Tag - Qcco

Small caps closed up about 2% today, outperforming the Dow for the day yet still lagging the big-cap index for 2008, with the Russell 2000 (NYSE:IWM) off 41%, the Dow down 35% and the S&P 500 down 41%. Some of today’s small-cap gainers are QC Holdings (Nasdaq:QCCO), Polypore International (NYSE:PPO) and Furniture Brands International (NYSE:FBN).

Other Market Watch highlights today included:

• The ADP headline figure suggested the nation lost 250,000 payroll jobs in November, which was below the forecast for a decline of 200,000.
• The ISM Non-Manufacturing Survey came out at 10:00 a.m. ET, with the headline figure at 37.3%, which was way below the forecast of 42.8%.
• The ability to rally after a bad reading on the ADP Employment Survey ahead of Friday’s big monthly employment report was a positive sign. 
• Yields on Treasury products were higher as demand clearly was more focused on riskier fare today.
• The weekly MBA Mortgage Application index jumped 112% today to the highest level since mid-February, encouraging the rally.
• The ISE Homebuilders Index jumped 10% and small-cap homebuilders were among the best performers in the group.
• Crude slipped $0.17 a barrel to $46.79 and notched 3-1/2-year lows during the U.S. trading session despite a drop in inventory levels.
• Banks, brokerages and other financial firms were clearly a source of strength for stocks today.
• Energy stocks were a drag on stocks for most of the day, and the Energy Select Sector SPDR was basically flat right before the close. 

Small Cap Gainers:

• QC Holdings Inc. (Nasdaq:QCCO) jumped 54% on a volume spike without any apparent fresh news from the payday loan firm.
• Polypore International Inc. (NYSE:PPO) jumped 31% as the lithium-ion battery company announced that one of their subsidiaries received a $2.3 million contract.
• Furniture Brands International (NYSE:FBN) closed up about 26% . . .

Small-cap stocks pushed higher Wednesday, overcoming a glut of gloomy economic reports as investors snapped up bargains on homebuilder, financial and retailer shares. The Russell 2000 (NYSE:IWM) closed up 11.93, or 2.70%, at 453.76. Small caps outperformed the Dow for the day, but still lag the big-cap index for 2008, with the Russell off 41% for the year, while the Dow is down 35%. The S&P 500 is off 41%.

The fact that small caps finished off the day with a positive print is a minor victory for a downtrodden market. Early on today investors were greeted with a larger-than-expected decline on payroll jobs from the ADP Employment Survey and then hit with an unnerving drop in services sector activity in the ISM Non-Manufacturing Survey. The weak economic reports took a toll on prices early, as some traders fretted about Friday’s upcoming employment release.

However, the market rallied into midday trading as a rush for homebuilder stocks paced the comeback move. It should be noted as well that not all of today’s economic numbers were downbeat. In fact, the weekly MBA Mortgage Application index jumped 112% to the highest level since mid-February, sparking some hope that sinking mortgage rates will generate fresh activity in the housing arena.

“The mortgage purchase and refinance data are seen as friendly, and Radian said that October mortgage claims were less than expected,” Nick Kalivas, vice president of financial research with MF Global, said in an email interview. “The idea of cheap gasoline and the potential for refinance activity is helping to stoke interest in homebuilders and retailers. Finally, we’re seeing signs of something that could spark a rally and defaults could ease if people can refinance and pay less for gasoline.”

Speaking of gasoline, crude oil prices slipped $0.17 a barrel to $46.79 and notched 3-1/2-year lows during the U.S. trading session despite a drop in inventory levels. Energy stocks were a drag on stocks for most of the day, and the . . .

The Russell 2000 (NYSE: IWM) fell today on news that U.S. inflation increased more than expected in November. The small-cap index dropped 15.53 points, or 2.02%, to 753.93. The Dow Jones Industrial Average (INDU) lost 178.11 points, or 1.32%, to 13,339.85.

On a year-to-date basis, the Russell 2000 is down 4.25%, while the Dow has gained 6.94% and the S&P 500 has advanced 3.62%.

The consumer price index increased 0.8% in November, according to the U.S. Labor Department. That’s the biggest climb in more than two years and above economists’ projected rise of 0.6%.

Prices were up in every single category, with energy and transportation costs leading the way, posting increases of 5.7% and 2.9%, respectively.

Consumer prices moved up 0.3% in October.

During the first eleven months of 2007, the consumer price index rose at an annual rate of 4.2%, compared with an increase of 2.5% for all of 2006.

The core consumer price index, which factors out the cost of food and energy, gained 0.3% in November. The forecast called for an increase of 0.2%.

The Russell 2000 (NYSE: IWM) is posting losses on news that U.S. consumer prices rose more than expected in November.
 
At 10:47 a.m. ET, the small-cap index had dropped 4.08 points, or 0.53%, to 765.38. The Dow Jones Industrial Average (INDU) was off 50.56 points, or 0.37%, to 13,467.40.

High energy costs led to a jump in inflation in November, according to a report by the U.S. Labor Department before the start of trading.

The consumer price index increased 0.8% in November, above economists’ projected rise of 0.6%. That’s the biggest increase in over two years. Prices increased across the board, with energy leading the way with a 5.7% climb.

Consumer prices added 0.3% in October. Prices are up 4.3% from November 2006.

The core consumer price index, which factors out the cost of food and energy, gained 0.3%. The forecast called for an increase of 0.2%.

Core prices are up 2.3% from November 2006, while the U.S. Federal Reserve has said that it prefers core inflation to stay in the 1% to 2% range.

The Russell 2000 (NYSE: IWM) futures are down on news of unexpectedly high inflation and the small-cap index will open in the red.

Consumer prices increased 0.8% in November, according to the U.S. Labor Department. Economists were expecting to see a rise of 0.6% following October’s increase of 0.3%.

That’s the biggest jump in over two years. Pulling inflation higher were energy and transportation costs, which increased 5.7% and 2.9% respectively.

The core consumer price index, which factors out the cost of food and energy, gained 0.3%. The forecast called for an increase of 0.2%.

The rise in inflation makes it less likely that the U.S. Federal Reserve will move to lower its target interest rate. The Fed has said more than once that fighting inflation is its primary task.

Here are the biggest percentage gainers and losers in pre-market trading among companies with a market cap between $100 million and $750 million:

Biggest percentage gainers:

• BioMimetic Therapeutics, Inc. (BMTI), up 15% on news of a successful trial of a bone graft.
• China Sunergy Co., Ltd. (CSUN), up 11% on news of an agreement to supply solar cells.
• Basin Water, Inc. (BWTR), up 9%.

Biggest percentage losers:

• QC Holdings, Inc. (QCCO), down 11%.
• CDC Corp. (CHINA) down 9% on news it swung to a third-quarter loss.
• DRD Gold Ltd. (DROOY) down 6%.