Monday’s media pummeling quickly became history as the market gained more than 2% on Tuesday. At midday, the Dow Jones Industrial Average was at 16,248, still down more than 2,000 points from mid-March highs.
Netflix, in particular, picked up 7% and was trading at nearly $106 per share at midday. That was still significantly down from the stock’s high of $126.45 on August 6, however. Other tech stocks, including Facebook and Apple, also bounced back.
Other gainers included AMC Networks — which just saw Fear the Walking Dead debut as cable’s highest-rated premiere — Disney, Time Warner and Viacom.
Still, market volatility is expected to continue, both overall and among media stocks. The overall market is affected by economic conditions in China, which just devalued its currency. Media stocks are under fire due to disruption in the media business model, with subscribers cutting cords and heading over to streaming services.
Read more: B&C, Variety, The Wrap
Brief Take: Today’s market improvement is likely just one in a series of ups and downs as traders take advantage of downward pricing trends and the market absorbs China’s economic problems.
Cube image courtesy of Variety.
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