The bulls keep charging
The Russell 2000 (NYSE: IWM) and the Dow Jones Industrial Average (.DJI) have each gained more than one percent as the rally on Wall Street continues. At 2:49 p.m. ET the Russell 2000 was up 10.40 points, or 1.24%, to 850.37. The Dow had added 193.95 points, or 1.43%, to 13,771.82.
Shares of Progressive Gaming International Corp. (Nasdaq: PGIC) were dealt a lucky hand, rising $0.02, or 0.34%, to $5.97, following news the supplier of casino management solutions is selling one of its divisions to Shuffle Master, Inc. (Nasdaq: SHFL). Progressive has entered into a non-binding letter of intent to sell its Table Game division to Shuffle Master for an undisclosed sum, the two Las Vegas-based companies announced before the opening bell. After the completion of the deal, which is expected on or before Aug. 31, Shuffle Master will own the rights to Progressive's proprietary table game titles, including the popular Texas Hold ’em Bonus Poker.
The SCO Group, Inc. (Nasdaq: SCOX), which owns the UNIX operating system, announced before the start of trading that its mobile phone technology has been selected by a packaging maker to streamline its order entry process. Atlas Paper Co. will use SCO Group’s new product, called Mobile Order, in order to access back-end server inventory information and other data from smart phones, Lindon, Utah-based SCO Group reported before the market opened. The financial information surrounding the deal was not released. The stock has added $0.15, or 12%, to $1.45.
Shares of general retailer Fred’s Inc. (Nasdaq: FRED) are in positive territory on news of an increase in same-store sales in June. Comparable store sales for the month increased 1.5%, compared with an increase of 2.6% in June of 2006, the Memphis, Tenn.-based company announced before the start of trading. Total sales for June rose 4% to $166.2 million from $160.2 million a year earlier. However, CEO Michael Hayes said that overall sales were below his expectations. “Inventories are tracking modestly above plan but there is minimal markdown risk since the excess inventory is primarily high-turning,” investment bank William Blair & Co. said in a research note today. It’s maintaining a “Market Perform” rating on the stock. Shares are up $0.39, or 3%, to $13.71.
In economic news, the price of oil is flat at about $72.50 a barrel, after rising earlier today following news of hedge funds putting increasing amounts of money into energy markets.
