Mid-Day ETF Update: ETFs, Stocks Weaken Further Following Disappointing Housing Data

By MidnightTrader.com Staff,

Shutterstock photo

Active broad market exchange-traded funds at mid-day:

SPDR S&P 500 ( SPY ): -0.26%

iPath S&P 500 VIX Short Term Futures TM ( VXX ): +1.59%, but near its 52-week low

iShares MSCI Emerging Markets Index ( EEM ): -0.20%

Financial Select Sector SPDR ( XLF ): -0.63%

ProShares Trust II ( UVXY ): +2.89%

Broad Market Indicators

Broad-market exchange-traded funds, including SPY, IWM, IVV and others, were in the red. Actively traded PowerShares QQQ (QQQ) was down 0.22%.

U.S. stocks continued to trade lower at session's half. Market sentiment weakened further after disappointing housing data, with pending home sales for February declining 0.4% - missing expectations of a 2% increase. Earlier, stocks tracked European markets lower, weighed by Italy, which released several disappointing economic reports - new industrial orders, industrial sales and retail sales data mostly missed expectations. Still ahead, several "policy doves" from the Federal Reserve are expected to speak later today.

Winners and Losers

Financial -

Select Financial Sector SPDRs ( XLF ) was down 0.63%. Direxion Daily Financial Bull 3X shares (FAS) was down 1.28%. Its bearish counterpart, FAZ, was up 1.24%.

Among financial stocks, Eastern Virginia Bankshares (EVBS) plunged 23.4% after it announced late Tuesday securities purchase agreements with affiliates of Castle Creek Capital Partners and GCP Capital Partners and certain other institutional investors.

EVBS expects to raise aggregate gross proceeds of $45 million through private placements of approximately 4.6 million shares of common stock and 5.2 million shares of a new series of non-voting mandatorily convertible non-cumulative preferred stock, each at $4.55 per share. It also plans to conduct a $5.0 million rights offering to allow existing shareholders to purchase common stock at the same purchase price per share as the investors in the private placements. Separately, it says Q4 net income was $0.09 per share, up from $0.04 a year ago.

Technology -

Tech ETFs were mostly in the red in mid-day action: Technology Select Sector SPDR ETF (XLK), down 0.33%; iShares Dow Jones US Technology ETF (IYW), down 0.37%; iShares S&P North American Technology ETF (IGM), down 0.10%; and iShares S&P North American Technology-Software Index (IGV) up 0.35%.

Among semiconductor ETFs, SPDR S&P Semiconductor (XSD) was down 0.54% and Semiconductor Sector Index Fund (SOXX) was down 0.12%.

SPDR S&P International Technology Sector ETF (IPK) was down 1.38%, touching a new 52-week low of $27.23.

In sector news, SAIC (SAI) reversed earlier weakness and was up 4.68% with a new 52-week high of $13.65%. The company reported late Tuesday Q4 earnings of $0.54 per share, versus the Capital IQ consensus of $0.48. Revenues were $2.71 bln, matching analysts' estimates. For the same period last year, the company reported a loss per share of $0.49 on revenues of $2.47 bln. The company expects FY14 EPS of $1.16 - $1.33, on revenues of $10 bln - $10.7 bln. Analysts are looking for $1.27 EPS on revenues of $10.82 bln.

Energy -

Dow Jones U.S. Energy Fund (IYE) was up 0.11% while Energy Select Sector SPDR (XLE) was up 0.21%.

In sector news, Saratoga Resources (SARA) was down 2.97%, with a new 52-week low of $2.60, after it earlier reported Q4 oil and gas sales were $22.9 million, below the Thomson Reuters mean for $23.92 million. Net loss was $0.09 per share, down from a profit a year ago. Estimates were for a $0.07 profit, if comparable.

Commodities -

Crude was down 0.2%; natural gas was up 2.388%. United States Oil Fund (USO) was down 0.23%. United States Natural Gas Fund (UNG) was up 2.23%.

Gold was up 0.51% and silver was down 0.42%. Among rare metal funds, SPDR Gold Trust (GLD) was up 0.38%; iShares Silver Trust (SLV) was down 0.4%.

Healthcare -

Healthcare ETFs Health Care SPDR (XLV), up 0.15%, with a new 52-week high of $45.42; Vanguard Health Care ETF (VHT), up 0.11%, with a new 52-week high of $81.86; and iShares Dow Jones US Healthcare (IYH), up 0.12%, with a new 52-week high of $95.22. Biotech ETF iShares NASDAQ Biotechnology Index (IBB) was up 0.50%.

In corporate news, Aastrom Biosciences (ASTM) tumbled 37.12%, sinking to a new 52-week low of $0.70, after it announced it was cutting about half of its workforce and making a strategic change in research and development programs, in a move which after a trading halt sent its shares down 37% in premarket trade.

ASTM said as part of the strategic R&D change it would stop the late-stage trial of its drug to treat critical limb ischemia. Aastrom said it would focus on the clinical development of its lead product, ixmyelocel-T, for the treatment of dilated cardiomyopathy.

Consumer -

Consumer ETFs were mostly lower, but still traded in the high end of their 52-week ranges: Consumer Staples Select Sector SPDR (XLP), up 0.12%; iShares Dow Jones US Consumer Goods (IYK), down 0.35%; and Vanguard Consumer Staples ETF (VDC), down 0.30%.

Retail ETFs were mixed: SPDR S&P Retail (XRT), down 0.28%; PowerShares Dynamic Retail (PMR), flat; and Market Vectors Retail ETF (RTH), up 0.12%, with a new 52-week high of $48.96.

In sector news, Dollar General Corp. (DG) was down 1.95% after it earlier announced an underwritten secondary public offering of 30 million common shares. The shares are being sold by certain existing shareholders. In connection with the offering, certain of the selling shareholders have granted to the underwriters an option to purchase up to 4.5 million additional shares.

Power Play -

Industrial -

Industrial ETFs were weaker: Vanguard Industrials (VIS), down 0.40%; iShares Trust Dow Jones U.S. Industrial Sector Index Fund (IYJ), down 0.36%; and Select Sector SPDR-Industrial (XLI), down 0.39%.

In corporate news, Comstock Holding Companies Inc. (CHCI) continued to surge, and was up 50.43% at last check, touching a new 52-week high of $1.96, after reporting fourth quarter net loss of $2 million, or $0.10 per share, on total revenue of $2.6 million. In the same period last year, net loss was $2.7 million, or $0.14 per share, on total revenue of $6.1 million. No analyst estimates were available for comparison.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Copyright (C) 2014 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.

This article appears in: Investing Commodities
Referenced Stocks: EEM , SPY , UVXY , VXX , XLF

More from MT Newswires


MT Newswires

MT Newswires

Follow on:

Find a Credit Card

Select a credit card product by:
Select an offer:
Data Provided by BankRate.com