third quarter unleashed the bulls. The cash infusion will help the bank get a better handle on billions of dollars on losses from subprime mortgages, which resulted in the recent departure of the CEO.

The bulls briefly slowed down and the Russell 2000 dipped into negative territory after 10 a.m. ET, when the Conference Board announced that its index of consumer confidence for November fell to a two-year low of 87.3 from a downwardly revised level of 95.2 in October. That’s the fourth consecutive drop and a sign that Americans are less willing to spend money.

That’s a problem for the economy because consumption comprises about 70% of gross domestic product. Most economists expect a slowdown in growth in the fourth quarter of 2007 and the first half of 2008, with some even forecasting a recession.

Investors looked saddened for a moment, but the mood didn’t last. The bears also failed to gain traction following a report that U.S. home prices fell 4.5% in the third quarter from a year earlier. That’s the steepest decline since the Standard & Poor’s Case-Shiller housing index was introduced in 1987.

BIDZ.com, Inc. (Nasdaq: BIDZ), China Finance Online Co. (Nasdaq: JRJC) and Genesco Inc. (NYSE: GCO) 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) is in the green even though news of a sharp decline in November consumer confidence shaved earlier gains.

At 10:37 a.m. ET, the small-cap index had added 4.24 points, or 0.58%, to 739.31. The Dow Jones Industrial Average (INDU) had advanced 115.34 points, or 0.91%, to 12,858.78.

Wall Street was bullish before the start of trading on news that Citigroup Inc. (NYSE: C) has sold 4.9% of itself to the Abu Dhabi Investment Authority for $7.5 billion. The cash infusion will allow the largest U.S. bank to better deal with losses accumulated through bets on securities backed by subprime mortgages.

New York-based Citigroup posted a loss during the third quarter, hurt by more than $6 billion in writedowns. The bank could face even larger losses in the fourth quarter.

Futures were pointing higher and small and large-cap stocks rose out of the gate.

But the rally quickly lost steam after 10 a.m. ET, when the Conference Board announced a larger-than-expected drop in consumer confidence for November.

The Russell 2000 (NYSE: IWM) and the other major American indices fell hard today on news of more losses stemming from the subprime mortgage meltdown. The small-cap index lost 19.17 points, or 2.49%, to 750.33, its fourth consecutive decline. The Dow Jones Industrial Average (INDU) added 218.35 points, or 1.66%, to 12,958.44.

On a year-to-date basis, the Russell 2000 has retreated 4.71%, while the Dow has advanced 3.88% and the S&P 500 has gained 1.18%.

Futures were pointing down and trading began in the red following news that investment bank Goldman Sachs Group, Inc. (NYSE: GS) downgraded Citigroup Inc. (NYSE: C), the largest U.S. bank, to “sell” from “neutral” on fears that it could suffer up to $15 billion in write-downs on collateralized debt obligations over the next two quarters.

Many loans made to borrowers with poor credit histories were repackaged as securities and sold to financial companies, which is why the industry took a hit when U.S. housing prices started to stagnate in the second quarter of 2006 and delinquencies and foreclosures rose.

Today’s news scared investors and served as a reminder that the subprime mess is still working its way through the system and has the potential to inflict more pain. Adding to the uncertainty is the fact that no one knows how many more shoes are going to fall and what the size of the damage will be.

That news alone was enough to ensure that the bears would dominate trading, but there was more to come.

Mooresville, N.C.-based Lowe’s Companies, Inc. (NYSE: LOW), the nation’s second largest home improvement retailer, announced its third-quarter profit fell 10.2% and total sales increased a less-than-expected 3.2%.

Genesco Inc. (NYSE: GCO) shares are plunging to new year-lows after shoe retailer Finish Line, Inc. (Nasdaq: FINL) reported in a regulatory filing that Genesco and itself are defendants in a lawsuit for declaratory relief filed by investment bank UBS (NYSE: UBS).

“For 46 years, I have been privileged to work with a wonderful group of people, in a business that I love, for the benefit of our shareholders,” CEO Hal Pennington said in a statement. “Today, my management team and I have been accused of defrauding UBS. On behalf of our company, our management team and our employees, I categorically deny those claims.”

Finish Line had previously offered to acquire Nashville-based Genesco in June for $54.50 per share, or $1.5 billion. UBS was financing the purchase, but Finish Line halted the deal because it said Genesco’s earnings decline jeopardized Finish Line’s ability to pay its debt back.

In a lawsuit filed in New York federal court, UBS said a merger that combined Finish Line’s “earnings difficulties and Genesco’s “disastrous financial condition” would be insolvent.

