U.S. stocks finished lower Wednesday as Wal-Mart WMT, -10.04% cut its growth outlook and as a key report from the Federal Reserve offered a muted look at growth. The slide in stocks marked the first consecutive losses for the main indexes in October after a stretch of gains helped markets shake off a late-August slump.
The Dow Jones Industrial Average DJIA, -0.92% lost about 157 points, or 0.9%, to 16,924, while the S&P 500 SPX, -0.47% shed roughly 9 points, or 0.5%, to 1,994. The Nasdaq Composite was about 13 points, or 0.3%, lower to 4,782.
Stock correlations haven’t just unwound following the equity market meltdowns of August and September – they’ve come asunder, falling to the lowest level since 2007. That’s good news for active mutual fund managers, who thought they saw their year fall apart in the third quarter.
The collapse can be seen in the Chicago Board Options Exchange’s S&P 500 implied correlation index, which uses options to measure expectations about whether the U.S. equities will move in unison and on Monday slipped to the lowest level ever. The gauge is down 30 per cent after reaching a 10-month high amid the Standard & Poor’s 500 index’s August correction.
A loosening in correlations is a reason for optimism among fund managers who try to beat benchmark averages because, in theory, it increases their opportunities to find big, relative winners. Lockstep moves in equities were the norm in the last two months of the third quarter, when the S&P 500 dropped 11 per cent in a single week and volatility touched levels not seen since the financial crisis.
PTC Therapeutics, Inc. (NASDAQ:PTCT) showing jumped of +2.60% and closed at $29.98. It earnings per share (EPS) is -$3.88 and it has total market capitalization of $1.00 billion and a total of 34.27 million outstanding shares. During last trade its minimum price was $26.90 and it gained the highest price of $30.85. PTC Therapeutics, Inc. (NASDAQ:PTCT) reported that clinical data from the company’s joint development program with Roche and the SMA Foundation in spinal muscular atrophy were presented at the 20th International Congress of the World Muscle Society in Brighton, U.K. Results from the first cohort of patients enrolled in the Phase 2 ‘MOONFISH’ trial evaluating oral RG7800, a small molecule modifier of Survival Motor Neuron 2 splicing, were highlighted in a late breaking oral session.
MannKind Corporation (NASDAQ:MNKD) decreased -0.34% closed at $2.93 and traded with the average trading remained 4.31 million shares. During last trade its minimum price was $2.88 and it gained the highest price of $3.04. Its market capitalization was $1.22 billion. MannKind Corporation (NASDAQ:MNKD) a biopharmaceutical company, focuses on the discovery, development, and commercialization of therapeutic goods for diabetes in the United States. Its lead product is AFREZZA inhalation powder, an insulin to control high blood sugar in adult patients with type 1 and type 2 diabetes. MannKind Corporation was founded in 1991 and is headquartered in Valencia, California.
Esperion Therapeutics Inc (NASDAQ:ESPR) reported the decline of -1.04%, after closing price for the day was $21.96. It average volume of 1.47 million shares. Its earnings per share are -$2.23. It has total market capitalization of $499.03 million and a total of 22.49 million outstanding shares. Esperion Therapeutics Inc (NASDAQ:ESPR) a pharmaceutical company focused on rising and commercializing a first-in-class, oral therapy for low-density lipoprotein cholesterol lowering for the cure of patients with hypercholesterolemia, provided an update on the design and timing of its planned pivotal Phase 3 clinical development program following receipt of the official End-of-Phase 2 Meeting Minutes from the U.S. Food and Drug Administration.