Stock futures drifted lower during the early session following mixed economic data. The averages opened slightly lower and drifted in a narrow range throughout the morning. After several weeks of the moving higher, the market appears to be digesting its gains. Investors remain mindful of the China trade talks being held in Washington DC and are keeping an eye out for reports pointing to any breakthrough, or breakdown, in negotiations.
ECONOMIC EVENTS: In the U.S.:
TOP NEWS: Shares of Nike (NKE) dipped 1.5% in morning trading after a sneaker made by the company and worn by Duke University star Zion Williamson split in half in a game against North Carolina. In a statement following the game, Nike said: "While this is an isolated occurrence, we are working to identify the issue."
Meanwhile, athletic equipment competitor Under Armour (UAA) is facing its own new issues after The Wall Street Journal reported that CEO Kevin Plank has been questioned by the company's board about his relationship with MSNBC anchor Stephanie Ruhle. Ruhle's relationship with the executive and company founder was "unusual and problematic" as "many people believed" the two, who are both married, were romantically involved, according to The Journal's Khadeeja Safdar.
In M&A news, Merck (MRK) announced an agreement to acquire Immune Design (IMDZ) for $5.85 per share in cash for an approximate value of $300M. Shares of the small-cap immunotherapy company, which is exploring ways to enable the body's immune system to fight cancer and other chronic diseases, jumped 309% following the takeover announcement.
In IPO news, Lyft (LYFT) reportedly plans to begin preparations for its public trading debut with a road show during the week of March 18, meaning it will outrace Uber (UBER) to be the first U.S. ride-hailing company to trade in the stock market.
MAJOR MOVERS: Among the noteworthy gainers was Avis Budget (CAR), which rose 17% after the car rental company reported better than expected quarterly results and provided guidance for fiscal 2019. Also higher after reporting quarterly results were Career Education (CECO) and Community Health (CYH), which gained a respective 21% and 11%.
Among the notable losers was Domino's (DPZ), which fell 10% after reporting downbeat quarterly results, raising its quarterly dividend, and reaffirming its 3-5 year outlook. Also lower after reporting quarterly results were Carbon Black (CBLK) and Vipshop (VIPS), which dropped 23% and 13%, respectively.
INDEXES: Near midday, the Dow was down 62.61, or 0.24%, to 25,891.83 , the Nasdaq was down 17.80(-0.24%, to 7,471.27 , and the S&P 500 was down 6.80, or 0.24%, to 2,777.90 .
Nike
-1.2 (-1.41%)
Under Armour
+0.26 (+1.22%)
Merck
+0.55 (+0.69%)
Immune Design
+4.38 (+307.37%)
Lyft
+ (+0.00%)
Uber
+ (+0.00%)
Under Armour
+0.22 (+1.15%)
Avis Budget
+5.11 (+17.41%)
Ceco Environmental
+2.855 (+20.50%)
Community Health
+0.45 (+11.06%)
Domino's Pizza
-26.65 (-9.58%)
Carbon Black
-3.82 (-23.19%)
Vipshop
-0.99 (-13.56%)