Dow, S&P 500 Extend Losses as Data Points to Slowing Economy

Concerns over the spread of Covid-19 are still prevalent

Assistant Editor
Aug 17, 2021 at 12:14 PM
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The Dow Jones Industrial Average (DJI) is down 295 points at midday, as both the blue-chip index and the S&P 500 Index (SPX) distance themselves from record levels. The Nasdaq Composite (IXIC) is firmly in the red as well, with investors eyeing worse-than-expected retail sales data, which showed a 1.1% drop in July. Concerns over the spread of the Covid-19 delta variant are prevalent as well, with this week's economic data out of both the U.S. and China suggesting the economy could be losing steam.

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

  • Paysafe stock hit with bear notes amid record lows. 
  • Blue-chip retailer dips after same-store sales miss. 
  • Plus, options bulls target ROOT despite downgrades; GLBE notches fresh record high; and ZEV falls after earnings miss.

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Root Inc (NASDAQ:ROOT) is seeing a surge in bullish options volume today. So far, 30,000 calls have already crossed the tape, which is eight times the intraday average. The March 2022 5-strike call is the most popular by far, with new positions being opened there. The equity is up 2.7% to trade at $5.64 at last check, despite wider-than-expected second-quarter losses. Plus, Truist Securities downgraded the stock to "hold" from "buy," while Wells Fargo lowered its rating to "equal weight" from "overweight." In total, ROOT received three price-target cuts as well. Over the last nine months, the equity has shed 70.9%.

One of the top performers on the Nasdaq today is Global-E Online Ltd (NASDAQ:GLBE). Publicly traded since May, the equity was last seen up 10.5% at $75.42, after earlier surging to an all-time high of $79.50, following an upbeat second-quarter earnings report and full-year revenue forecast. In response, Jefferies, Raymond James, and Piper Sandler all raised their price targets to $80, while Morgan Stanley also threw in a price-target hike to $83 from $42. In the last three months, GLBE has added a whopping 184.5%.

Meanwhile, falling on the New York Stock Exchange (NYSE:) is Lightning eMotors Inc (NYSE:ZEV). The security was last seen down 13.2% to trade at $8.35, after wider-than-expected second-quarter losses, due to production disruptions and delays. The $8 level appears to have contained today's pullback, and several short-term trendlines hovering just below could potentially provide support as well -- including the 60- and 80-day moving averages. Year-to-date, the equity is down 37%. 

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