) eagerly anticipated IPO failed to generate any follow-through
demand for the broader markets as stocks limp into negative
territory despite what looked earlier like a continuation of
yesterday's late rally to record highs. Stocks futures were
resoundingly higher prior to the open following a rate cut by the
European Central Bank and from investor excitement the $1.8 billion
initial public offering by the social-networking giant.
TWTR shares opened at $45.10 each, or about 80% above its IPO
price of $26 and climbing as high as $50.09 over the past hour. At
last look, shares were fetching $45.56 apiece.
The fascination with the TWTR IPO overshadowed this morning's
economic data which included a much better than expected 2.8%
growth rate for Q3 GDP as well as a 9,000 drop in initial jobless
claims, both of which weigh in favor for a QE taper into early
2014. Although Treasury yields pulled back on the above consensus
GDP, the data had little initial impact on equities in pre-market
European equities popped higher on the ECB rate cut, but the
rally is losing steam in sympathy with U.S. markets, as well as the
realization that the rate cut was offered to stimulate a sluggish
economy and developing deflation. The Bank of England kept UK rates
unchanged even though inflation and manufacturing data hinted at a
possible rate hike.
Crude oil was down $0.79 to $94.01 per barrel. Natural gas was
up $0.06 to $3.63 per 1 million BTU. Gold was down $6.40 to
$1,311.70 an ounce, while silver was down $0.08 to $21.69 an ounce.
Copper was unchanged at $3.24 per pound.
Among energy ETFs, the United States Oil Fund was down 0.73% to
$33.94 with the United States Natural Gas Fund was up 1.56% to
$17.62. Amongst precious-metal funds, the Market Vectors Gold
Miners ETF was down 0.76% to 24.62 while SPDR Gold Shares were down
0.61% to $126.42. The iShares Silver Trust were down 0.53% to
Here's where the markets stand at mid-day:
NYSE Composite Index down 41.14 (-0.41%) to 10,018.32
Dow Jones Industrial Average down 19.87 (-0.13%) to
S&P 500 down 6.65 (-0.38%) to 1,763.84
Nasdaq Composite Index down 36.45 (-0.93%) to 3,895.50
GLOBAL SENTIMENT Nikkei 225 Index down 0.76%
Hang Seng Index down 0.68%
Shanghai China Composite Index down 0.48%
FTSE 100 Index down 0.66%
CAC 40 down 0.14%
DAX up 0.44%
NYSE SECTOR INDICES
NYSE Energy Sector Index down 0.52%
NYSE Financial Sector Index down 0.35%
NYSE Healthcare Sector Index down 0.21%
(+) TWTR (+75.2%) The stock was sold at $45.10 versus the
offering price of $26.00
(+) GERN (+66.7%) Releases supportive Mayo Clinic study of its
imetelstat drug candidate in treating myelofibrosis. Results
included four patients with complete remission and another patient
having a partial remission.
(+) UNXL (+9.6%) Received its first purchase order from their
lead PC OEM partner for its revolutionary InTouch Sensors
(-) TSLA (-7.6%) The electric-car manufacturing confirmed a
third fire involving its Model S
(-) NDLS (-8.1%) Although Q3 profit soared as a result of new
restaurant openings and rising demand at established locations,
revenue of $88.9 million was below analyst estimates of $91
(-) BIOS (-15.9%) The company broke even on an adjusted basis in
Q3, compared with income of $0.04 a year earlier and falling short
of expectations for $0.03, according to Capital IQ.
NVTL (-24.57%) Revenue came in weaker than expected and the
company projected Q4 revenue well below analysts' estimates while
warning of increased competition at a customer in the
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