Record Low New Home Sales Weighs Markets Down

Sales of new homes dropped to a record low in 2011 to weigh the markets down to a lower close with the Dow losing 22 points to 12,734. Nasdaq fell 13 points to 2805.

On the upside

A magistrate judged has been assigned to Star Scientific's (Nasdaq: CIGX) patent infringement suit against RJ Reynolds for a possible settlement. 

United Rentals (NYSE: URI) reversed year ago losses to post a better than expected profit for the fourth quarter as revenue climbed.

United Continental (NYSE: UAL) narrowed fourth quarter losses more than expected as expenses related to the merger of United and Continental dropped.

On the downside

Fourth quarter earnings surged for Cypress Semiconductor (Nasdaq: CY) but the company warned of lower first quarter revenue.  

Quantum (NYSE: QTM) reported lower third quarter earnings as revenue slipped.

Exco Resources (NYSE: XCO) chairman and chief executive Douglas H. Miller sold nearly 1.2 million shred of common stock.

In the broad market, declining issues barely edged out advancers by a slim margin on the NYSE while decliners outpaced advancers by nearly 5 to 4 on Nasdaq. The Russell 2000 which tracks small cap stocks slipped 2 points to 792.