Mid-Afternoon Market Update: Affirm Shares Jump Following News Of Amazon Partnership; Adtran Shares Drop

Toward the end of trading Monday, the Dow traded up 0.02% to 35,462.17 while the NASDAQ rose 1.02% to 15,283.07. The S&P also rose, gaining 0.59% to 4,535.90.

The U.S. has the highest number of coronavirus cases and deaths in the world, reporting a total of 38,798,960 cases with around 637,530 deaths. India confirmed a total of at least 32,737,930 cases and 438,210 deaths, while Brazil reported over 20,741,810 COVID-19 cases with 579,300 deaths. In total, there were at least 216,465,710 cases of COVID-19 worldwide with more than 4,502,260 deaths, according to data compiled by Johns Hopkins University.

Leading and Lagging Sectors

Information technology shares gained 1.2% on Monday. Meanwhile, top gainers in the sector included Affirm Holdings, Inc. AFRM, up 42% and Support.com, Inc. SPRT up 38%.

In trading on Monday, financial shares fell by 1%.

Top Headline

Catalent, Inc. CTLT reported weaker-than-expected earnings for its second quarter on Friday. The company also announced plans to acquire Bettera, a gummy manufacturer, for $1 billion.

Catalent posted quarterly adjusted earnings of $1.16 per share, missing market estimates of $1.03 per share. The company’s quarterly sales came in at $1.19 billion, versus estimates of $1.14 billion. Catalent said it sees FY22 sales of $4.30 billion to $4.50 billion, versus analysts’ estimates of $3.94 billion.

 

Equities Trading UP

Vinco Ventures, Inc. BBIG shares shot up 46% to $7.74 on abnormally high volume amid increasing interest in the stock from retail traders.

Shares of Globalstar, Inc. GSAT got a boost, shooting 65% to $2.3622 following a note sent out by popular Apple Inc. AAPL analyst Ming Chi-Kuo that the technology giant could partner with Globalstar on bringing low-earth-orbit satellite communications functionality in the highly-anticipated iPhone 13

Affirm Holdings, Inc. AFRM shares were also up, gaining 42% to $96.42 after the company on Friday announced a partnership with Amazon.com Inc AMZN allowing customers to purchase items with an installment plan.

Check out these big movers of the day

Equities Trading DOWN

Astra Space, Inc. ASTR shares tumbled 17% to $9.73 after the company announced its LV0006 launch vehicle failed to properly launch.

Shares of 22nd Century Group, Inc. XXII were down 12% to $3.4810. 22nd Century Group announced entry into the global specialty hops market.

ADTRAN, Inc. ADTN was down, falling 14% to $21.12. ADTRAN and ADVA announced combination through all-stock transaction.

Commodities

In commodity news, oil traded up 0.5% to $69.10, while gold traded down 0.4% to $1,812.20.

Silver traded down 0.5% Monday to $23.95 while copper rose 1.1% to $4.3785.

Euro zone

European shares closed mostly higher today. The eurozone’s STOXX 600 rose 0.07%, the Spanish Ibex Index fell 0.61% and the German DAX 30 gained 0.22%. Meanwhile, the London’s FTSE 100 rose 0.32%, French CAC 40 rose 0.08% and Italy’s FTSE MIB gained 0.07%.

The economic sentiment indicator in the Eurozone declined to 117.5 in August versus an all-time high of 119.0 a month ago, while industry confidence indicator declined to 13.7 from 14.5. The consumer confidence indicator in the Eurozone was confirmed at -5.3 for August. Spain's consumer price inflation increased to 3.3% year-over-year in August from 2.9% in the prior month.

Economics

Pending home sales dropped 8.5% year-over-year in July.

The Dallas Fed manufacturing index declined to 9.0 in August from 27.3 in the prior month.

Check out the full economic calendar here