Stocks drifted lower early Friday as investors looked for more reasons to keep the market's summer rally going.
Investors paused after two days of buying as the Labor Department said a measure of inflation was flat in July after a slight increase in June.
Inflation could become a concern down the road as the government continues to spend in an effort to stimulate the economy, though in the near term there has been little worry. A rapid increase in inflation would likely lead to higher interest rates, which could stifle an economic turnaround.
Meanwhile, the market appeared little fazed by a report showing a bigger-than-expected increase in industrial production.
The Federal Reserve said production from the nation's factories, mines and utilities rose 0.5 percent in July -- the first gain in nine months. It marks only the second increase since the recession began in December 2007. Economists had expected a 0.3 percent rise.
Traders shook off disappointing economic reports Thursday about retail sales and job losses and sent major indexes modestly higher. That followed big gains on Wednesday sparked by the Fed's more positive comments on the economy. Analysts say investors need to see more signs of growth before taking the market higher.
the Dow Jones industrial average fell 128.33, or 1.37 percent, to 9,269.86. The Standard & Poor's 500 index fell 15.44, or 1.52 percent, to 997.29, while the Nasdaq composite index fell 30.38, or 1.51 percent, to 1,978.97.
Yesterday’s Top Performing Small Cap stock:
TIE Technologies, Inc. (Pink Sheets: TTCS) was a SmallCapVoice.com top performer closing up over 103% on trading volume of 700 shares.
TIE Technologies, Inc. announced their new "WhirlwindHosting"(tm) service designed to provide a fully integrated website hosting, ecommerce and loyalty promotion service to small and medium-sized businesses and e-retailers.
WhirlwindHosting delivers high-quality Internet hosting solutions that provide a complete series of application hosting products; including the already successful AMS (Account Management Solution) and the next generation of the AMS suite, with its buyer loyalty program and ecommerce modules. Whirlwind's service notion is to be focused on the client's needs for turn-key solutions. TIE is establishing a strong foundation of high profit margin products based on the solutions our clients require in order to reach their goals.
Today’s SmallCapVoice.com Hot Stock to Watch:
Sunergy, Inc. (OTC BB: SNEY)
Sunergy, Inc reports the following update on the planning and preparation for operations on our 150 sq. km. Nyinahin mining concession, located in Ghana, West Africa. During Q'4 2009 we plan to test and evaluate the alluvial gold recovery potential along the Ofin River which runs through the eastern portion of the concession for about 45 km. We plan to do this by bulk sampling the numerous existing artisan pits along the river on our concession. Our planned budget is around $300,000.00 US which could recover an estimated 1,000 oz./gold generating around $900,000.00 of revenue from the program. Our plan involves either leasing a suitable gold recovery plant or joint venturing with another operator with suitable equipment. The permitting for the operation will commence shortly.
Sunergy is an aggressive junior mining exploration and development Company that is production oriented at the earliest possible profitable opportunity. We control 100% of the 150 SQ. Km. Nyinahin mining concession with a full prospecting license. The concession is surrounded by several operating mines and is adjacent to Newmont Mining's property. This concession has the Ofin river flowing through our eastern portion and there are numerous artisan pits ready for testing and evaluation for near term production. The Ofin river is known for good alluvial gold production. Artisans usually recover about 30% of the available gold through primitive hand methods, leaving 60-70% to be recovered by modern mechanical operations.
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