Dow Struggles for Direction After Monday's Freefall

This post was originally published on this site

The blue-chip index is sporting a muted 47-point lead at midday

The Dow Jones Industrial Average (DJI) made a valiant attempt to bounce back from yesterday’s dismal trading, adding over 343 points at its peak, before plummeting back towards breakeven at midday. The benchmark was last seen up 47 points, while both the S&P 500 Index (SPX) and Nasdaq Composite (IXIC) are also tentatively higher.

Investors are keeping an eye on Asian markets, which began to stabilize after China’s Evergrande crisis sparked a selloff on Monday. Back in the U.S., attention is turning to the Federal Reserve’s potential tapering plans, which could be determined during the two-day meeting that kicked off today. Meanwhile, the Cboe Volatility Index (VIX) is taking a breather, after yesterday surging to its highest level since May.

Continue reading for more on today’s market, including: 

  • An encouraging vaccine development from Johnson & Johnson.  
  • Why this analyst is shining a light on Enphase Energy stock
  • Plus, HLBZ bounces back on Amazon.com deal; EDSA cools from yesterday’s surge; and options bulls blast QS after major automotive agreement.  

Helbiz Inc (NASDAQ:HLBZ), which we highlighted as one of the worst performing stocks on the Nasdaq yesterday, is the best performer today, last seen up 169.5% to trade at $38.70. An announcement that its media unit has struck a three-year streaming deal with Amazon.com (AMZN) is driving today’s price action. Users will now be able to stream Helbiz Live on Amazon Prime Video channels in Italy. No stranger to wild trading, HLBZ surged to a fresh all-time high of $41.88 earlier, toppling its Sept. 17 peak. The stock is up 285.9% this year. 

Edesa Biotech Inc (NASDAQ:EDSA) is one of the worst performing stocks on the Nasdaq today. The stock was last seen down 14.3% to trade at $10.22, as it cools from yesterday’s surge to an annual high of $12. The company yesterday said a safety panel approved a trial for its Covid-19 treatment, after finding a 68.5% reduction of fatalities in patients with severe symptoms. EDSA remains up 126.1% this year, despite today’s pullback. 

Quantumscape Corp (NYSE:QS) is seeing a surge in options volume today, with 117,000 calls and 22,000 puts across the tape — six times the intraday average. The weekly 9/24 27-strike call is getting the most attention, followed closely by the 24- and 25-strike calls from the same series, where positions are being opened. QS is up 13.4% to trade at $23.57 at midday, set for its highest close in over a month and toppling long-time pressure at the 60-day moving average, amid news the company has struck a deal with an unnamed “top 10” automaker by global revenue to test prototypes of its solid-state battery cells.