Jul. 2--Going from negative to positive, the Tulsa Index experienced a "fantastic turnaround" in the second quarter, according to a local investment professional.

The local stock index rose an impressive 35.4 percent while also outpacing two national stock indexes for the April-to-June period. That quarterly gain was a switch from the first quarter, when the local index was down 5.5 percent, and for all of 2008, when it plunged 32.5 percent.

The second quarter saw the Russell 2000 and the Standard & Poor's 500 -- two major national indexes -- post positive quarterly returns but lag the Tulsa Index, increasing by 20.7 percent and 15.9 percent, respectively.

Year to date, the Tulsa Index is up 27.9 percent compared with 3.2 percent for the S&P 500 and 2.6 percent for the Russell 2000.

The Tulsa Index is made up of companies that have headquarters or other significant operations in the Tulsa World's readership area. The S&P 500 is a composite of the nation's largest companies, while the Russell 2000 is an index of smaller companies.

Jake Dollarhide, CEO of Longbow Asset Management Co. in Tulsa, pointed out that the Tulsa Index contains a diversified group of strong companies with ties to the Oklahoma economy, which has fared better than the national average.

Although he expected the local index to post positive second-quarter results, Dollarhide said he was surprised by how well it performed given that energy prices, although rising, have been somewhat subdued.

"Since a lot of our companies are small- to midcap-size, I figured there was a good chance

we would outperform the two national indexes, but to blow them away like we did was unexpected," he said.

Dollarhide said the local index likely will dip in July but could close the third quarter with a single-digit gain.

Out of the 66 companies included in the local index, 61 posted positive returns for the second quarter.

By far the biggest gainer was Dollar Thrifty Automotive Group Inc., which saw its stock price rise more than 1,000 percent. The company's shares started the quarter at $1.16 and ended it at $13.95. In the first quarter, the stock got as low as 60 cents a share, Dollarhide noted.

Other top second-quarter gainers were Parker Drilling Co, North American Galvanizing & Coatings Inc., Bank of America Corp. and Williams Partners LP.

After facing possible insolvency at the end of 2008, Dollar Thrifty has proven, thus far, that it is a survivor, Dollarhide said.

"During the quarter, the company posted a smaller first-quarter loss that beat Wall Street's expectations and said it was reducing its exposure to Chrysler, its former parent that is in Chapter 11 bankruptcy," Dollarhide wrote in an e-mailed analysis. "Additionally, an improving economy is great for the business and leisure travel industry, and many expect Dollar Thrifty will be able to take advantage of these better economic conditions in the form of higher traffic and fatter profits."

The index's worst performer for the quarter was Terra Nitrogen Co., whose shares plunged 28.4 percent.

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