US SMALL/MIDCAPS-Stocks post worst week since November
NEW YORK |
NEW YORK May 4 (Reuters) - Small- and mid-capitalization stocks fell o n Friday posting their worst weekly declines since November after data showed U.S. hiring slowed for a third month and earnings outlooks and results from companies including ManTech International Corp disappointed.
ManTech, an information technology company, reported first-quarter results below analysts' expectations and cut its 2012 outlook. Its shares fell 13.9 percent to $25.30.
Shares of Digital River dropped 11.8 percent to $16.39, a day after it reported quarterly results.
But pressuring stocks from the start of the day was the U.S. monthly jobs report, which fueled worries that the U.S. recovery was losing steam. Employers added 115,000 workers to payrolls last month, the Labor Department said. It was the third straight month in which hiring had slowed.
The S&P MidCap 400 index fell 1.6 percent for the day, while the S&P SmallCap 600 index was down 1.8 percent. In comparison, the benchmark S&P 500 declined 1.6 percent.
The mid-cap index was down 3.4 percent for the week, while the small-cap index was down 3.6 percent. It was worst week for the small- and mid-cap indexes since late November, while it was the worst weekly decline on the S&P 500 since December.
"If we have more of a correction here in the summer - and there is a possibility of that happening - large caps could do better. But once we clear through some of this uncertainty, I think small caps could have a very good shot at outperforming for some time," said Natalie Trunow, chief investment officer of equities at Calvert Investment Management in Bethesda, Maryland, whose firm manages about $13 billion in assets.
Among other decliners, MTS Systems Corp shares fell 11.2 percent to $41.60 after posting its results.
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