2:30PM NY, U.S. Market Movers

Market averages traded sideways as sub-prime lending concerns dominated trader talk. Scholastic, Intuit and Herman Miller lost ground on earnings shortfall and lowered outlook. Motorola lost more than 6% on lowered earnings and revenue outlook.

Adams Respiratory Therapeutics Inc. (ARXT: chart), drug developer, shares jumped 15.4% following news the company settled a patent lawsuit with Mutual Pharmaceutical Co. and United Research Laboratories Inc.

Alon USA Energy (ALJ: chart) shares jumped 7.2% as a Credit Suisse analyst raised his rating to ""Buy"" following the oil refiner''s bullish outlook issued earlier this week. The company outlined plans to increase the capacity utilization of its California refineries by 20,000 barrels per day to 90,000 barrels daily. The company also expects to upgrade recently acquired facilities. Those projects should add $300 million per year in earnings before interest, taxes, depreciation and amortization.

FortuNet Inc. (FNET: chart) reported higher fourth-quarter earnings that were also better than analysts'' average estimate. The maker of gaming platforms said quarterly earnings rose 57% to 11 cents a share, compared with $541,418, or 7 cents a share, in the year-ago period. Revenue climbed to $4.41 million versus $3.7 million in the same period a year earlier. Shares of the company jumped 15%.

Glu Mobile''s (GLUU: chart), which publishes games for mobile phones, shares rose 11% in its market debut. Glu Mobile also narrowed losses to $12.4 million in 2006 from $18 million in 2005, while revenue rose to $46.2 million in 2006 from $25.7 million in 2005, according to documents filed with the U.S. Securities and Exchange Commission.

IHS Inc. (IHS: chart), which supplies technical information to energy and engineering companies, shares climbed 10.1% as investors cheered the company''s fiscal first-quarter results. The company said that its first-quarter net income increased to $18.4 million, or 32 cents per share, compared with $13.5 million, or 24 cents per share, in the year-ago period. Revenue climbed to $152.6 million versus $129.9 million in the same period a year earlier.

RCM Technologies Inc. (RCMT: chart) shares soared 10.1% after the business technology company reported that profits more than doubled in the last quarter of 2006, partially thanks to expanded work contracts. Net income increased to $2.3 million, 19 cents per share, compared with $818,500, or 7 cents per share for the same period last year. Revenue climbed to $54.2 million versus $46.8 million a year ago.

Tweeter Home Entertainment Group Inc. (TWTR: chart) said it will cut about 650 jobs, or 20% of its work force, as it closes 49 stores and two regional facilities in a bid to improve results amid heated competition in electronics retailing. The home electronics retailer, which has struggled as prices for flat-panel TVs have declined and demand for projection TVs has fallen, said it expects charges of about $50 million to $60 million tied to the closures. Shares of the company climbed 28.4%.

Avalon Pharmaceuticals (AVRX: chart) said that it posted a wider fourth-quarter loss as research and development costs increased. The company lost $4.4 million, or 43 cents per share, compared with a loss of $3 million, or 37 cents per share, during the same period a year prior. Revenue fell to $653,000 from $796,000 in the same period a year earlier. Shares fell 6.4%.

Clarcor Inc. (CLC: chart) shares fell 9.4% after the filtration products company''s first-quarter results missed Wall Street''s expectation. For the quarter the company earned $16.4 million, or 32 cents per share compared with $16.2 million or 31 cents per share last year. Revenue declined to $209.5 million versus $213.2 million a year ago.

CRA International Inc. (CRAI: chart) shares fell 6.1% after the Boston-based consulting company said that its first-quarter net earnings increased to $7.1 million, or 56 cents per share, compared with $5.6 million, or 47 cents per share, in the same period last year. Revenue rose 14.9% to $83.3 million from $72.5 million a year earlier.

Intuit Inc. (INTU: chart) said its TurboTax federal unit sales through March 17 rose 1% to 10.9 million from 10.8 million a year earlier. The provider of business and financial-management services software expects total unit growth of 3% to 5% for the full season. Intuit also affirmed its segment revenue growth forecast of 10% to 15% and its fiscal 2007 outlook. Shares declined after company reported weaker than expected sales of TurboTax at the height of tax season.

Herman Miller Inc. (MLHR: chart), office furniture maker, posted a 44.2% increase in third quarter net income as price increases offset seasonal order rate volatility. The company also forecast fourth quarter earnings below analysts'' expectations. Herman Miller said net income rose to $32.3 million, or 50 cents a share, in its third quarter, from $22.4 million, or 33 cents a share, a year earlier.

Modine Manufacturing Co. (MOD: chart) forecast fourth-quarter earnings at or below break-even due to slower-than-expected start-up of business from a new truck customer and repositioning costs, and its shares fell 8.4%. In January, it had said the repositioning costs in the fourth quarter could be double that of $3.6 million in the third quarter.

Motorola (MOT: chart) shares declined 6.5% after the cell-phone maker slashed its first-quarter revenue guidance and warned that earnings would be well below expectations. The company now sees revenue of $9.2 billion to $9.3 billion, well below its previous guidance of $10.4 billion to $10.6 billion. The company expects adjusted earnings of break-even to 2 cents a share.

Scholastic Corp. (SCHL: chart) shares fell 12.3% after the publisher posted disappointing third-quarter results and cut its full-year earnings forecast. For the quarter, the company reported a loss of $7.7 million, or 18 cents a share, on revenue of $497 million. The results included an investment gain of $3 million, or 4 cents a share. In the year-earlier period, the company posted a loss of $15.5 million, or 37 cents a share, on revenue of $487.7 million.

Tessco Technologies (TESS: chart) tumbled 11.2% after the wireless-systems products company warned that its full-year earnings would be lower than expected. The company said that fourth-quarter revenue, which is expected to be up about 30%, lower than expected, leading to the earnings shortfall. For the full year ending April 1, the company now sees earnings that will be at the low end of its previous earnings range of $1.15 to $1.22 a share.

1:00PM NY European markets closed steeply higher, helped by FOMC statement.
European stocks closed steeply higher on Thursday, boosted by the Fed Reserve’s decision to keep interest rates unchanged and the possibility of a change in rate policy. Rate-sensitive construction stocks such as Saint Gobain and Acciona rose more than 1.3%. Market-sensitive insurance companies such as AXA and Munich also advanced. Further boost was provided by gains for banking firms ING Group added 2.7% on merger speculation, with its main targets being Dexia, up 4.2%, Fortis, up 4.4% and KBC higher by 4.2%. Shares of several other banks also showed strength. Deutsche Bank rose 2.8%, Credit Suisse climbed 3.3% and UBS added 2%. In the retail sector, shares of U.K. clothing chain Next were in focus, moving higher 6.6% on strong financial results. Tech stocks were helped by Nokia which rose 3.8% after Credit Suisse said it was making a ‘trading buy’ recommendation its stock. The German DAX Xetra 30 surged 2.2 % at 6,856.96, the French CAC-40 rose 1.8% to 5,598.37 and the U.K.''s FTSE 100 added 1% to 6,318.00.