“Everything imaginable seems to be negatively affecting...
“Everything imaginable seems to be negatively affecting the stock market,” according to Irving Katz, director of research for Thomas Green/San Diego Securities. “For starters, there’s the prospect of war in the Persian Gulf, a new high in the price of crude oil, the dollar declining against all major currencies, continuing federal deficits and the lack of progress in a a budget accord,” he said.
“Then there are worries about the banking system and (fears of) long-term interest rates ratcheting up,” Katz said. “And new lows were made Monday in the U.S. market as it joined declining stock markets around the globe.”
San Diego stocks have never been able to buck general market trends, and, since most lack institutional following, found little support as they meandered near or made new lows during the past week, Katz said.
Despite what would appear to be favorable announcements--earnings or stock buybacks--local stocks continued their selloffs. Price Co. was down $1.125 Monday at $2 for the past week, after hitting a new low of $29.375. The company announced flat fourth-quarter earnings of $.63, compared to $.61 a year ago. Yearly earnings were $2.47, compared to $2.30 a year ago.
Price announced that same-store sales were down 0.8% for the fourth quarter and up only 2.1% for the entire year, Katz said. “The good news, if there could be any, was that Price expects to open 10 new stores, increasing their total by 20%,” he said.
Molecular Biosystems, which announced a worldwide licensing agreement for a unique method of analyzing medical ultrasound and magnetic resonance imaging signals, fell $1.375 Monday and $2.50 for the week.
Listed small bank stocks continued to make new lows, with First National down $2.875 and BSD Bancorp down $.75 for the week.
Additional new lows were made by Rohr Industries, Cohu, Advanced Marketing Services, Alliance Pharmaceuticals, Beeba’s Creations, California Jamar, DH Technology, Maxwell Laboratories, Micogen, Synbiotics and WD-40.
The only stocks showing gains for the week were Home Federal, up $.50 to $8.50, Magma Power, which gained $2 to $31, and Humphrey, up $.875 to $3.50. Humphrey was helped by a recommendation of an analyst in USA Today.
