Mid-Morning Market Update: Markets Mixed; General Mills Beats Q1 Estimates

Following the market opening Wednesday, the Dow traded up 0.18% to 27337.78 while the NASDAQ fell 0.60% to 10,898.39. The S&P also fell, dropping 0.18% to 3,309.51.

The U.S. has the highest number of coronavirus cases and deaths in the world, reporting a total of 6,897,490 cases with around 200,810 deaths. India confirmed a total of at least 5,646,010 confirmed cases and 90,020 deaths, while Brazil reported over 4,591,360 COVID-19 cases with 138,100 deaths. In total, there were at least 31,638,070 cases of COVID-19 worldwide with over 971,480 deaths, according to data compiled by Johns Hopkins University.

Leading and Lagging Sectors

Industrial shares climbed 0.7% on Wednesday. Meanwhile, top gainers in the sector included Dycom Industries, Inc. DY, up 3%, and CIRCOR International, Inc. CIR, up 3%.

In trading on Wednesday, information technology shares tumbled 0.9%.

Top Headline

General Mills, Inc. GIS reported better-than-expected results for its first quarter.

General Mills reported quarterly earnings of $1.00 per share, exceeding analysts’ estimates of $0.86 per share. The company reported sales of $4.40 billion, surpassing expectations of $4.21 billion. General Mills raised its quarterly dividend from $0.49 to $0.51 per share.

Equities Trading UP

Adicet Bio, Inc. ACET shares shot up 21% to $12.35 after the company announced it will not be proceeding with its previously announced public offering of common stock.

Shares of American Well Corp AMWL got a boost, shooting 17% to $28.91. American Well, last week, priced its IPO at $18 per share.

MediciNova, Inc. MNOV shares were also up, gaining 14% to $6.32 after the company said its intranasal SARS-CoV-2 vaccine prototype for COVID-19, using BC-PIV technology, successfully induced systemic serum IgG and mucosal IgA neutralizing antibodies against the S1 antigen (Ag) of SARS-CoV-2 in mice.


Equities Trading DOWN

AC Immune SA ACIU shares tumbled 42% to $5.08 after the company said Roche Holding’s Genentech unit informed top line results from a Phase 2 trial of the anti-Tau antibody, semorinemab, in early Alzheimer's disease, showing the investigational asset did not meet its primary efficacy endpoint as well as two secondary endpoints.

Shares of Wave Life Sciences Ltd. WVE were down 33% to $10.59 as the company said it has priced its underwritten public offering of 8.33 million of its ordinary shares at $12 per share. All of the shares in the offering are to be sold by Wave Life Sciences.

Usio, Inc. USIO was down, falling 27% to $1.65. Usio reported pricing of $8 million underwritten public offering.

Commodities


In commodity news, oil traded up 0.3% to $39.93, while gold traded down 0.6% to $1,896.00.

Silver traded down 3.1% Wednesday to $23.760 while copper fell 0.7% to $3.0395.

Euro zone

European shares were higher today. The eurozone’s STOXX 600 gained 1.4%, the Spanish Ibex Index rose 1.8%, while Italy’s FTSE MIB Index gained 1.4%. Meanwhile, the German DAX 30 climbed 1.7%, French CAC 40 climbed 1.9% and London’s FTSE 100 rose 2.3%.

German manufacturing PMI increased to 56.6 in September versus 52.2 in August, while services PMI declined to 49.1 in September from previous reading of 52.5. Spain’s GDP contracted by 17.8% on quarter during the three months to June.

Economics

The FHFA house price index rose 1% in July.

The IHS Markit services PMI declined to 54.6 in September versus 55.0 in the earlier month, while manufacturing PMI rose to 53.5 in September compared to 53.1 in August.

The Energy Information Administration’s weekly report on petroleum inventories in the U.S. will be released at 10:30 a.m. ET.

Federal Reserve Bank of Chicago President Charles Evans is set to speak at 11:00 a.m. ET.

Federal Reserve Bank of Boston President Eric Rosengren will speak at 12:00 p.m. ET.

Federal Reserve Bank of Atlanta President Raphael Bostic is set to speak at 1:00 p.m. ET.

Federal Reserve Bank of Minneapolis President Neel Kashkari will speak at 1:00 p.m. ET.

The Treasury is set to auction 5-year notes at 1:00 p.m. ET.

Federal Reserve Bank of San Francisco President Mary Daly is set to speak at 3:00 p.m. ET.