The Dow is 57 points lower at midday
The Dow Jones Industrial Average (DJI) is 57 points lower at midday, reversing this morning's gains despite the 10-year Treasury yield falling to a three-month low of 1.44%. The S&P 500 Index (SPX) is also slightly below breakeven, following yesterday's record. Meanwhile, the Nasdaq Composite (IXIC) is sporting modest gains, as FAANG names make headway. For the week, the S&P 500 and Nasdaq are eyeing substantial wins, while the Dow is staring at a loss.
Continue reading for more on today's market, including:
- Pharma name plummets after ditching experimental drug.
- Biogen stock blasted with bull notes after controversial FDA decision.
- Plus, VXRT enjoys fresh analyst coverage; Novan stock soars on upbeat drug data; and RCON reverses course.
Biotechnology concern Vaxart Inc (NASDAQ:VXRT), which was last seen up 28% to trade at $9.18, is seeing an unusual amount of options activity today, after Piper Sandler initiated coverage of the security with an "overweight" rating and $18 price target. So far, 159,000 calls and 27,000 puts have exchanged hands -- 23 times the intraday average. Most popular is the weekly 6/11 9-strike call, followed by the 9.50-strike call in the same series, with new positions currently being opened at both. In other words, buyers expect more upside for VXRT by the end of the day. Today's pop has helped the equity break through overhead pressure at the $8 mark, which had been in place since early May. And while shares are still far from a Feb. 2, six-year high of $24.90, VXRT is up 308.3% year-over-year.
Near the top of the Nasdaq today is Novan Inc (NASDAQ:NOVN), up 96.2% at $17.74 at last check. Today's massive bull gap came after the company announced its antiviral gel for treatment of contagious skin infection molluscum contagiosum met the main goal of a late-stage trial, with positive safety and efficacy data. The security is now trading at its highest level since March, and is eyeing its biggest percentage jump in over a year. The positive price action has also placed shares above the 80-day moving average, which had been pressuring NOVN lower since April. Year-over-year, the security is up more than 327%.
Meanwhile, towards the bottom of the Nasdaq today is Recon Technology, Ltd. (NASDAQ:RCON).The security is down 43.8% at $7.17 this afternoon, despite earlier surging to a three-year high of $17.50 after the company said its subsidiary, Beijing BHD Petroleum Technology Limited, signed two contracts with Sinopec's (SNP) North China E&P Company for a total of $5 million. However, the company's unprofitability and declining revenues seems to be weighing on shares. The equity is now pacing for it worst day on record, though the 140-day moving average seems to have stepped in to contain further losses. In the last nine months, RCON has added 717.4%, though.