Mid-Morning Market Update: Markets Open Lower; EU Slaps Google Parent Alphabet With $2.7 Billion Fine

Following the market opening Tuesday, the Dow traded down 0.03 percent to 21,402.25 while the NASDAQ declined 0.41 percent to 6,221.76. The S&P also fell, dropping 0.13 percent to 2,435.90.

Leading and Lagging Sectors

Basic materials shares rose by 0.62 percent in the US market on Tuesday. Top gainers in the sector included Handy & Harman Ltd (NASDAQ: HNH ), SurModics, Inc. (NASDAQ: SRDX ), and Cliffs Natural Resources Inc (NYSE: CLF ).

In trading on Tuesday, technology shares fell by 0.53 percent. Meanwhile, top losers in the sector included Camtek LTD. (NASDAQ: CAMT ), down 8 percent, and Seagate Technology PLC (NASDAQ: STX ), down 5 percent.

Top Headline

Alphabet Inc (NASDAQ: GOOG ) (NASDAQ: GOOGL ) was slapped with a $2.7 billion fine from the European Union.

The EU's antitrust body confirmed in a press release it has fined Google's parent company $2.7 billion for what it believes is unfair treatment of its own search services over its rivals. As a market leader in internet search, Google is giving an unfair and illegal advantage to its own comparison shopping service.

Equities Trading UP

Handy & Harman Ltd (NASDAQ: HNH ) shares shot up 12 percent to $31.94 after Steel Partners Holdings LP (NYSE: SPLP ) agreed to acquire the remaining outstanding shares of Handy & Harman.

Shares of Strongbridge Biopharma plc (NASDAQ: SBBP ) got a boost, shooting up 11 percent to $6.59 as the company disclosed that it has completed its enrollment target of 90 patients in the Phase 3 SONICS study evaluating RECORLEV™ for the treatment of endogenous Cushing's syndrome.

Sprint Corp (NYSE: S ) shares were also up, gaining 6 percent to $8.47 after Wall Street Journal reported a possible wireless partnership with Charter and Comcast.

Equities Trading DOWN

Alder Biopharmaceuticals Inc (NASDAQ: ALDR ) shares dropped 19 percent to $15.10 despite PROMISE 1 Phase 3 trial which met primary and secondary endpoints. Several notable parts of data set were concerning, namely statistical significance for 100mg dose, and against placebo.

Shares of Ra Pharmaceuticals Inc (NASDAQ: RARX ) were down 28 percent to $15.95 after the company issued updates on Phase 2 trial of RA101495.

Xenon Pharmaceuticals Inc (NASDAQ: XENE ) was down, falling around 20 percent to $3.03 after the company reported results from Phase II study of TV-45070 in patients with PHN. The study did not meet primary and secondary endpoints.


In commodity news, oil traded up 1.08 percent to $43.85 while gold traded up 0.26 percent to $1,249.60.

Silver traded up 0.26 percent Tuesday to $16.675, while copper rose 0.36 percent to $2.648.


European shares were lower today. The eurozone's STOXX 600 declined 0.67 percent, the Spanish Ibex Index fell 0.26 percent, while Italy's FTSE MIB Index dropped 0.29 percent. Meanwhile the German DAX declined 0.65 percent, and the French CAC 40 slipped 0.72 percent while U.K. shares fell 0.11 percent.


The Johnson Redbook Sales Index rose 0.6 percent during the first four weeks of June versus May.

The Conference Board's consumer confidence index increased to 118.90 in June, versus previous reading of 117.90. Economists expected a reading of 116.90.

The Richmond Fed's manufacturing index rose to 7.00 in June, versus a prior reading of 1.00.

Philadelphia Federal Reserve Bank President Patrick Harker will speak in London at 11:15 a.m. ET.

The Treasury is set to auction 4-week bills at 11:30 a.m. ET.

Federal Reserve Chair Janet Yellen is set to speak in London at 1:00 p.m. ET.

The Treasury will also auction 5-year notes at 1:00 p.m. ET.

Minneapolis Federal Reserve Bank President Neel Kashkari will speak in Houghton, Michigan at 5:30 p.m. ET.

© 2017 Benzinga does not provide investment advice. All rights reserved.

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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.

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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