Wall Street was mixed Friday as investors digested another jump in oil prices, higher Treasury yields and Thursday’s sharp technology selloff.
Around midday, the Nasdaq Composite was up about 0.2%, while the S&P 500 was down roughly 0.2% and the Dow Jones Industrial Average had declined approximately 1%. Energy was the leading sector, gaining more than 3%, while the 10-year Treasury yield was around 4.99%. [fool.com], [pulsafi.com]
Oil was again commanding attention, with crude prices moving sharply higher. [fool.com]
But perhaps the day’s most interesting individual story involves something we’ve discussed several times lately: Elon Musk’s ambitions in telecommunications.
💎 Diamond of the Day: Crown Castle (CCI)
Crown Castle gets our Diamond after shares jumped approximately 12% Friday morning following reports that SpaceX is seeking cell-tower locations as part of its mobile-carrier ambitions. [fool.com]
That is especially interesting because we’ve already watched the other side of this story.
Earlier this month, traditional wireless carriers including AT&T, Verizon Communications and T-Mobile US came under pressure as investors considered the possibility of additional competition from SpaceX and Starlink Mobile.
Now a company that owns communications infrastructure is benefiting from attention surrounding those same ambitions. Crown Castle was up roughly 10% to 12% during Friday’s morning trading. [fool.com], [premarketprice.com]
Why It Shined
- Crown Castle was up approximately 12% late Friday morning. [fool.com]
- Published coverage tied the move to reports that SpaceX is seeking cell-tower sites for a proposed mobile-carrier service. [fool.com]
- The same development was simultaneously creating renewed investor attention around the established wireless carriers. [fool.com]
🐕 Dog of the Day: Moderna (MRNA)
What a difference a couple of weeks can make.
We recently featured Moderna as a Diamond amid enthusiasm surrounding its cancer-vaccine program. Thursday, however, shares plunged 17.6%, following the early release of detailed Phase 3 data involving its personalized melanoma vaccine developed with Merck. [finance.yahoo.com], [cnbc.com]
Friday morning brought additional pressure, with published market coverage indicating shares were down approximately another 3% in premarket trading. [finance.yahoo.com]
But here is the really interesting part:
The clinical results themselves were positive.
The personalized vaccine, intismeran autogene, combined with Merck’s Keytruda reduced the risk of recurrence or death among certain melanoma patients by 42% compared with Keytruda alone. The combination also reduced the risk of distant spread or death by 38%. [cnbc.com]
Why It Barked
- Moderna declined 17.6% Thursday. [finance.yahoo.com]
- Shares faced additional pressure heading into Friday trading. [finance.yahoo.com]
- Detailed Phase 3 trial results appeared earlier than originally scheduled. [cnbc.com]
- The study nevertheless showed a 42% reduction in recurrence or death risk for the combination versus Keytruda alone in the patient population studied. [cnbc.com]
- Around 82% of patients receiving the combination were alive without recurrence at two years versus approximately 70% receiving Keytruda alone. [cnbc.com]
Important Disclosure
This commentary is provided solely for informational and educational purposes and should not be considered a recommendation or solicitation to buy, sell or hold any security, sector or investment strategy. The “Diamond” and “Dog” designations reflect notable market performance and/or publicly reported developments and are not intended as investment recommendations or assessments of future performance. References to investigational therapies, clinical trial results and emerging telecommunications initiatives should not be interpreted as predictions of regulatory approval, commercial success or future investment returns. Intraday prices and market conditions may change materially before the close. Past performance does not guarantee future results. Investing involves risk, including possible loss of principal.