Mid-Morning Market Update: Markets Open Higher; Goldman Sachs Beats Q4 Expectations

Following the market opening Wednesday, the Dow traded up 0.47 percent to 25,914.43 while the NASDAQ climbed 0.28 percent to 7,243.70. The S&P also rose, gaining 0.23 percent to 2,782.81.

Leading and Lagging Sectors

Wednesday morning, the non-cyclical consumer goods & services sector proved to be a source of strength for the market.

In trading on Wednesday, telecommunications services shares fell 0.10 percent. Meanwhile, top losers in the sector included Telecom Italia SpA (ADR) TI, down 2 percent, and Partner Communications Company Ltd (ADR) PTNR down 2 percent.

Top Headline

Goldman Sachs Group Inc C reported better-than-expected earnings for its fourth quarter.

Goldman Sachs posted adjusted earnings of $5.68 per share in the quarter on revenue of $7.83 billion which exceeded Wall Street's expectations for $4.92 per share and $7.61 billion.

Equities Trading UP

Juno Therapeutics Inc JUNO shares shot up 45 percent to $66.01 after Dow Jones reported Celgene Corporation is in talks to buy the company. A Juno spokesperson said the company doesn't comment on market rumors or speculation.

Shares of AEterna Zentaris Inc. (USA) AEZS got a boost, shooting up 36 percent to $2.81 after the company disclosed that it has entered into a licensing deal with Strongbridge for Macrilen in the United States and Canada.

Neurometrix Inc NURO shares were also up, gaining 38 percent to $2.38. NeuroMetrix and GlaxoSmithKline Consumer Healthcare reported a strategic collaboration for the development and expansion of access to Quell Wearable Pain Relief Technology.

Equities Trading DOWN

Aerohive Networks Inc HIVE shares dropped 27 percent to $4.15 after the company cut its Q4 sales outlook.

Shares of HTG Molecular Diagnostics Inc HTGM were down 19 percent to $2.85. HTG Molecular Diagnostics reported that the company is offering 10 million shares of common stock.

A10 Networks Inc ATEN was down, falling around 18 percent to $6.02 after the company narrowed fourth quarter sales outlook from 1 cents-7 cents to 5 cents-6 cents.

Commodities

In commodity news, oil traded down 0.14 percent to $63.64 while gold traded down 0.11 percent to $1,335.60.

Silver traded up 0.12 percent Wednesday to $17.21, while copper fell 0.65 percent to $3.1985.

Eurozone

European shares were mostly lower today. The eurozone’s STOXX 600 gained 0.07 percent, the Spanish Ibex Index slipped 0.42 percent, while Italy’s FTSE MIB Index gained 0.15 percent. Meanwhile the German DAX dropped 0.13 percent, and the French CAC 40 fell 0.04 percent while U.K. shares fell 0.21 percent.

Economics

The Johnson Redbook Retail Sales Index declined 0.3 percent during the first two weeks of January versus December.

U.S. industrial production rose 0.9 percent for December, versus economists’ expectations for a 0.4 percent growth.

The NAHB housing market index declined 2 points to 72 in January. However, economists were projecting a reading of 73.

The Federal Open Market Committee will release its Beige Book report at 2:00 p.m. ET.

Chicago Federal Reserve Bank President Charles Evans is set to speak in Palm Beach, Florida at 3:00 p.m. ET.

Dallas Federal Reserve Bank President Robert Kaplan will speak in Palm Beach, Florida at 3:15 p.m. ET.

The Treasury International Capital report for November is schedule for release at 4:00 p.m. ET.

Cleveland Federal Reserve Bank President Loretta Mester is set to speak in New Brunswick, New Jersey at 4:30 p.m. ET.