Mid-Afternoon Market Update: Oxford Rises Following Strong Results; Genesco Shares Slide

Toward the end of trading Thursday, the Dow traded down 0.11 percent to 18,380.47 while the NASDAQ gained 0.03 percent to 5,214.56. The S&P also fell, dropping 0.25 percent to 2,165.62.

Leading and Lagging Sectors

Thursday afternoon, basic materials shares gained by 0.43 percent. Meanwhile, top gainers in the sector included Harmony Gold Mining Co. (ADR) HMY, and Greif, Inc. GEF.

In trading on Thursday, energy shares fell by 0.81 percent. Meanwhile, top losers in the sector included Diamond Offshore Drilling Inc DO, down 11 percent, and Hornbeck Offshore Services, Inc. HOS, down 9 percent.

Top Headline

Campbell Soup Company CPB reported weaker-than-expected earnings for the fourth quarter.

On a GAAP basis, the company suffered a net loss of $81 million, or a loss of $0.26 a share, compared to net income of $17 million, or $0.05 a share, in the year-ago quarter. On an adjusted basis, EPS fell 6 percent from $0.49 to $0.46 and missed the Street estimates of $0.50 a share. Campbell net sales remained flat at $1.69 billion and came in line with the analysts' predictions.

Moving ahead, the company expects adjusted EPS to be $3.00-$3.09 on sales growth of zero to 1 percent. Street is looking for an EPS of $3.14 on one percent growth in revenue.

Equities Trading UP

Cynapsus Therapeutics Inc CYNA shares shot up 116 percent to $39.70 as Sunovion Pharmaceuticals announced plans to acquire Cynapsus for $40.50 per share.

Shares of Jaguar Animal Health Inc JAGX got a boost, shooting up 17 percent to $1.52 after the company reported additional topline results from study of second-generation formulation of Neonorm Calf conducted in association with Cornell University College of Veterinary Medicine.

Oxford Industries Inc OXM shares were also up, gaining 15 percent to $71.85 as the company posted better-than-expected Q2 results.

Equities Trading DOWN

Genesco Inc. GCO shares dropped 32 percent to $49.30. Genesco posted upbeat Q2 earnings, but sales missed expectations. The company also lowered its FY guidance.

Shares of Vectrus Inc VEC were down 19 percent to $27.44 as the company disclosed that it has lost the Army contract for logistics in Kuwait and Qatar. The company also reported that its does not impact its guidance.

Digital Turbine Inc APPS was down, falling around 11 percent to $1.24. Digital Turbine named Barrett Garrison as CFO.

Commodities

In commodity news, oil traded down 3.22 percent to $43.26 while gold traded up 0.45 percent to $1,317.30.

Silver traded up 1.25 percent Thursday to $18.94, while copper rose 0.10 percent to $2.08.

Eurozone

European shares closed mixed today. The eurozone’s STOXX 600 rose 0.04 percent, the Spanish Ibex Index rose 0.53 percent, while Italy’s FTSE MIB Index declined 0.12 percent. Meanwhile the German DAX declined 0.55 percent, and the French CAC 40 rose 0.03 percent while U.K. shares fell 0.52 percent.

Economics

U.S. initial jobless claims increased 2,000 to 263,000 last week. However, economists were expecting claims to reach 265,000 in the week.

Non-farm productivity declined 0.6 percent in the second quarter, while unit-labor costs rose 4.3 percent in the quarter.

The Markit manufacturing PMI declined to 52.00 in August, versus a prior reading of 52.10. However, economists were expecting a reading of 52.10.

The ISM manufacturing index dropped to 49.40 in August, versus a prior reading of 52.60. Economists projected a reading of 52.40.

U.S. construction spending came in flat for July, versus economists’ expectations for a 0.50 percent growth.

Supplies of natural gas increased 51 billion cubic feet for the week ended August 26, the U.S. Energy Information Administration reported. Economists expected a gain of 43 billion cubic feet.

Data on money supply for the recent week will be released at 4:30 p.m. ET.