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Stocks Stumbling Out Of 2023's Gate

Recession fears are extending into the new year

Deputy Editor
Jan 3, 2023 at 11:53 AM
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Stocks were unable to fulfill premarket gains, as two familiar foes -- rising rates and high inflation -- dampen investor sentiment to start the new trading year. After initially rising this morning, the Dow Jones Industrial Average (DJI) is now down roughly 194 points at midday.

The Nasdaq Composite Index (IXIC) and the S&P 500 Index (SPX) are firmly lower as well,  with a lackluster tech sector weighing on the former. Wall Street's "fear gauge," the Cboe Volatility Index (VIX) is heading for its fourth win in the last five trading days, as well as its highest close since Dec. 12. 

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

  • Keep an eye on this Big Tech stock this month.
  • Pfizer stock running into seasonal headwinds.
  • Plus, Diamondback Energy puts popping; ACM Research reaffirms revenue outlook; and a Nasdaq debut to foret.

Midday Market Stats January 032023

Diamondback Energy Inc (NASDAQ:FANG) is seeing an increase in bearish options activity, with more than 16,000 calls crossing the tape already today. The two most popular contracts by far are the January 128.84 and 123.84-strike puts, both of which are seeing new positions opened. FANG is down 1.9% at $134.15 at last check, though a catalyst for today's dip is not immediately clear. The stock has consolidated below  $140 for roughly the last month, with pressure from its 80-day moving average also weighing. Yet over the last six months, the energy stock has added 19%.

FANG Chart 2 January 032023

Near the top of the Nasdaq today is ACM Research Inc (NASDAQ:ACMR), which was last seen up 28.3% to trade at $9.89. The company just reaffirmed its 2022 revenue outlook and provided an initial outlook for its 2023 revenue, which is boosting the shares considerably. Today's pop has ACMR trading at its highest level since October, though it remains down nearly 66% over the last 12 months.
 
Drug developer Disc Medicine Inc (NASDAQ:IRON) made its Nasdaq debut on Dec. 30. The stock initially jumped to its highest level since August following the index switch, but today is trading as one of the Nasdaq's worst performers, down 10.3% to trade at $17.89, at last check. IRON added more than 11% in the last nine months, though.

 

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