Market Overview

Mid-Morning Market Update: Markets Open Lower; BlackBerry Q4 Revenue Misses Estimates


Following the market opening Friday, the Dow traded down 0.61 percent to 17,577.92 while the NASDAQ declined 0.63 percent to 4,839.40. The S&P also fell, dropping 0.69 percent to 2,045.47.

Leading and Lagging Sectors

On Friday, utilities shares slipped by just 0.3 percent. Meanwhile, top gainers in the sector included Pure Cycle Corporation (NASDAQ: PCYO), up 2 percent, and American Water Works Company Inc (NYSE: AWK), up 1 percent.

In trading on Friday, energy shares fell by 2.17 percent. Meanwhile, top losers in the sector included Whiting Petroleum Corp (NYSE: WLL), down 7 percent, and SM Energy Co (NYSE: SM), down 6 percent.

Top Headline

BlackBerry Ltd (NASDAQ: BBRY) reported a narrower-than-expected loss for its fiscal fourth quarter on Friday, but the company missed analysts' revenue expectations.

BlackBerry posted a quarterly net loss of $238 million, or $0.45 per share, versus a year-ago profit of $28 million, or $0.05 per share. The company's adjusted loss came in at $0.03 per share.

Its revenue declined around 30 percent to $464 million. However, analysts were expecting a loss of $0.10 per share on revenue of $563.18 million.

Equities Trading UP

Cardiovascular Systems Inc (NASDAQ: CSII) shares shot up 19 percent to $12.38 as the company issued a strong Q3 revenue forecast.

Shares of Tesla Motors Inc (NASDAQ: TSLA) got a boost, shooting up 7 percent to $244.71 following Thursday night's Model 3 launch event. The electric vehicle will start at a base price of $35,000 (before tax credit, which could lower the price to about $27,500 for buyers), with a range of 215 miles. Production is set to begin towards the end of 2017.

TerraForm Power Inc (NASDAQ: TERP) shares were also up, gaining 3 percent to $8.91. David Tepper's Appaloosa Capital revealed in a regulatory filing that it has increased in stake in Terraform to 10.88 percent from a prior 9.5 percent.

Equities Trading DOWN

BlackBerry Ltd (NASDAQ: BBRY) shares dropped 7 percent to $7.53. BlackBerry reported a narrower-than-expected loss for its fiscal fourth quarter, but the company missed analysts' revenue expectations.

Shares of Rovi Corporation (NASDAQ: ROVI) were down 17 percent to $16.95 as the company filed a patent infringement lawsuit against Comcast.

Marriott International Inc (NASDAQ: MAR) was down, falling around 6 percent to $66.95. The consortium led by Anbang Insurance Group Co., Ltd., and including J.C. Flowers & Co. and Primavera Capital Limited, announced Thursday that it has decided not to proceed with its proposal to acquire Starwood Hotels & Resorts Worldwide Inc (NYSE: HOT).


In commodity news, oil traded down 2.45 percent to $37.40, while gold traded down 0.22 percent to $1,232.90.

Silver traded down 0.54 percent Friday to $15.38, while copper fell 0.02 percent to $2.18.


European shares were lower today. The eurozone's STOXX 600 fell 2.15 percent, the Spanish Ibex Index dropped 1.71 percent, while Italy's FTSE MIB Index dropped 1.68 percent. Meanwhile, the German DAX declined 2.53 percent, and the French CAC 40 slipped 2.61 percent, while U.K. shares fell 1.43 percent.


The U.S. economy added 215,000 new jobs in March, while the unemployment rate increased to 5 percent from 4.9 percent. However, economists were projecting an addition of 205,000 nonfarm jobs for March.

The manufacturing PMI rose to 51.50 in March, versus a prior reading of 51.40. However, economists were expecting a reading of 51.50.

The ISM manufacturing composite index gained to 51.80 in March, versus a prior reading of 49.50. Economists were estimating a reading of 50.70.

The University of Michigan's consumer sentiment index rose to a reading of 91.00 for March, versus a previous reading of 90.00. Economists expected a reading of 90.50.

U.S. construction spending declined 0.50 percent for March, versus economists' expectations for a 0.10 percent growth.


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