Knight Capital (KCG) plunged 24.44% again today following its high frequency trading debacle last week. Shares are down to $3 at the close, a loss from $10 last tuesday. To fund its operations, KCG sold $400 million in convertible preferred stock to bolster its captial position.
Gains in U.S. markets followed broad gains on European and Asian exchanges. The Stoxx Europe 600 added 0.4%, closing at a more than four-month high. Asian markets were broadly higher, with Japan’s Nikkei Stock Average rising 2% and China’s Shanghai Composite climbing 1%.
Crude-oil futures rose 0.9% to $92.20 a barrel, while gold futures gained 0.4% to settle at $1612.90 a troy ounce. The U.S. dollar slipped against the euro and the yen. The yield on 10-year U.S. Treasury bonds fell to 1.556% as demand rose.