Mid-Morning Market Update: Markets Open Lower; Federal Reserve Announces New Moves

Following the market opening Monday, the Dow traded down 1.49% to 18888.48 while the NASDAQ fell 0.05% to 6,875.96. The S&P also fell, dropping 1.4% to 2,272.64.

US reported a total of 35,000 coronavirus cases with around 470 deaths. Italy reported a total of at least 59,000 confirmed cases and 5,400 deaths, while Spain confirmed a total of over 33,000 coronavirus cases. Mainland China reported no new domestic coronavirus cases on Monday. In total, there are at least 349,000 cases of COVID-19 worldwide with over 15,000 deaths.

Leading and Lagging Sectors

Consumer discretionary shares rose 0.6% on Monday. Meanwhile, top gainers in the sector included Blue Apron Holdings, Inc. APRN, up 24%, and Everi Holdings Inc. EVRI, up 13%.

In trading on Monday, energy shares dipped 4.3%.

Top Headline

The Federal Reserve lifted restrictions on its quantitative easing asset purchases and launched multiple new stimulus programs aimed at lending to small businesses and maintaining liquidity in the credit markets.

The Fed said it will no longer quantify its quantitative easing, seemingly pledging to devote any amount of money necessary to buying assets in the near-term.

Equities Trading UP

Hoth Therapeutics, Inc HOTH shares shot up 119% to $6.06 after the company reported a deal to jointly develop self-assembling vaccine for potential coronavirus treatment.

Shares of Innate Pharma S.A. IPHA got a boost, shooting 36% to $5.34.

Accelerate Diagnostics, Inc. AXDX shares were also up, gaining 30% to $6.02 after dropping 28.6% on Friday.

Equities Trading DOWN

Bellerophon Therapeutics, Inc. BLPH shares tumbled 36% to $11.55. Bellerophon Therapeutics shares jumped 431% on Friday after the company reported that the FDA granted emergency expanded access for INOpulse for the treatment of coronavirus infection.

Shares of Granite Point Mortgage Trust Inc. GPMT were down 27% to $3.13.

AG Mortgage Investment Trust, Inc. MITT was down, falling 26% to $3.37.

Commodities


In commodity news, oil traded down 2.5% to $22.07, while gold traded up 0.9% to $1,497.30.

Silver traded up 1.4% Monday to $12.56, while copper fell 4.7% to $2.069.

Euro zone

European shares were lower today. The eurozone’s STOXX 600 fell 4.1% the Spanish Ibex Index fell 3.4%, while Italy’s FTSE MIB Index fell 3.3%. Meanwhile, the German DAX dropped 2.9%, and the French CAC 40 fell 3.3% while UK shares fell 4.3%.

Economics

The Chicago Fed National Activity Index climbed to +0.16 in February, versus a reading of -0.33 in the prior month.

The Treasury is set to auction 3-and 6-month bills at 11:30 a.m. ET.