Mid-Morning Market Update: Markets Edge Higher; Kimberly Clark Cuts FY21 Forecast

Following the market opening Monday, the Dow traded up 0.07% to 35,700.45 while the NASDAQ rose 0.31% to 15,136.85. The S&P also rose, gaining 0.08% to 4,548.74.

The U.S. has the highest number of coronavirus cases and deaths in the world, reporting a total of 46,312,780 cases with around 756,360 deaths. India confirmed a total of at least 34,189,770 cases and 454,740 deaths, while Brazil reported over 21,729,760 COVID-19 cases with 605,680 deaths. In total, there were at least 244,513,860 cases of COVID-19 worldwide with more than 4,965,680 deaths, according to data compiled by Johns Hopkins University.

Leading and Lagging Sectors

Energy shares gained by 1.8% on Monday. Meanwhile, top gainers in the sector included HighPeak Energy, Inc. (NASDAQ: HPK), up 13% and Gevo, Inc. (NASDAQ: GEVO) up 8%.

In trading on Monday, consumer staples shares fell 0.3%.

Top Headline

Kimberly Clark Corp (NYSE: KMB) reported weaker-than-expected results for its third quarter, while sales exceeded views. The company also lowered its forecast for FY21.

Kimberly Clark Corp (NYSE: KMB) reported third-quarter FY21 sales growth of 7% year-on-year, to $5.01 billion, beating the analyst consensus of $4.99 billion. Adjusted EPS of $1.62 missed the analyst consensus of $1.65.

Citing higher input cost inflation, Kimberly Clark has cut its FY21 adjusted EPS outlook to $6.05 - $6.25 (prior view $6.65 - $6.90) against the consensus of $6.70. Organic sales decline of 1% - 2% (prior outlook decline of 0% - 2%).

Equities Trading UP

Remark Holdings, Inc. (NASDAQ: MARK) shares shot up 83% to $3.9650 on abnormally-high volume.

Shares of PAE Incorporated (NASDAQ: PAE) got a boost, shooting 67% to $9.86 after the company agreed to be acquired by an affiliate of Amentum Government Services Holdings LLC in an all-cash transaction valued at ~$1.9 billion, including debt and certain fees.

Bakkt Holdings, Inc. (NYSE: BKKT) shares were also up, gaining 35% to $12.37 after the company and Mastercard announced a partnership for crypto and loyalty solutions.

Check out these big movers of the day

Equities Trading DOWN

Eyenovia, Inc. (NASDAQ: EYEN) shares tumbled 39% to $4.0101. Eyenovia announced reclassification of MydCombi as drug-device combination product by the FDA.

Shares of ERYTECH Pharma S.A. (NASDAQ: ERYP) were down 37% to $3.42 after the company announced its TRYbeCA-1 Phase 3 trial of eryaspace in patients with second-line advanced pancreatic cancer did not meet its primary endpoint of overall survival.

MoneyLion Inc. (NYSE: ML) was down, falling 24% to $5.18.

Commodities

In commodity news, oil traded up 0.9% to $84.48, while gold traded up 0.3% to $1,801.00.

Silver traded down 0.1% Monday to $24.44 while copper rose 0.5% to $4.5195.

Euro zone

European shares were mostly higher today. The eurozone’s STOXX 600 climbed 0.1%, the Spanish Ibex Index rose 0.5% and the German DAX 30 gained 0.2%. Meanwhile, the London’s FTSE 100 rose 0.5%, French CAC 40 fell 0.1% and Italy’s FTSE MIB gained 0.8%.

The Ifo Business Climate indicator for Germany fell to 97.7 in October, recording the weakest level since April.

Economics

The Chicago Fed National Activity Index fell to -0.13 in September from 0.05 in August.

The Dallas Fed manufacturing index for October will be released at 10:30 a.m. ET. The general activity index, which has slowed during the previous two reports, is expected to rise to 4.9 in October from 4.6 in September.

The Treasury is set to auction 3-and 6-month bills at 11:30 a.m. ET.

Check out the full economic calendar here