Ukrainian Unrest Stirs Wall Street – Intercept Pharmaceuticals Inc (NASDAQ:ICPT), Kate Spade and Co (NYSE:KATE) and NII Holdings Inc (NASDAQ:NIHD)

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By Mark Michaels on August 12, 2014 BioPharma

The tense state of affairs in Ukraine is being felt by the US market as well; the current situation brought down US stocks due to uncertainty even though investors projected it would not rise noticeably.

The Ukrainian and Russian strife caused a disturbance in equities since S&P 500 was about one point below around 4 percent away from witnessing a high hit closing this July. There is a 2.5 percent decrease in the benchmark, whilst comparing it to previous record. However, it has recovered drastically thus traders may experience bargains.

On Tuesday, utter disorder tumbled on Wall Street as it moved towards positive territory but later focused on Ukraine as 45,000 Russian troops were massed on the country’s border. Russia stated that a fleet of 280 trucks were set off to Ukraine with humanitarian aid while western governments cautioned in opposition to using help as a means of invasion.

The CIO James Dunigan of PNC (NYSE:PNC) stated that the situation was calmer now as aid proceeded, however it would take a while for it to progress and that it was not the time to risk ones safety.

ZEW stated in August that the geopolitical anxiety in Germany caused changes in economic sentiment causing investor morale to decrease to such an extent that it reached the lowest since December 2012. The current violence in Israel and Gaza as well as the air strikes by the US in Iraq were observed by market participants.

There was a decrease of 0.21 percent or 34.22 points, to 16,535.76, in the industrial average of Dow Jones (INDEXJX:DJI). A loss of 0.24 percent or 4.69 points to 1,932.23 in the S&P 500 compared to the 0.34 percent or 15.16 points to 4,386.17 in the Nasdaq Composite (INDEXNASDAQ:.IXIC) also occurred.

The Nasdaq (INDEXNASDAQ:.IXIC) was pressurized by tech companies’ weaknesses causing F5 Networks Inc (NASDAQ:FFIV) to decrease by $113.64 or 2.7 percent and $20.72 to 1.8 percent off Applied Materials.

Intercept Pharmaceuticals Inc (NASDAQ:ICPT) was up to $299.22 or 26 percent and drug companies assembled the day after the company stated that its drug that was applied to cure liver disease was of use in the middle of the trial. As the Food and Drug Administration permitted its screening test for NCC, sciences rose to $18.12 by 6 percent.

Energy companies experienced the weakest performance as the energy index of the S&P dropped 0.8 percent with a 0.7 percent crude oil decrease. Consol Energy (NYSE:CNX) and Anadarko Petroleum (NYSE:APC) decreased to $39.26 by 2.2 percent and $106.49 by 1.9 percent respectively.

Kate Spade and Co (NYSE:KATE) experienced volatile shares after stating earnings for the second quarter which were above expectations. Before dropping lower, the stock rose by more than 10 percent and it traded at $30.69 at the end, down 21%.

NII Holdings Inc (NASDAQ:NIHD) showed its biggest decline the day after reporting that it may file a case for bankruptcy because of its struggle in Mexico and Brazil as it fell to 19 cents by 70 percent.