Markets off their highs | Calamatta Cuschieri

Markets summary

US markets edged slightly lower on Wednesday as big tech stocks slid amid an ongoing rotation of portfolio holdings that gave a boost to energy shares and kept the overall market near record highs. The Dow Jones Industrial Average rose 61.97 points, or 0.2%, to 31,437.8, the S&P 500 lost 1.35 points, or 0.03%, to 3,909.88 and the Nasdaq Composite dropped 35.16 points, or 0.25%, to 13,972.53.

European shares also ended lower, as Wall Street’s retreat from record highs dragged Europe down from an early rise on upbeat earnings reports from firms including SocGen that fed optimism around a broader economic rebound. The pan-European STOXX 600 index ended 0.2% lower, as gains in commodity-linked shares and banks were outweighed by losses in most other sectors.

Maltese markets remained closed for the Feast of St Paul’s Shipwreck public holiday.

Bumble IPO

Bumble Inc, a dating app operator backed by buyout firm Blackstone Group Inc, sold shares in its initial public offering (IPO) on Wednesday at $43 apiece above its target range, to raise $2.2 billion. The IPO gave the Austin, Texas-based company a market capitalization of more than $7 billion. Bumble sold 50 million shares after raising its share offering several times, previously aiming to sell 45 million shares at a target price range $37-$39.

Bumble, which also owns the Badoo dating app, said it expects to record up to $541.5 million in revenue between January and December 2020, up 11% from the prior year driven by growth in paying customers. Some dating apps like Bumble have flourished even under COVID-19-related social distancing, as people who stay at home turn to instant messaging to seek romance.

Source: Reuters

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