Welcome to The Daily Stock Report...brought to you by Quality Stocks.Net, performance tracked daily.
I'm Cathy Rankin and for Wednesday March 28th... we're bringing you the latest news from around the markets as well as the top movers to look out for today...
In Headline News Today...
Since there is still a risk that a housing crisis will develop and spread to the broader economy, more proof today that it may take longer than anticipated for the housing correction to subside gave anxious investors an excuse to take some money off the table following last week's huge run-up.
Lennar opened down nearly 4% after management withdrew its 2007 earnings guidance, said the typically strong spring selling season has not yet materialized and warned that "soft market conditions have been exacerbated by the well-publicized problems in the subprime lending market."
It is worth noting that Lennar shares did close well off their highs; but much of that can be attributed to short covering since homebuilders are among the most heavily shorted industry groups in the S&P 500.
Further underscoring the troubled state of the U.S. housing market was the S&P/Case-Shiller home-price index, showed that the price of homes in 20 U.S. metropolitan areas fell in January for the first time in at least six years. Albeit not a well-known survey, hysteria over every piece of weak data exaggerated its importance.
Of the eight sectors that closed lower, Materials was the day's biggest laggard. However, that wasn't all that surprising since it's also this year's best performing sector. DuPont, the day's worst performing Dow component, plunged 3.0% after Soleil cut their price target to $48. Newmont Mining tumbled 2.1% after being downgraded at HSBC Securities, earmarking Gold as today's biggest disappointment.
The absence of leadership from Financials, however, was an even bigger drag on the day's action as more negative commentary about the subprime situation pushed mortgage lenders even lower on the year. The inability of the Health Care sector to benefit whatsoever from its defensive characteristics further underscored the market's difficulties to attract buyers.
Managed Health was under pressure after a consumer group urged the Justice Department to block UnitedHealth Group's proposed purchase of Sierra Health Services.
Industrials were another weak spot for investors. Ingersoll Rand was the sector's worst performer after it was downgraded to Neutral at UBS; but it was the inability among transportation stocks to take advantage of an intraday pullback in oil prices that further echoed the lack of enthusiasm to own economically sensitive equities.
And now for our Small Cap News... brought to you by B2Digital, Inc
B2Digital, Inc. (BTOD.OB) provides in-room, on-demand video entertainment, and satellite services to the domestic lodging industry. It provides pay-per-view services. The company also provides for in-room viewing of select cable channels and other interactive and information services, including high-speed Internet access.
CanAm Uranium Corp. announced today that with Joint Venture Partner El Nino Ventures Inc. will be commencing on the first phase of the CDN $500,000 2007 Work Program on the Bancroft Uranium Project.
CanAm Uranium Corp. is focused on the strategic acquisition and development of exploration properties in well-known prolific mining areas, especially known for Uranium, of Canada, Southern Africa, Australia and the United States.
Previously at $1.24 a share CanAm Uranium (CAUI.OB) opens up 2% today at $1.27 a share.
Senetek PLC announced last month that Plethora Solutions Holdings Senetek's exclusive licensee for its patented erectile dysfunction drug Invicorp, will initiate the final component of the clinical development program for Invicorp® in the U.S. in the second quarter of this year.
The product has already received marketing authorization in Denmark, as well as in England and New Zealand.
Senetek PLC (SNTKY.OB) opens today at $0.23 a share.
And that's our newsmakers, Stay tuned right here to Quality Stocks Daily for the latest news from small cap to large cap, and everything in by QualityStocks.Net, where performance is tracked daily.
Thank you for tuning in, I'm Cathy Rankin. Have a great day and we'll see you tomorrow, right here on the daily report.
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