Stocks Slide Down 300, Tech-Heavy NASDAQ is the Big Loser

Markets we down across the board in trading today, with NASDAQ taking the biggest beating as tech stocks fell. The Dow lost -292.60 points and fell to 17,718.54. The S&P 500 shed -30.45 points and closed at 2,061.05. The NASDAQ lost 2.4%, dropping -118.21 points to finish the day's trading at 4,876.52. In overseas trading, Germany's DAX dropped -138.73 while Hong Kong's Hang Seng exchange continued to recover, adding 128.72 points to close at 24,554.74.

Kraft-Heinz Merger Is The Biggest News Of The Day.  Good news today for anyone who puts ketchup on their macaroni & cheese, Heinz is acquiring Kraft in a merger. Details are still coming in about the deal which was finalized just this morning, but as of this writing any investor who holds Kraft stock will see it converted 1:1 into Heinz-Kraft stock.
Kraft (KRFT) was up on the news, gaining 36%, or 21.85 points, to close at $83.17 per share. Heinz, which is owned by Warren Buffett's gigantic Berkshire Hathaway (BRKA) was essentially flat on the news, losing just -5.00 points to close at $217,000 per share.

Oil Heading Back To $50, OPEC Becoming Largely Ineffective.  The price of crude oil made gains today, moving from $45 per barrel up to $49.21. This latest rise in prices has come as some analysts have called crude “a solid summer investment” and described OPEC price-fixing as “largely ineffective.”

Lumber Liquidators Rebounds Despite Ongoing Investigation.  Home improvement chain Lumber Liquidators (LL) staged a comeback today, gaining back nearly 11% of value that is had lost in recent weeks. The chain is currently the target of a large class-action lawsuit for intentionally mislabeling floor tiles made with banned Chinese adhesives which have allegedly given some customers respiratory problems. Lumber Liquidators gained 3.03 points to close at $31.86 per share, but is still down from the highs of over $70 per share it enjoyed before news of the lawsuit spread.

Bond Yields Back Up After A Long Week Of Losses.  Ever since the Fed wrapped up a meeting last week, bond yields have been falling steadily. Today, the value of a 10-year note recovered to 1.92%, up 0.04% on the day but still well under the 2% mark of two weeks ago.

Apple Pay Flaws Could Have Long-Term Impact In Trust.  Recently, device manufacturer Apple (AAPL) has come under fire for vulnerabilities with its Apple Pay system. The payment scheme, which works a bit like a credit card that never needs to be scanned, allows users to pay with a swipe of their smartphone. Unfortunately the system has been found to be vulnerable to hackers, and as many as 6% of total Apple Pay transactions could be fraudulent. Apple lost 3.31 points today, and ended trading at $123.38 per share.
Published on Mar 25, 2015
By Aaron Phillips
Aaron Phillips is a financial researcher and journalist based out of Michigan. He regularly writes the IG Daily and IG Weekly columns.

Copyrighted 2016. Content published with author's permission.

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