Sep. 28--Most local stocks joined the wider markets on a roller-coaster ride of fear and occasional exuberance during the third quarter.

With just two trading days left in the quarter, however, the Richmond index seems headed for a rough landing.

The Bloomberg-created index of 21 companies with local headquarters and annual revenue of at least $50 million was down 9.21 percent at the close of trading Friday.

By comparison, the Dow dropped 1.82 percent, the S&P 500 was down 5.2 percent, and the Nasdaq declined about 4.8 percent.

Some of the best performers on the Richmond index during the second quarter had a tougher go in the third. Energy stocks in particular took a beating on concerns about a slowing economy.

Coal giants Massey Energy Co. and James River Coal Co. both soared during the second quarter but were down about 58 percent for the third quarter as of Friday.

"Your commodity stocks have gotten completely crushed in this environment," said Kent Engelke, chief economic strategist at Capitol Securities Management in Richmond.

Also taking a hit was Genworth Financial Inc., which fell 54.3 percent as the credit crisis continued to slam financial stocks.

On the other hand, LandAmerica Financial Group Inc. was up about 6.5 percent after declining nearly 43 percent in the second quarter.

The best performer so far this quarter was plastic-films and aluminum-extrusions maker Tredegar Corp., which posted a 30.54 percent gain as of Friday.

On the other end of the spectrum, Chesapeake Corp. was down 73.62 percent as the specialty packaging company struggled with its largely overseas businesses.

Struggling electronics retailer Circuit City Stores Inc.'s stock fell 52.6 percent as of Friday, while automobile retailer CarMax Inc. was up 1.62 percent.

CarMax could serve as a bellwether for how the markets perceive the economy, as the company is affected by consumer spending and financing costs, said Steve Marascia, an analyst at Anderson & Strudwick in Richmond.

"When fears are at their worst, the stock seems to be sold off, and when fears moderate the stock is back up again," he said.

Tobacco-leaf merchant Universal Corp. also was showing strong gains, up 14.73 percent so far this quarter. The company "is in a fairly solid business" for uncertain times, Marascia said.

Considering the turmoil created by the housing bust and credit crisis, "to be frank, I am surprised that the market in general has hung in the way it has," Engelke said. "That just speaks to the optimism and can-do spirit of America. We will get through this crisis. This, too, shall pass." Contact John Reid Blackwell at (804) 775-8123 or jblackwell@timesdispatch.com.

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