Skip to main content

Market Overview

Mid-Morning Market Update: Markets Open Lower; Caterpillar Posts Mixed Q4 Results

Share:

Following the market opening Friday, the Dow traded down 1.05% to 28555.19 while the NASDAQ fell 0.60% to 9242.89. The S&P also fell, dropping 0.79% to 3,257.62.

Leading and Lagging Sectors

Consumer discretionary shares climbed 2.2% on Friday. Meanwhile, top gainers in the sector included Adient plc (NYSE: ADNT), up 29%, and Deckers Outdoor Corporation (NYSE: DECK), up 10%.

In trading on Friday, energy shares fell 2.4%.

Top Headline

Caterpillar Inc. (NYSE: CAT) reported better-than-expected earnings for its fourth quarter, while sales missed views. The company also issued weak earnings forecast for 2020.

Caterpillar reported quarterly earnings of $2.63 per share on Friday, which beat the analyst consensus estimate of $2.37. The company reported quarterly sales of $13.1 billion, which missed the analyst consensus estimate of $13.41 billion.

Caterpillar sees 2020 EPS of $8.50-$10 versus the $10.63 estimate.

Equities Trading UP

Navistar International Corporation (NYSE: NAV) shares shot up 55% to $37.18 after the company announced it has received an unsolicited proposal from Traton SE regarding a potential transaction to acquire the company for $35 per share in cash.

Shares of NanoViricides, Inc. (NYSE: NNVC) got a boost, shooting up 42% to $16.98 after the company confirmed it has been developing a treatment for the novel Wuhan Coronavirus.

Syndax Pharmaceuticals, Inc. (NASDAQ: SNDX) shares were also up, gaining 32% to $8.79. Syndax reported a $35 million common stock offering and $30 million term sheet for loan with Hercules Capital.

Equities Trading DOWN

World Wrestling Entertainment, Inc. (NYSE: WWE) shares tumbled 23% to $48.14 after the company announced the Co-Presidents, George Barrios and Michelle Wilson, will depart the company. WWE also downgraded its expectations for adjusted operating income before depreciation and amortization to $180 million, from an earlier forecast of $190 million.

Shares of Identiv, Inc. (NASDAQ: INVE) were down 20% to $4.7727.

Beazer Homes USA, Inc. (NYSE: BZH) was down, falling 17% to $14.25. Wedbush downgraded Beazer Homes USA from Outperform to Neutral.

Commodities

In commodity news, oil traded up 0.4% to $52.36, while gold traded down 0.3% to $1,579.40.

Silver traded down 0.7% Friday to $17.87, while copper rose 0.1% to $2.527.

Euro zone

European shares were lower today. The eurozone’s STOXX 600 declined 0.5%, the Spanish Ibex Index fell 0.8%, while Italy’s FTSE MIB Index fell 1.4% Meanwhile, the German DAX dropped 0.4%, and the French CAC 40 fell 0.5% while UK shares fell 0.8%.

Economics

U.S. personal spending increased 0.3% in December, versus a 0.4% growth in November. Personal income rose 0.2% in December, versus a revised 0.4% gain in November.

The employment cost index rose 0.7% for the fourth quarter.

The Chicago PMI fell 5.3 points to a reading of 42.9 in January.

The University of Michigan’s consumer sentiment index rose to 99.8 in January, versus a preliminary reading of 99.1 and compared to 99.3 in December.

The Baker Hughes North American rig count report for the recent week will be released at 1:00 p.m. ET.

Data on farm prices for December will be released at 3:00 p.m. ET.

 

Related Articles (BZH + ADNT)

View Comments and Join the Discussion!

Posted-In: Mid-Morning Market UpdateEarnings News Eurozone Commodities Global Intraday Update Markets

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com