Exchange traded funds (ETFs) are moving up on Tuesday, lifted by premarket gains for Adobe Systems Inc. after upbeat earnings as well as deal news involving Martek Biosciences Corp. and Chrysler Financial.
- Shares of Adobe (NYSE: ADBE) are flying high up over 6% today after the firm posted late Monday fiscal fourth-quarter results that beat Wall Street’s targets, helped by strong demand for software products. iShares Goldman Sachs Software (NYSEArca: IGV) is up nearly 1% on the news; Adobe is 6.7% of the ETF.
- The stock of Martek Biosciences (NASDAQ: MATK) exploded more than 35% this morning on news the company has agreed to a $31.50 a share bid, or $1.09 billion, from Dutch-based life sciences and materials-science group Royal DSM NV (NYSE: DSM). SPDR S&P Biotech ETF (NYSEArca: XBI) is trading more than 1.5% higher early on; Martek is 3.3%.
- Asian shares are higher Tuesday as easing tensions on the Korean peninsula helped regional markets stage a rally, with Chinese and Japanese shares in the lead. Sentiment also got a boost on Chinese Vice Premier Wang Qishan’s comments that China backed European officials’ efforts to stabilize global markets following the European debt crisis. The remarks lifted risk currencies such as the euro and the Australian dollar. The ProShares Ultra FTSE/Xinhua China 25 ETF (NYSEArca: XPP) is up 3% today.
- European stocks rose for a second consecutive session on Tuesday, as a senior Chinese official expressed support for measures taken to address the euro-zone debt crisis. Investors, meanwhile, shrugged off news that Portugal’s credit rating may be lowered by Moody’s Investors Service. Benefiting from the positive new out of Europe is the iShares MSCI Spain Index ETF (NYSEArca: EWP), which is up 2% in early trading.
Gregory A. Clay contributed to this article.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.