Russell 2000 sinks in the end
The Russell 2000 (NYSE: IWM) reversed its earlier gains and fell into negative territory with minutes left in the session. The small-cap index declined 6.50 points, or 0.96%, to 667.31. The Dow Jones Industrial Average (INDU) let go 46.57 points, or 0.38%, to 12,110.24.
On a year-to-date basis, the Russell 2000 has shed 12.89%, while the Dow is down 8.70% and the S&P 500 has decreased 10.87%.
Stocks small and large stumbled with half an hour left in trading, surrendering their earlier gains. Investors were generally bullish and the major U.S. indices spent the majority of the session in the green due to the momentum following the U.S. Federal Reserve’s move on Tuesday to offer up to $200 billion in expanded loans to financial institutions in an effort to ease the credit squeeze.
In economic news, the Mortgage Bankers Association reported before the start of trading that U.S. mortgage applications fell 1.9% for the week ended March 7.
Meanwhile, the price of oil touched a record $110 a barrel as the dollar weakened and investors bought commodities.
Among the small-cap losers today was Crown Media Holdings, Inc. (Nasdaq: CRWN), which operates the Hallmark Channel. The Studio City, Calif.-based company reported before the opening that it widened its fourth-quarter net loss to $0.37 per share from a $0.29 per share a year earlier.
Despite the result, CEO Henry Schleiff was optimistic about the future.
“With the lineup that we have in place for the rest of 2008, I am confident that we will continue to deliver this consistently strong performance,” Schleiff said in a conference call. “We are particularly enthusiastic about our summer schedule.”
Here are the day’s biggest percentage gainers and losers, along with top volume leaders, among companies with a market cap between $100 million and $750 million:
• Third Wave Technologies, Inc. (TWTI), up 31% to $9.32 on news of a successful drug trial.
• The Boston Beer Company, Inc. (SAM), up 26% to $45.10 on news of a rise in fourth-quarter profit.
• AgFeed Industries, Inc. (FEED), up 24% to $12.95 on news of a rise in fiscal 2007 profit.
• DivX Inc. (DIVX), down 30% to $7.18 on news of a disappointing guidance for fiscal 2008.
• Alaska Air Group, Inc. (ALK), down 18% to $18.36 on news of an analyst downgrade.
• AbitibiBowater Inc. (ABH), down 15% to $6.90 on fears that its plan to finance debt will fail.
• DivX Inc. (DIVX) 6,486,900 shares traded.
• Dendreon Corp. (DNDN) 5,851,100 shares traded.
• Anworth Mortgage Asset Corp. (ANH) 4,407,000 shares traded.
The day saw 62 small-cap stocks set 52-week lows, while three small caps established a 52-week high.
