As oil prices continued their six-day slide Tuesday, now well below their $50 peak last week, U.S. futures fell slightly in premarket trading. The S&P 500, Dow Jones industrials and Nasdaq were each down about 0.2%. Meanwhile, crude oil slid 1.4% to $48.19 a barrel, based on U.S. benchmark West Texas Intermediate.
Baidu (BIDU) shares fell about 4% in premarket trading Tuesday after the Chinese e-commerce giant cut its second-quarter sales forecast by more than 10% to a range of 18.1 billiion yuan to 18.2 billion yuan, or roughly $2.75 billion, amid a decline in advertising sales. The company's CEO, Robin Li Yanhong, said on a morning call with analysts that the projections are primarily the result of uncertainty surrounding regulation in the medical industry causing several medical advertisers to cut spending.
Shares of Western Gas Equity Partners (WGP) were down about 10% on news that the Houston-based subsidiary of Andarko Petroleum (APC) unveiled pricing on a limited-partner offering of 12.5 million common units of $481 million. Goldman Sachs and Morgan Stanley were joint underwriters on the deal and were given a 30-day option to purchase an additional 1.88 million common units as part of the settlement, which is set to close Friday.
Meanwhile, Infinity Pharmaceuticals (INFI) shares dropped about 63% in premarket trading on news it expects to incur about $6 million to $8 million in costs tied to restructuring plans, noting the Cambridge, Mass.-based drugmaker also expects to make about $5 million in additional cash payments for various costs including severance and benefits.
Shares of Minerva Neurosciences (NERV) also dipped about 4% on news the Waltham, Mass.-based drugmaker has tapped Jefferies investment bankers to prepare to issue an unspecified amount of common stock in order to fund the continued development of its products. Minerva stock most recently jumped more than 50% in May on news that a drug aimed to treat schizophrenia successfully completed mid-stage trials.