Small cap futures falling
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%.
