9 Min Read
(For faster updates on individual market-movers, Eikon users please use search string "STXBZ US"; for the Day Ahead newsletter, link.reuters.com/mex49s; for the Morning News Call newsletter, link.reuters.com/nex49s) Wall Street was down more than 1 percent for the second day in a row as the continued decline in the yuan exacerbated fears about a global economic slowdown. The S&P 500 hit a one-month low and briefly turned negative for the year in morning trading on Wednesday, while the Dow fell to a six-month low.
The Dow Jones industrial average was down 1.41 percent at 17,156.72, the S&P 500 was down 1.35 percent at 2,056.03 and the Nasdaq Composite was down 1.54 percent at 4,959.006.
** GLOBAL BLOOD THERAPEUTICS INC, $38.55, +92.75 pct
The company's stock opened up $34.65 in its debut and went on to touch a session high of $40.99, more than double its IPO price of $20.
** ALIBABA GROUP HOLDING LTD, $72.3, -6.52 pct
** YAHOO INC, $33.96, -5.75 pct
China's biggest e-commerce company's quarterly revenue rose 28 percent, missing analysts' estimates, with growth slowing to its lowest rate in more than three years.
Yahoo has a 15 percent stake in Alibaba.
** CITIGROUP INC, $56.165, -2.56 pct
** BANK OF AMERICA CORP, $17.23, -3.15 pct
** JPMORGAN CHASE & CO, $66.14, -3.06 pct
** WELLS FARGO & CO, $56.42, -1.38 pct
** MASTERCARD INC, $95.32, -1.93 pct
"U.S. Banks are getting hit in general - and its a little more severe for international and capital markets centric players," Sandler O'Neill analyst Jeffery Harte said.
The Chinese devaluation is bringing economic growth concerns to the surface again and also casting some doubts on how soon the Fed will raise interest rates," Harte said.
** CLEVELAND BIOLABS INC, $3.83, -17.81 pct
The drug developer second-quarter revenue halved to $300,000, mainly due to sale of stake in joint venture Incuron LLC.
** GENERAL MOTORS CO, $30.36, -1.52 pct
** FORD MOTOR CO, $14.47, -1.56 pct
** FIAT CHRYSLER AUTOMOBILES NV, $15.3, -6.48 pct
** CATERPILLAR INC, $77.2, -1.08 pct
Shares of U.S. automakers and industrials fell after China devalued the yuan. The currency move exacerbates fears of a weakening demand and fresh data on Wednesday showed weaker-than-expected growth in China's July factory output, investment and retail sectors.
** ALCOA INC, $9.28, -2.11 pct
** AK STEEL HOLDING CORP, $3.05, -4.09 pct
** UNITED STATES STEEL CORP, $18.78, -3.59 pct
** STEEL DYNAMICS, $19.825, -5.19 pct
** NUCOR, $44.21, -2.36 pct
The yuan devaluation increases the risk that demand for metals will weaken further, hurting miners and metal companies.
** CERES INC, $2.6, +172.94 pct
The agricultural biotech company got a U.S. patent for its iCODE technology, which allows it to usage of plant cell's own gene-shuffling system to create thousand of test plants.
** CELLADON CORP, $1.0381, -7.31 pct
The drugmaker's second-quarter consolidated net loss widens to $16.5 million from $6.9 million a year earlier. Celladon said in June it may liquidate if it was unable to find a buyer after its gene therapy, Mydicar, failed in a key mid-stage trial.
** MACYS INC, $63.92, -5.35 pct
The company, which operates Macy's stores and the Bloomingdale's chain, lowered its full-year sales forecast on Wednesday and reported weaker-than-expected quarterly results, hurt by heavy discounts and a strong dollar that curbed spending by foreign tourists.
** ARCOS DORADOS HOLDINGS INC, $3.77, -14.12 pct
The world's largest McDonald's franchisee reported lower-than-expected Q2 profit and revenue on Tuesday, hurt by currency headwinds, particularly from the Brazilian real.
Bank of America Merrill Lynch downgraded the stock to "underperform".
** SOLAR3D INC, $3.73, +5.07 pct
The solar cell maker said it would buy Durham, California-based solar systems provider Elite Solar for about $7.2 million.
** P&F INDUSTRIES INC, $9.6, +12.81 pct
The air-powered tools provider said its second-quarter revenue rose about 24 percent to $22.6 million, helped by strong sales of its pneumatic tools and acquisitions.
