Media companies weren’t spared today as the stock market fell to a two-month low, with the Dow Jones Industrial Average down 1.8% and Standard & Poor’s 500 off 1.9%.
Several factors accounted for the selloff. The International Energy Agency said that the glut in oil could grow worse next year, possibly signaling weak global demand. China’s yuan fell to its lowest price in more than four years. And Third Avenue Management froze a $1 billion junk bond fund, saying it plans to liquidate. That’s the biggest U.S. mutual fund failure since 2008, when Reserve Primary Fund famously “broke the buck” — that is, lowered its share price to less than $1.
The Dow Jones U.S. Media Index fell 2.6% today to roughly the same level it was at in early October. Cinedigm (-8.8%), Tribune Media (-6.2%), and Barnes & Noble (-5.6%) touched 52-week lows.
Among Big Media companies, Viacom shares were hardest hit, falling 4.5%. It was followed by Discovery (-3.6%), Time Warner (-3.5%), CBS (-3.5%), Comcast (-2.9%), Fox (-2.8%), Disney (-2.5%), and Sony (-1.1%).
Others seeing big declines today include Yahoo (-5%), AMC Networks (-4.2%), DreamWorks Animation (-3.6%), Amazon (-3.4%), Lionsgate (-3.3%), Netflix (-3.3%), Facebook (-3.1%), and Charter Communications (-3.1%).
Only a few companies were up today, including Electronic Arts (+1.2%), Gannett (+1.1%), and Cablevision (+0.9%).