The stock markets in the United States ended the trading session with mixed results today. The Dow Jones Industrial Average (DJIA) climbed 0.30% and the S&P 500 rose 0.12%. The NASDAQ and the Russell 2000 declined 0.59% and 0.61%, respectively.
Commenting on the market trends, Kevin Caron, a market strategist and portfolio manager at Stifel Nicolaus & Co told Bloomberg, “When we have spikes in volatility, like we did at the end of August, that’s normally followed by some additional choppiness until it peters out.”
Caron added that it is not common to see such movement in the equity markets around key changes such as the monetary policy of the Federal Reserve. He said, “We still have this lingering volatility that we’re working through.”
The market experienced volatility amid confusion regarding the policy of the Federal Reserve on interest rates while concerns linger over the potential spillover of China’s economic slowdown to the global growth.
Some Federal officials are confident that the United States can withstand a higher interest rate. However, the recent market selloff in the U.S. stocks prompted Goldman Sachs equity strategist David Kostin to reduce his year-end price target for the equity benchmark to the 2,000 points level.
- Dow Jones Industrial Average (DJIA) – 16, 049.13 (+0.30%)
- S&P 500- 1,884.09 (+0.12%)
- NASDAQ- 4,517.32 (-0.59%)
- Russell 2000- 1,083.91 (-0.61%)
- EURO STOXX 50 Price EUR- 3,029.86 (-0.32%)
- FTSE 100 Index- 5,909.24 (-0.83%)
- Deutsche Borse AG German Stock Index DAX- 9,450.40 (-0.35%)
- Nikkei 225- 16,930.84 (-4.05%)
- Hong Kong Hang Seng Index- 21,556.60 (-2.97%)
- Shanghai Shenzhen CSI 300 Index- 3,178.43 (-3.81%)
Stocks in Focus
The stock price of Under Armour, a distributor of branded performance apparel, footwear and accessories, declined nearly 7% to $93.94 per share. The company recently announced its plan to accelerate its long-term revenue target of $7.5 billion by 2018, a 25% compounded annual growth rate.
OvaScience plummeted more than 40% to $8.57 per share. The global fertility company announced that it may not meet its target of 1,000 AUGMENT treatment cycles this year.
Incyte Corporation gained more than 4% to $99.59 per share. The biopharmaceutical company together with Eli Lilly announced positive top-line results from the Phase 3 study evaluating the efficacy and safety of baricitinib, a treatment for patients with moderate to severely active rheumatoid arthritis.