Slack pursued an unusual direct listing, meaning it did not have banks underwrite the offering.CNBC Disruptor 50read more
Slack's CEO said that the company didn't want to go public via an IPO so that it could be as transparent and accessible as possible.Deals and IPOsread more
Oil jumped as much as 6% on Thursday after Iran shot down a U.S. military drone, prompting President Trump to blast Tehran on Twitter.Energy Commoditiesread more
President Trump says Iran may not have intentionally downed an unmanned U.S. surveillance drone.Politicsread more
For doubters thinking the rally is just a last gasp of the decade-long bull market, chart analysts are here to prove them wrong.Marketsread more
Notorious "pharma bro" Martin Shkreli has reached a settlement with his former biopharmaceutical company Retrophin just weeks ago after he sued two company directors and its...Biotech and Pharmaceuticalsread more
"The slowdown in the global economy is reaching this shore," veteran trader Art Cashin says.Economyread more
Slack's public market debut on Thursday will generate billions for venture firm Accel and healthy returns for Andreessen Horowitz and Social CapitalTechnologyread more
JetBlue is ordering the longest-range Airbus jets to expand service to more European cities.Airlinesread more
Apple announced on Thursday that it will recall some 15-inch MacBook Pro laptops because they have batteries that may "overheat and pose a fire safety risk."Technologyread more
Health-care stocks have caught a cold this year, but one technical analyst sees the beginnings of a recovery.Trading Nationread more
J.P. Morgan's Marko Kolanovic told clients Friday before the bell that a combination of technical factors should lead to a market bounce during the session and into next week.
"Given the rapid selloff yesterday, the reverting feature of yesterday's option hedging impact should have a positive market impact today," said the bank's global quantitative and derivatives strategy analyst in the note. "The 3% rally in China stocks (FTSE China A50) overnight should improve overall risk sentiment."
Kolanovic has blamed the recent sell-off on so-called systematic strategies like risk parity funds and options hedging rather than fundamental forces. He said a week ago the sell-off was largely over and the S&P 500 is 0.5 percent higher since then.
"Next week might see a marginally positive impact and the same for the subsequent October month end rebalance given the significant drop in equities since September," he added in the note Friday.
U.S. stocks dove earlier in October as traders ditched equities over fears of rapidly rising interest rates, a possible global economic slowdown and frothy tech valuations. The Dow Jones Industrial Average is more than 1,000 points down from highs earlier in October; the is down 4.6 percent this month.
"Option hedging is a temporary impact (intraday momentum) that tends to revert," Kolanovic said. "Consistent with this, we saw Monday U.S. morning weakness, a large Tuesday rally and end of the day squeeze, a Wednesday U.S. morning reversal, and yesterday acceleration on the downside – all significantly driven by dynamic hedging of index options."
Those with significant equity positions, such as large institutional investors, often try to offset that risk through options on major stock indexes. These contracts are a sort of insurance that pay out when the indexes fall.
Weighing in on the effect technical factors and algorithmic trading have on markets, Goldman Sachs CEO David Solomon said Thursday that he believes part of the month's steep stock sell-off was the result of programmatic trading.
"There's no question when you look at last week, some of the selling is the result of programmatic selling because as volatility goes up, some of these algorithms force people to sell," Solomon said.
"Market structure can, at times, contribute to volatility and one of the things that we're spending a bunch of time thinking about at the firm is how changes in market structure over the course of the last 10 years will affect market activity," the Goldman chief added Thursday.