Nasdaq Drops 100 Points; DWAC Shares Plummet
U.S. stocks traded lower midway through trading, with the Nasdaq dropping over 100 points on Tuesday. All the three major indices recorded their third weekly loss in a row, with the Dow dropping around 3%, and the S&P 500 down around 3.3%.
The Dow traded down 0.62% to 31,122.76 while the NASDAQ fell 0.92% to 11,523.57. The S&P 500 also fell, dropping, 0.58% to 3,901.65.
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Leading and Lagging Sectors
Utilities shares jumped by 1.2% on Tuesday. Meanwhile, top gainers in the sector included Enel Chile S.A. (NYSE:ENIC), up 8% and Azure Power Global Limited (NYSE:AZRE) up 7%.
In trading on Tuesday, energy shares fell by 1%.
Top Headline
The ISM services index climbed to 56.9 in August from previous reading of 56.7.
Equities Trading UP
- ChannelAdvisor Corporation (NYSE:ECOM) shares shot up 55% to $22.76 after the company announced it will be acquired by CommerceHub for $23.10 per share.
- Shares of IVERIC bio, Inc. (NASDAQ:ISEE) got a boost, shooting 56% to $14.69 after the company announced positive data from the second Phase 3 trial of Zimura (avacincaptad pegol) for geographic atrophy (GA).
- HyreCar Inc. (NASDAQ:HYRE) shares were also up, gaining 68% to $1.3487 after the company announced it has received a $100 million revolving line of credit from a premier global investment bank and Medalist Partners
Equities Trading DOWN
- Eiger BioPharmaceuticals, Inc. (NASDAQ:EIGR) shares tumbled 26% to $6.30 after the company provided an update on the status of its planned request for EUA of peginterferon lambda, saying "the agency has indicated that it is not yet able to determine whether the criteria for the submission of an application and issuance of an EUA are likely to be met."
- Shares of Allena Pharmaceuticals, Inc. (NASDAQ:ALNA) were down 24% to $0.0799 after the company announced it has filed for bankruptcy.
- Digital World Acquisition Corp (NASDAQ:DWAC) was down, falling 16% to $20.88 following reports suggesting the shareholders have rejected the special purpose acquisition company's proposal to extend the deadline by a year for its merger with Donald Trump's Trump Media & Technology.
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Commodities
In commodity news, oil traded up 0.1% to $86.88, while gold traded down 0.5% at $1,713.70.
Silver traded up 0.6% to $17.99 on Tuesday while copper rose 1.2% to $3.4540.
Euro zone
European shares were higher today. The eurozone’s STOXX 600 rose 0.4%, London’s FTSE 100 rose 0.32%, while Spain’s IBEX 35 Index rose 0.05%. The German DAX climbed 1.01%, French CAC 40 rose 0.36% and Italy’s FTSE MIB Index rose 0.17%.
The S&P Global Eurozone construction PMI dropped to 44.2 in August from 45.7 in the prior month. The S&P Global German construction PMI dropped to 42.6 in August from 43.7 in the previous month, while factory orders in the country dropped 1.1% month-over-month in July.
French construction PMI slipped to 48.2 in August from 48.6 a month ago. Retail sales in the UK rose by 0.5% on a like-for-like basis during August from a year earlier, compared to a 1.6% increase in July.
Economics
- The S&P Global US services PMI was revised lower to 43.7 in August compared to a preliminary level of 44.1, and also down from 47.3 a month ago.
- The ISM services index climbed to 56.9 in August from previous reading of 56.7.
- The Treasury will auction 52-week bills at 1:00 p.m. ET.
COVID-19 Update
The U.S. has the highest number of coronavirus cases and deaths in the world, reporting a total of 96,643,170 cases with around 1,072,970 deaths. India confirmed a total of at least 44,466,860 cases and 528,030 deaths, while France reported over 34,596,180 COVID-19 cases with 154,270 deaths. In total, there were at least 610,904,220 cases of COVID-19 worldwide with more than 6,505,480 deaths.