On a bad day for the market, the Nasdaq has fallen 2%, the S&P 500 has slipped 1.9% and the Dow has declined 1.4%. The capital goods sector is the category of stocks related to the manufacture or distribution of goods. The sector is diverse, containing companies that manufacture machinery used to create capital goods, electrical equipment, aerospace and defense, engineering and construction projects. It is also referred to as the "industrials sector". Performance in the capital goods sector is sensitive to fluctuations in the business cycle. Because it relies heavily on manufacturing, the sector does well when the economy is booming or expanding. As economic conditions worsen, the demand for capital goods drops off, usually lowering the prices of stocks in the sector.

The Capital Goods sector (XLI) is currently ahead of the overall market, down only 1.8%, and its biggest movers are currently:

Company Market Cap Percentage Change
Quanex Building (NYSE:NX) $819.4 million -9.3%
KBR (NYSE:KBR) $4.65 billion -5.2%
James Hardie Industries SE (NYSE:JHX) $4.35 billion -4%
M.D.C. Holdings (NYSE:MDC) $1.79 billion -3.8%
Meritage (NYSE:MTH) $1.35 billion -3.3%
Esterline (NYSE:ESL) $1.99 billion -2.1%
Caterpillar (NYSE:CAT) $58.53 billion -2%

Broker Summary: OptionsXpress Online Trading Platform

Quanex Building (NYSE:NX) is currently trading at a share price of $20.12, a 9.3% decline. With 437,552 shares changing hands so far today, the company's volume is 1.7 times the average volume over the last three months.

Slipping 5.2%, KBR (NYSE:KBR) is currently trading at $29.85 per share. The company's volume for the day so far is 2.3 million shares.

At $47.70, James Hardie Industries SE (NYSE:JHX) has slipped 4%. So far today, the company's volume is 4,577 shares, one times the average daily volume.

Falling 3.8%, M.D.C. Holdings (NYSE:MDC) is currently at a share price of $35.47. The company's volume is currently 337,831 shares. This is on pace to fall short of yesterday's volume of 946,593 shares.

Currently trading at $36.76 per share, Meritage (NYSE:MTH) has fallen 3.3%. So far today, the company's volume is 283,456 shares, in keeping with the average volume over the past three months.

Esterline (NYSE:ESL) has decreased to $63.12 per share, a 2.1% fall. The company is currently trading a volume of 200,066 shares.

Caterpillar (NYSE:CAT) is down 2% to reach $87.67 per share. The company's volume is currently 5.4 million shares for the day, 0.9 times its current daily average.

The Bottom Line On any given day, a particular stock may see positive or negative change in its share price. It is important to weigh current activity against historical performance when making any investment decisions. Keep in mind that all these ratios should be compared against historical numbers and industry information in order to get a more complete picture.

Related Articles
  1. Stock Analysis

    The Biggest Oil Producers in Asia

    Learn which Asian countries deliver the most crude oil to market, and discover what companies are the biggest producers in each country.
  2. Stock Analysis

    The 5 Biggest Russian Oil Companies

    Discover the top Russian oil companies by production volume and find out more about their domestic and international business operations.
  3. Mutual Funds & ETFs

    What Exactly Are Arbitrage Mutual Funds?

    Learn about arbitrage funds and how this type of investment generates profits by taking advantage of price differentials between the cash and futures markets.
  4. Investing News

    Ferrari’s IPO: Ready to Roll or Poor Timing?

    Will Ferrari's shares move fast off the line only to sputter later?
  5. Stock Analysis

    5 Cheap Dividend Stocks for a Bear Market

    Here are five stocks that pay safe dividends and should be at least somewhat resilient to a bear market.
  6. Investing

    How to Win More by Losing Less in Today’s Markets

    The further you fall, the harder it is to climb back up. It’s a universal truth that is painfully apparent in the investing world.
  7. Fundamental Analysis

    Use Options Data To Predict Stock Market Direction

    Options market trading data can provide important insights about the direction of stocks and the overall market. Here’s how to track it.
  8. Stock Analysis

    2 Oil Stocks to Buy Right Now (PSX,TSO)

    Can these two oil stocks buck the trend?
  9. Investing News

    What Alcoa’s (AA) Breakup Means for Investors

    Alcoa plans to split into two companies. Is this a bullish catalyst for investors?
  10. Insurance

    The 5 Biggest Russian Insurance Companies

    Discover the five companies that dominate the Russian insurance market, and learn a little more about their business operations and ownership.
  1. How do dividends affect retained earnings?

    When a company issues a cash dividend to its shareholders, the retained earnings listed on the balance sheet are reduced ... Read Full Answer >>
  2. What is the difference between called-up share capital and paid-up share capital?

    The difference between called-up share capital and paid-up share capital is investors have already paid in full for paid-up ... Read Full Answer >>
  3. Why would a corporation issue convertible bonds?

    A convertible bond represents a hybrid security that has bond and equity features; this type of bond allows the conversion ... Read Full Answer >>
  4. How does additional paid in capital affect retained earnings?

    Both additional paid-in capital and retained earnings are entries under the shareholders' equity section of a company's balance ... Read Full Answer >>
  5. What types of capital are not considered share capital?

    The money a business uses to fund operations or growth is called capital, and there are a number of capital sources available. ... Read Full Answer >>
  6. What is the difference between issued share capital and subscribed share capital?

    The difference between subscribed share capital and issued share capital is the former relates to the amount of stock for ... Read Full Answer >>

You May Also Like

Trading Center
You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!