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Mid-Afternoon Market Update: Dow Jumps Over 150 Points; Auris Medical Shares Plummet

LDWY, NL, MARA, PZRXQ

Toward the end of trading Tuesday, the Dow traded up 0.68 percent to 23,741.97 while the NASDAQ climbed 0.25 percent to 6,895.35. The S&P also rose, gaining 0.62 percent to 2,617.47.

Leading and Lagging Sectors

Tuesday afternoon, the industrial sector proved to be a source of strength for the market. Leading the sector was strength from NL Industries Inc (NYSE: NL) and Ascent Capital Group Inc (NASDAQ: ASCMA).

In trading on Tuesday, technology shares rose by just 0.2 percent. Meanwhile, top losers in the sector included Advanced Semiconductor Engnrng Inc (ADR) (NYSE: ASX), down 6 percent, and Bitauto Hldg Ltd (ADR) (NYSE: BITA) down 6 percent.

Top Headline

Roark Capital, a private equity investment firm that owns various restaurant chains including Auntie Anne's, CKE Restaurants, Moe's Southwest Grill, among others, offered to buy Buffalo Wild Wings for around $150 per share earlier in November. On Tuesday, Buffalo Wild Wings accepted a revised offer of $157 per share, which values the chicken wing chain just shy of $3 billion.

Buffalo Wild Wings will operate as a privately-held subsidiary of Arby's Restaurant Group and operate as an independent brand.

The price tag implies a premium of around 38 percent to Buffalo Wild Wings' 30-day volume-weighted average stock price as of November 13, the last trading day prior to Roark Capital's public approach.

Equities Trading UP

PhaseRx Inc (NASDAQ: PZRX) shares shot up 71 percent to $1.13 after the company disclosed that it has received a position opinion for orphan drug designation for PRX-ASL from the EMA.

Shares of Apollo Endosurgery Inc (NASDAQ: APEN) got a boost, shooting up 52 percent to $6.18 after the company disclosed that it has received FDA clearance for OverStitch Sx.

Thor Industries, Inc. (NYSE: THO) shares were also up, gaining 13 percent to $154.01 after the company reported stronger-than-expected results for its first quarter on Monday.

Equities Trading DOWN

Auris Medical Holding AG (NASDAQ: EARS) shares dropped 50 percent to $0.411. Auris Medical disclosed that its HEALOS Phase 3 trial did not meet its primary efficacy endpoint. The company also reported Q3 loss of CHF $0.14 per share.

Shares of Insignia Systems, Inc. (NASDAQ: ISIG) were down 20 percent to $1.41. Insignia Systems announced a 2.313 million share common stock offering via selling holders.

Marathon Patent Group Inc (NASDAQ: MARA) was down, falling around 38 percent to $4.01 after climbing 9.41 percent on Monday.

Commodities

In commodity news, oil traded down 0.55 percent to $57.79 while gold traded up 0.07 percent to $1,299.80.

Silver traded down 1.13 percent Tuesday to $16.925, while copper fell 1.84 percent to $3.0995.

Eurozone

European shares closed higher today. The eurozone’s STOXX 600 surged 0.56 percent, the Spanish Ibex Index rose 0.81 percent, while Italy’s FTSE MIB Index jumped 0.52 percent. Meanwhile the German DAX gained 0.46 percent, and the French CAC 40 climbed 0.57 percent while U.K. shares rose 1.04 percent.

Economics

The U.S. trade deficit in goods rose 6.5 percent to $68.3 billion in October. However, economists were expecting a $65 billion deficit. Wholesale inventories dropped 0.40 percent for October.

The Johnson Redbook Retail Sales Index dropped 0.2 percent during the first four weeks of November versus October.

The S&P Corelogic Case-Shiller home price index rose 0.5 percent for September, versus economists’ expectations for a 0.4 percent growth.

The Conference Board’s Consumer Confidence Index rose to 129.50 for November, versus previous reading of 125.90. However, economists were projecting a reading of 124.00.

The Richmond Fed's manufacturing index surged to 30.00 in November, versus prior reading of 12.00. Economists estimated a reading of 14.00.



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