Financial Sector Update for 01/02/2018: NETE,SNH,DB

Top Financial Stocks

JPM +0.27%

BAC +0.69%

WFC +0.45%

C +0.06%

USB +0.54%

Financial stocks were straddling their break-even marks to begin the new year Tuesday, with the NYSE Financial Sector Index rising about 0.1% while financial companies in the S&P 500 Index were falling almost 0.3%. Also, the Philadelphia Housing Sector Index was unchanged Tuesday afternoon.

In economic news:

US manufacturing activity grew by 1.2 points over the prior month to a 55.1 reading during December, adding slightly to the 55.0 flash reading for the Markit purchasing managers index earlier last month. The December final reading reflects an acceleration in new orders and production growth as well as a rise in backlogs to a two-year high and employment reaching a three-year high last month. Business confidence was described as robust. Input costs rose on supply chain delays during December although the increase in selling prices slowed somewhat. The report also found marginal growth in export sales.

Among financial stocks moving on news:

+ Net Element ( NETE ) was surging Tuesday, jumping over 39% to a session high of $15.50 a share and ending a six-day slump for its stock, after the financial-technology company announced a $7.55 million private placement of restricted common stock and warrants to support blockchain development at the company. The buyers, New York-based Esousa Holdings LLC, purchased 350,533 shares at $11.245 apiece in the Dec. 29 deal, a 3.4% discount to the stock's Dec.28 closing price. It also received warrants to buy up to 210,320 additional shares at $11.12 each.

In other sector news:

+ Senior Housing Properties Trust ( SNH ) was higher after the real estate investment trust Tuesday morning said it expects to pocket a net gain of around $308 million from the sale of four of its senior living communities. The facilities contain a combined 1,179 living units and are leased to Sunrise Assisted Living through Dec. 31, 2023. The company completed the sale of its senior-living facility in Arlington, Va., on Friday, Dec. 29, and is expecting to close on the remaining properties by March 31.

+ Deutsche Bank AG ( DB ) advanced nearly 1.5% after CEO John Cryan reportedly said the German financial-services company will resume regular bonus payments for employees in 2018.

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

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

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