During the month of July, the Index fell 6.1 points, or 1.7%, asall its casino operators posted double-digit declines in stockvalue by the close of July compared to their opening-month values.More dramatic devaluations were reported toward the end of themonth, suggesting the Index's value could decline in August aswell, Applied Analysis principal Brian Gordon tellsGlobeSt.com.

The 1.7% decline was in contrast to the S&P 500 dailyaverage increase of 0.6% during the month. However, the Indexremains up 11.6% over the same month of the prior year, outpacingthe broader market. The S&P 500, when computed on a similarbasis, was up a more modest 3.1%.

Applied Analysis principals Brian Gordon and Jeremy Aguero sayinvestor concerns were heightened by sustained increases in fuelprices, speculation of shifts in industry fundamentals andincreasing supply in the local's gaming sector, according to thereport. "We attribute much of the sector's stock performance to amodest correction following relatively recent record-settingfinancial and stock performances," states the report. "Valuationsand fundamentals expanded heavily during the six months followingthe shakeout from a post-hurricane season in the fall of 2006."