Mid-Day Market Update: Dow Tumbles 200 Points, Isis Pharma Shares Spike Higher

Midway through trading Monday, the Dow traded down 1.39 percent to 14,593.05 while the NASDAQ declined 1.54 percent to 3,305.51. The S&P fell, dropping 1.72 percent to 1,565.00.

Tenet Healthcare (NYSE:

) announced its plans to acquire Vanguard Health Systems (NYSE:

) for $4.3 billion including debt. The offer price of $21 per share represents a 70% premium over Vanguard's closing price on Friday. The deal also includes the assumption of $2.5 billion in Vanguard debt. The transaction is projected to close by the end of the year.

Vanguard Health Systems (NYSE:

) shot up 65.34 percent to $20.75 after Tenet Healthcare (NYSE:

) announced its plans to acquire the company for $4.3 billion including debt. Shares of Isis Pharmaceuticals (NASDAQ:

) got a boost, shooting up 19.51 percent to $26.28 after the company reported Phase 2 data on ISIS-APOCIII Rx. Tenet Healthcare (NYSE:

) was also up, gaining 5.31 percent to $43.65 after the company announced its plans to acquire Vanguard Health.

Shares of Solazyme (NASDAQ:

) were down 18.78 percent to $10.25 after the company agreed with Roquette Frères to dissolve their joint venture, Solazyme Roquette Nutritionals LLC. Apple (NASDAQ:

) was down, falling 3.27 percent to $399.96 after Jefferies analyst Peter Misek lowered the price target on the stock from $420 to $405. Western Digital (NASDAQ:

) shares tumbled 2.79 percent to $58.51 after the company announced its plans to buy STEC (NASDAQ:

) for around $340 million.

In commodity news, oil traded down 0.09 percent to $93.61, while gold traded down 0.64 percent to $1,283.70. Silver traded down 2 percent Monday to $19.56, while copper fell 2.56 percent to $3.02.

European shares were lower today. The Spanish Ibex Index fell 1.89 percent and the Italian FTSE MIB Index declined 0.93 percent. Meanwhile, the German DAX fell 1.24 percent and the French CAC 40 declined 1.71 percent while U.K. shares tumbled 2.12 percent.

The Chicago Fed National Activity Index rose to -0.30 in May, from -0.52 in the earlier month. The Dallas Fed manufacturing business index rose to 6.50 in June, versus a prior reading of -10.50. However, economists were expecting a reading of -1.50. Fed President Richard Fisher is set to speak today.