** HACKETT GROUP INC, $14.35, +13.35 pct
The consultancy firm forecast third-quarter revenue and profit above analysts' estimates and second-quarter profit beat estimates despite forex pressures. Brokerage Craig Hallum raised its price target to $15 from $11.
** FRESHPET INC, $13.24, -9.32 pct
The natural pet-food maker maintained its full-year sales forecast, but that fell short of estimates. This despite posting better-than-expected Q2 sales.
** ELEVEN BIOTHERAPEUTICS INC, $4.61, +97.01 pct
The drug developer said that first patients have been dosed in a late-stage trial of its experimental drug to treat moderate to severe allergic conjunctivitis. Eleven Biotherapeutics expects to report data from trial in Q1 2016.
** SKYWORKS SOLUTIONS INC, $87.5948, -1.55 pct
The chipmaker is the most exposed to China among the S&P 500 components, with roughly 83 percent of its revenue coming from the country, according to Goldman.
** FIDELITY NATIONAL INFORMATION SERVICES INC, $69.85, +7.35 pct
The financial industry software maker said it would buy SunGard Data Systems Inc for $9.1 billion including debt, scooping up one of the longest-held investments in private-equity history.
** WAYFAIR INC, $45.82, +20.04 pct
The online home-furnishing retailer reported a 66.4 percent revenue growth for the second quarter, helped by a 53.5 percent jump in its active customer count. The company said it was helped by an advertising plan that allows it to "attract higher value customers with a propensity for repeat purchases".
** NEWMONT MINING CORP, $18.12, +6.40 pct
** COEUR MINING INC, $3.72, +15.53 pct
** SILVER WHEATON CORP, $14.09, +6.74 pct
** BARRICK GOLD CORP, $8.07, +5.08 pct
** KINROSS GOLD CORP, $2.145, +3.62 pct
** GOLDCORP INC, $15.29, +5.59 pct
Gold rose for a fifth session in a row, hitting a fresh three-week high, as China's currency devaluation sparked fears of a currency war and hit global equities, prompting some investors to seek assets perceived as safer such as gold.
** GENERAL ELECTRIC, $25.495, -0.84 pct
** CAPITAL ONE FINANCIAL CORP, $79.77, -1.36 pct
GE said it would sell its U.S. healthcare finance unit to the credit card lender for about $9 billion as it winds down its finance arm and returns to its industrial roots.
** AMERICAN APPAREL INC, $0.138, -34.25 pct
The loss-making teen apparel retailer said it does not expect to have sufficient funds to keep the business running for the next 12 months, warning shareholders may lose some or all of their investments and it may not be able to raise additional capital.
** INC RESEARCH HOLDINGS INC, $44.4, -7.88 pct
The contract drug research company's top two holders, Avista Capital Partners and Ontario Teachers' Pension Board, cut stakes to 51 percent from 67.5 percent via an 8 million Class A shares secondary offering.
Sources say bookrunners marketed block in $44.75-$45.25 range, roughly 6-7 percent discount to Tuesday's $48.20 close.
** FOSSIL GROUP INC, $60.84, -2.04 pct
The watch, jewelry and accessories maker cut its full-year 2015 sales forecast, citing a stronger dollar and cut its profit forecast, citing restructuring charges. The company's Q2 revenue missed analysts' expectations due to a strong dollar and weak demand for its watches.
** CDK GLOBAL INC, $50.74, +4.53 pct
The IT provider, which caters to auto dealers, is exploring a sale to private equity firms and is working with Morgan Stanley, Bloomberg reports. (bloom.bg/1TqZ68u)
** FREEPORT-MCMORAN INC, $10.13, -0.88 pct
The U.S. miner has stopped exporting since last month from one of the world's largest copper mines that it runs in Indonesia, a spokesman said, as the company awaits approval from the trade ministry.
** MCDONALD'S CORP, $97.28, -1.55 pct
The Japan unit of the fast-food chain said it slid deep into losses in the first six months of the year, as customers stayed away after a string of safety scandals and the fast-food chain booked store closure and other restructuring costs.
** CHS INC, $30.2991, +0.23 pct
** CF INDUSTRIES HOLDINGS INC, $60, +5.32 pct
U.S.-based agribusiness CHS said it will invest $2.8 billion in a unit of U.S. fertilizer producer CF to secure nitrogen fertilizer supplies.
This is the third deal in a week in the highly fragmented global fertilizer industry, which is trying to cope with weak prices caused by excess supply. (Complied by Anya George Tharakan in Bengaluru; Editing by Savio D'Souza)