Mid-Afternoon Market Update: Crude Oil Up Over 1%; Lexicon Pharmaceuticals Shares Plunge

Toward the end of trading Monday, the Dow traded up 0.15% to 27,232.41 while the NASDAQ fell 0.55% to 8,284.61. The S&P also fell, dropping 0.18% to 3,020.42.

Leading and Lagging Sectors

Real estate shares climbed 0.6% on Monday. Meanwhile, top gainers in the sector included SITE Centers Corp. SITC, up 3%, and CBL & Associates Properties, Inc CBL, up 4%.

In trading on Monday, consumer discretionary shares fell 0.8%.

Top Headline

Mylan NV MYL announced the launch of a new company with Pfizer Inc's PFE Upjohn division.

Pfizer shareholders will own 57% of the combined new company, and Mylan shareholders will own 43%. The new company is expected to have 2020 revenues of $19 billion to $20 billion. The boards of directors of both Mylan and Pfizer have unanimously approved the transaction.

Pfizer reported upbeat Q2 earnings, while sales missed estimates. The company also lowered its FY19 guidance below analyst estimates. Mylan reported better-than-expected Q2 results.

Equities Trading UP

Medley Management Inc. MDLY shares shot up 32% to $3.14 after the company announced a merger agreement with Sierra Income. Medley Capital shareholders will receive 0.67 shares of Sierra stock and $2.96 per share in cash.

Shares of NovaBay Pharmaceuticals, Inc. NBY got a boost, shooting up 39% to $1.4199 after the company reported better-than-expected Q2 sales results.

Mylan N.V. MYL shares were also up, gaining 13% to $20.79 after the company announced a business combination with Pfizer's Upjohn division. The company also reported better-than-expected Q2 results.

Equities Trading DOWN

Lexicon Pharmaceuticals, Inc. LXRX shares tumbled 72% to $1.5801 after the company received a written notice from Sanofi SNY terminating the agreement for the development and commercialization of the company's Diabetes drug candidate Sotagliflozin.

Shares of On Deck Capital, Inc. ONDK were down 27% to $2.9031 after the company reported worse-than-expected Q2 earnings and narrowed its FY19 sales guidance.

Insperity, Inc. NSP was down, falling 22% to $112.39 after the company issued Q3 EPS guidance below analyst estimates.

Commodities

In commodity news, oil traded up 1.2% to $56.85, while gold traded up 0.2% to $1,421.90.

Silver traded up 0.2% Monday to $16.435, while copper rose 1.2% to $2.7175.

Euro zone

European shares closed mostly lower today. The eurozone’s STOXX 600 rose 0.03%, the Spanish Ibex Index fell 0.11%, while Italy’s FTSE MIB Index slipped 0.59%. Meanwhile, the German DAX slipped 0.02%, and the French CAC 40 fell 0.16% while UK shares rose 1.82%.

Economics

The Dallas Fed manufacturing index rose to a reading of (6.3) in July, versus prior reading of (12.1).