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Late Equities Roundup: Late Reversal, Pharma, Chips, Resorts Lag

US STOCKS
  • Stocks have reversed first half gains over the last couple hours, trading moderately weaker in late trade, pharmaceuticals, travel/resort and chip maker shares underperforming. Currently, the DJIA trades down 175.41 points (-0.45%) at 38820.03, S&P E-Minis down 16.75 points (-0.32%) at 5249.25, Nasdaq down 83.7 points (-0.5%) at 16282.81.
  • Health Care and Consumer Discretionary sectors continued to underperform in late trade, pharmaceuticals weighing on the former: Charles River Labs falling 1278% after earning miss coupled with drop in demand, Bio-Techne -7.15%, Dexcom Inc -7.0%. Travel/resort related shares continued to weigh on Consumer Discretionary: Airbnb -15.65% on tourism slowdown (and multiple downgrades), Carnival Corp -3.68%, Expedia -3.65%, Norwegian Cruise Line -3.61%.
  • On semiconductor stocks: Broadcom -4.31%, Nvidia -3.96%, Monolithic Power -3.68%.
  • Conversely, Energy and Utility sector shares continued to lead (but had pared gains) in late trade, a rebound in crude prices (WTI +1.88 at 75.08) supporting oil & gas stocks: Devon Energy +3.97% after better than expected earnings, Targa Resources +2.51%, Kinder Morgan +1.65%. The Utility sector buoyed by Dominion Energy +1.92%, American Electric +1.30%, PG&E +1.28%.
  • Expected earnings announcements after the close include: CF Industries Holdings, McKesson Corp, Robinhood Markets, Occidental Petroleum, AppLovin Corp, Equinix Inc, Energy Transfer LP, Duolingo Inc, Warner Bros Discovery, Zillow Group Inc, Bumble Inc, Viasat Inc, Core Scientific Inc, Monster Beverage Corp, Dutch Bros Inc, Guardant Health Inc, Leslie's Inc and HubSpot Inc.

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