Small caps close lower; HBAN, FITB and MLR lead gainers
The Russell 2000 (NYSE:IWM) closed down 2.76, or 0.59%, at 467.94, and is now off 6.3% for the year. Meanwhile, the Dow is down 5.8% for 2009, while the S&P 500 is down 3.7%. Some of today’s small-cap gainers were Huntington Bancshares (Nasdaq:HBAN), Fifth Third Bancorp (Nasdaq:FITB) and Miller Industries (NYSE:MLR).
Other Market Watch highlights today included:
• There was some thought that the market needed a “breather” session after Friday’s gains that flew in the face of a bad employment report.
• Bank stocks continued to perform solidly today, even though a delay in the announcement of the bank bail out plan was deemed necessary.
• Commodities were a bright spot for the market but faded late with the Commodity Research Bureau index slipping into negative territory.
• Crude oil futures closed down 1.5%, or $0.61 a barrel, at $39.56, slipping back below the $40 level after trading above $42 in the morning.
• There was some thought that investors were starting to fret about the stimulus plan vote, which was expected at some point today.
• Volume was relatively thin much of the day for stocks as traders were preoccupied watching for news out of Washington.
• The chart structure for small caps sports an inside session pullback today on light volume, which carries very little downside “oomph” for the market.
• Treasury Secretary Timothy Geithner is slated to have a press conference on the bank plan Tuesday at 11:00 a.m. ET.
Small Cap Gainers:
• Regional banks were a notable standout today, appearing to gain support ahead of the bank bailout news Tuesday. Huntington Bancshares and Fifth Third (up 22% and 12%, respectively) were among these. See (Nasdaq:HBAN) and (Nasdaq:FITB).
• Miller Industries Inc. rallied 16% to the highest point since late November without news, but the rise was forged on fairly light volume. See (NYSE:MLR).
• Albany Molecular Research turned around to profit in Q4; shares rose 10%. See (Nasdaq:AMRI).
Small Cap Losers:
• ViroPharma Inc. tumbled 51% on unusually heavy volume on news that the firm’s antiviral compound failed to meet the late-stage trial goal. See (Nasdaq:VPHM).
• Mercury General Corp. fell nearly 19% as the insurance firm reported earnings. See (NYSE:MCY).
• AMERISAFE Inc. gapped lower and lost 10% as the workers’ comp firm said they would conduct a governance review. See (Nasdaq:AMSF).
