Market Overview

Mid-Afternoon Market Update: Dow Jumps 600 Points; Super Micro Computer Shares Climb On Upbeat Earnings

Share:

Toward the end of trading Wednesday, the Dow traded up 2.21% to 28,087.29 while the NASDAQ rose 3.83% to 11,588.19. The S&P also rose, gaining 2.67% to 3,459.28.

The U.S. has the highest number of coronavirus cases and deaths in the world, reporting a total of 9,385,320 cases with around 232,630 deaths. India confirmed a total of at least 8,313,870 confirmed cases and 123,610 deaths, while Brazil reported over 5,566,040 COVID-19 cases with 160,490 deaths. In total, there were at least 47,521,750 cases of COVID-19 worldwide with over 1,215,750 deaths, according to data compiled by Johns Hopkins University.

Leading and Lagging Sectors

Health care shares climbed 5.3% on Wednesday. Meanwhile, top gainers in the sector included Biogen Inc. (NASDAQ: BIIB), up 43%, and Cassava Sciences, Inc. (NASDAQ: SAVA), up 34%.

In trading on Wednesday, materials shares fell 0.8%.

Top Headline

Performance Food Group Co (NYSE: PFGC) reported better-than-expected results for its first quarter.

Performance Food reported quarterly earnings of $0.25 per share, beating analysts’ estimates of $0.14 per share. The company posted sales of $7.05 billion, surpassing expectations of $6.99 billion.

 

 

Equities Trading UP

Cassava Sciences Inc (NASDAQ: SAVA) shares shot up 29% to $11.86 after the company announced additional data from the Phase 2b study of sumifilam in patients with Alzheimer's disease. Patients treated with it showed a statistically significant treatment benefit.

Shares of Biogen Inc (NASDAQ: BIIB) got a boost, shooting 40% to $345.50 after FDA briefing documents showed company provided evidence of effectiveness to support approval of aducanumab in Alzheimer's. Wells Fargo upgraded Biogen to Overweight.

Super Micro Computer, Inc. (NASDAQ: SMCI) shares were also up, gaining 20% to $27.75 as the company reported better-than-expected results for its first quarter and issued strong earnings forecast for the current quarter. The company also announced a $50 million buyback plan..

 

Equities Trading DOWN

Repro Med Systems, Inc. (NASDAQ: KRMD) shares tumbled 30% to $4.30
after the company reported Q3 results.

Shares of RealNetworks Inc (NASDAQ: RNWK) were down 16% to $1.29 after the company reported worse-than-expected Q3 sales.

Andersons Inc (NASDAQ: ANDE) was down, falling 15% to $19.16 after the company reported Q3 results.

 

Commodities

In commodity news, oil traded up 3.7% to $39.07, while gold traded down 0.8% to $1,895.80.

Silver traded down 1.9% Wednesday to $23.865 while copper rose 0.4% to $3.1050.

Euro zone

European shares closed mostly higher today. The eurozone’s STOXX 600 rose 2.05%, the Spanish Ibex Index rose 0.45%, while Italy’s FTSE MIB Index climbed 1.96%. Meanwhile, the German DAX 30 gained 1.95%, French CAC 40 rose 2.44% and London’s FTSE 100 rose 1.67%.

Germany's Composite PMI improved to 55 for October, while the Services PMI activity fell to 49.5. Eurozone composite PMI was revised higher to 50 for October versus a preliminary estimate of 49.4.

Economics

 

The Federal Open Market Committee will begin its two-day policy meeting today.

US private businesses hired 365,000 workers in October, the ADP reported.

The US trade deficit shrank to $63.9 billion in September versus $67 billion in August.

The IHS Markit composite PMI was revised higher to 56.3 for October versus a preliminary reading of 55.

 

Related Articles (ANDE + BIIB)

View Comments and Join the Discussion!

Posted-In: Earnings News Penny Stocks Eurozone Commodities Small Cap Global Intraday Update