“It is sad when a major international financial institution resorts to this sort of mudslinging in an attempt to get out of its contractual obligations and survive the meltdown in the credit markets,” Pennington said. “To our customers, our suppliers, our shareholders and, most importantly, our employees, I assure you of my commitment to continue to operate Genesco with the same high standards of integrity that have made me proud to be a part of this company throughout my career. We will also continue to act in the best interest of our shareholders, including enforcing our rights under our Merger Agreement with The Finish Line.”

In a separate lawsuit, Genesco has sued UBS and Finish Line, attempting to force Finish Line to complete the acquisition. UBS said in a statement on Friday that Genesco had “intentionally misrepresented” its financial condition to Finish Line.

In today’s trading, GCO shares were down 23.09%, or $9.06, at $30.17. Over the last 52 weeks, shares have ranged from $29.04 to $54.15.

Genesco Inc. (NYSE: GCO), HSW International, Inc. (Nasdaq: HSWI) and Hardinge Inc. (Nasdaq: HDNG) are among the biggest percentage losers in Monday's trading among companies with market capitalizations under $750 million.

Here are today's biggest percentage losers:

The Russell 2000 (NYSE: IWM) has sunk even deeper into negative territory following news of record low U.S. homebuilder confidence. At 2:26 p.m. ET, the small-cap index had retreated 16.86 points, or 2.19%, to 752.64. The Dow Jones Industrial Average (INDU) had fallen 154.70 points, or 1.17%, to 13,022.09.

Trading began on a bearish note following news that investment bank Goldman Sachs Group, Inc. (NYSE: GS) downgraded financial services giant Citigroup Inc. (NYSE: C) to “sell” from “neutral” on fears that it could suffer up to $15 billion in write-downs on collateralized debt obligations over the next two quarters.

The fact that the largest U.S. bank has been dealt a blow and added to the list of casualties scared investors and served as a reminder that the subprime mess is still working its way through the system and has the potential to inflict more pain.

The financial sector has been feeling the sting of the meltdown in the subprime mortgage sector, which began after the U.S. housing prices started to stagnate in the second quarter of 2006.

Speaking of housing, the National Association of Home Builders reported after the start of trading that its index of builder confidence stayed at a record low level for the second month in row in November.

Builder confidence in the market for new single-family homes held at October’s upwardly revised level of 19, the trade association announced. That’s the lowest reading since tracking started in January 1985.

“The message from today’s report is that builders do not see any significant change in housing market conditions as compared to last month,” said NAHB chief economist David Seiders in a statement. “While they continue to work down inventories of unsold homes and reposition themselves for the market’s eventual recovery, they realize it will be some time before market conditions support an upswing in building activity.”

The Russell 2000 (NYSE: IWM) has declined steeply on news of poor corporate earnings and credit fears stemming from troubled U.S. housing sector.

At 11:04 a.m. ET, the small-cap index was down 18.05 points, or 2.35%, to 751.45. The Dow Jones Industrial Average (INDU) had lost 158.19 points, or 1.20%, to 13,018.60.

The bears came out in full force this morning following news before the start of trading that investment bank Goldman Sachs Group, Inc. (NYSE: GS) downgraded financial services giant Citigroup Inc. (NYSE: C) to “sell” from “neutral” on fears that it could suffer up to $15 billion in write-downs on collateralized debt obligations over the next two quarters.

The financial sector has been aching in the wake of the meltdown in the subprime mortgage sector, which began after the U.S. housing prices started to stagnate in the second quarter of 2006.

News of the expected write-downs came as an unpleasant reminder that so far no one has been able to quantify the extent of the damage to the financial sector, but various estimates are calling for total losses of hundreds of billions of dollars.

The fact that the largest U.S. bank has been dealt a blow and added to the list of casualties tells us that the subprime mess is still working its way through the system and has the potential to inflict more pain.

A number of mortgage lenders have already declared bankruptcy and many financial institutions have tightened credit.

Mall-based specialty retailer The Finish Line, Inc. (Nasdaq: FINL) said this morning that Genesco Inc. (NYSE: GCO), the branded footwear retailer Finish Line is attempting to acquire and with whom it is currently locked in litigation with, breached the merger agreement between the two parties.

The Finish Line said it asked Genesco for certain financial and other information as well as access to Genesco's chief financial officer and financial staff, but that Genesco has not responded and has refused to comply with its requests.

Shares of the Finish Line (FINL) were halted in pre-market trading.

The Russell 2000 index and the Dow fell on a day market by news of the latest corporate deal making. The Russell 2000 lost 1.91 points, or 0.23%, to finish at 846.28. The Dow Jones Industrial Average lost 26.50 points, or 0.19%, to 13,612.98.

With little news to occupy investors’ minds, the markets reacted to news that Australia’s BHP Billiton Ltd. (NYSE: BHP), the world’s largest mining company, is renewing its $40 billion bid for Pittsburgh, Pa.-based aluminum producer Alcoa Inc. (NYSE: AA), according to press reports.