US OPEN: Wall Street opens lower as COVID-19 cases mount

 

US indices launched the week lower as investors remain concerned about the rising coronavirus infections. The US reported more than 83k new cases on both Friday and Saturday, a new record high. Meanwhile seven-day average on Sunday reached a new daily record of 68,767 cases according to a CNBC analysis of data from Johns Hopkins University. White House chief of staff Mark Meadows acknowledged that the U.S. is not going to control the pandemic. Instead, he pointed to the administration’s focus on a potential vaccine or therapeutic to manage COVID-19, rather than measures to help mitigate the spread. Despite this news, a new aid bill seems very unlikely to happen before next week’s presidential election. House Speaker Nancy Pelosi and Meadows accused each other of “moving the goalposts” in negotiations over the weekend. On the corporate front, the earnings season continues with Apple, Facebook, Alphabet, Amazon, Boeing and Caterpillar all reporting later in the week.

Dunkin’ Brands (DNKN.US) — stock jumped more than 15% in the premarket after the company announced that Inspire Brands, the owner of restaurant chains Arby’s and Jimmy John’s, is interested of acquisition of Dunkin’ Brands. According to The New York Times potential a deal would take Dunkin’ Brands private for $106.50 per share, which would be 20% above the stock’s closing price of $88.79 per share on Friday.

AstraZeneca (AZN.US) stock rose 0.8% after the company announced its coronavirus potential vaccine produced a similar immune response in older and younger adults during a clinical trial.

 

Hasbro (HAS.US)  reported better than expected quarterly figures. Toy maker earned $1.88 per share on revenue of $1.78 billion while analysts' were expected earnings of $1.63 per share on revenue of $1.74 billion. However company’s stock fell over 2% due to poor performance of its TV, film and entertainment division.

 

Facebook (FB.US) — KeyBanc Capital Markets raised its price target on the social media giant to $340 per share, citing an “attractive” valuation. “We believe regulatory concerns have exerted downward pressure on valuation multiples,” KeyBanc said.