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Tickers in this Article: CNH, KUB, CMI, DRC, TDG, TGI, WSO
The market is doing well so far today. The Nasdaq has moved up 1.1%; the S&P 500 has risen 0.8%; and the Dow is up 0.6%. 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.

Underperforming the market overall, the Capital Goods sector (XLI) is up 0.8%, and these are its current biggest movers:
CompanyMarket CapPercentage Change
CNH Global NV (NYSE:CNH).94 billion-17.9%
Kubota Corporation (NYSE:KUB).65 billion+3.8%
Cummins (NYSE:CMI).1 billion+3.3%
Dresser-Rand Group (NYSE:DRC).04 billion+2.8%
TransDigm Group (NYSE:TDG).63 billion+2.6%
Triumph Group (NYSE:TGI).18 billion+2.5%
Watsco (NYSE:WSO).51 billion+2.2%
Broker Summary: Charles Schwab Online Brokerage

CNH Global NV (NYSE:CNH) is at a share price of $40.59 after a sharp decline of 17.9%. So far today, the company's volume is 393,181 shares, in line with the current daily average.

Kubota Corporation (NYSE:KUB) is at $56.37 per share after an increase of 3.8%. The company is trading at a volume of 7,078 shares. This is on pace to reach yesterday's trading volume of 11,925 shares.

After rising 3.3%, Cummins (NYSE:CMI) is currently trading at a share price of $109.20. With 1.6 million shares changing hands so far today, the company's volume is 0.8 times its current three-month average.

Dresser-Rand Group (NYSE:DRC) has increased to a share price of $54.90, a 2.8% rise. The company is currently trading a volume of 119,165 shares.

TransDigm Group (NYSE:TDG) has risen 2.6% to hit a current price of $131.55 per share. So far today, the company's volume is 251,894 shares, 0.2 times the average daily volume.

Rising 2.5%, Triumph Group (NYSE:TGI) is currently trading at $65.21 per share. So far today, the company's volume is 129,263 shares. This is on pace to reach yesterday's trading volume of 254,886 shares.

After an increase of 2.2%, Watsco (NYSE:WSO) has reached a current price of $74.29. So far today, the company's volume is 59,894 shares, 0.3 times the average volume over the last three months.

The Bottom Line No matter the economic climate, Wall Street will always have stocks that make major moves each week. 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.

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