Russell 2000 posting solid gains
The Russell 2000 (NYSE: IWM) is posting solid gains on news the existing home sales fell less than expected in January.
At 11:66 a.m. ET, the small-cap index had added 3.34 points, or 0.48%, to 698.77. The Dow Jones Industrial Average (INDU) was up 52.43 points, or 0.42%, to 12,433.45.
The U.S. housing sector remains very weak, but stocks small and large are rising because the January decline in sales of existing homes was not as bad projected.
The National Association of Realtors reported after the start of trading that sales fell 0.4% to an annualized rate of 4.89 million units, down from an upwardly revised 4.91 million units in December.
Economists were expecting to see a fall to an annual rate of 4.80 million units. The inventory of homes for climbed 5.5%, while the national median home price fell 4.6%.
Small caps are rising, with companies making computer storage devices leading among the best-performing sectors.
Shares of Hutchinson Technology Inc. (Nasdaq: HTCH) are up just barely, while San Diego, Calif.-based Iomega Corp. (NYSE: IOM) is posting a slightly healthier gain.
Elsewhere, AgFeed Industries, Inc. (Nasdaq: FEED) has announced a $41 million financial plan.
Meanwhile, shares of China-based Canadian Solar Inc. (Nasdaq: CSIQ) are sagging despite news that the maker of solar cells is building a factory in the city of Luoyang.
