Mid-Morning Market Update: Dell Continues to Rise While Lulu Lemon Takes a Hit
Following the market opening Tuesday, the Dow traded down 0.14 percent to 13,488.18 while the NASDAQ fell 0.61 percent to 3,098.18. The S&P also fell, decreasing 0.24 percent to 1,467.25.
Dell (NASDAQ: DELL) continued its rally from Monday in early trading as investor sentiment skyrocketed on the rumour that the company is in talks to go private. While the talks propelled shares higher, skeptics noted that the buyout would be so large it'd be tough even for a consortium of private equity funds.
Equities Trading UP
Express (NYSE: EXPR) traded up 19.13 percent to $16.75 after the company announced that its fourth-quarter comps would come in between unchanged and up one percent, better than the expected decline of single digits. The company also raised its EPS guidance.
Shares of Santarus (NASDAQ: SNTS) were also up, gaining 9.84 percent to $12.39 after the FDA approved the company's ulcerative colitis drug.
QLogic (NASDAQ: QLGC) saw a boost as well, rising 7.96 percent to $10.99 after the company's third-quarter report beat the street's expectations.
Equities Trading DOWN
Lululemon (NASDAQ: LULU) fell 7.55 percent to $66.84 after the company issued guidance at the high end of expectations, but not the top that analysts expected. A downgrade at Buckingham Research to Underperform could also have added to the fall.
Atmel (NASDAQ: ATML) traded down 4.73 percent to $6.64, possibly linked to the fall in Apple's share price.
Shares of PDL BioPharma (NASDAQ: PDLI) were also down, falling 3.98 percent to $7.13 after the company was downgraded to Underperform at Credit Suisse this morning.
In commodity news, oil traded down 0.08 percent to $94.06, while gold traded up 0.62 percent to $1,679.70.
Silver traded up 0.15 percent Tuesday to $31.26.
European markets remained mixed this morning as traders positioned themselves on a relatively light macro news day. The Spanish Ibex was down 0.36 percent while the Italian MIB index took an opposite stance, rising 0.41 percent.
In economic news, PPI year over year came in at 1.3 percent, below the projected 1.4 percent and the previous release of 1.5 percent, while PPI month over month was reported at -0.2 percent, lower than the anticipated -0.1 percent and the prior report of -0.8 percent.
Retail sales were also reported, coming in at 0.5 percent, above the anticipated 0.2 percent and the previous figure of 0.3 percent.
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