Mid-Morning Market Update: Markets Edge Lower, Guess' Profit Beats Estimates

Following the market opening Friday, the Dow traded down 0.02 percent to 15,320.73, while the NASDAQ fell 0.04 percent to 3,489.91. The S&P was also down, dropping 0.06 percent to 1,653.39.

Top Headline
Yesterday, Guess' GES reported an upbeat first-quarter profit.

Its quarterly net income declined to $9.9 million, or $0.12 per share, versus $26.6 million, or $0.30 per share, in the year-ago period. Excluding one-time items, Guess earned $0.14 per share.

Its total sales dropped 5% to $549 million. However, analysts were estimating earnings of $0.08 per share on sales of $549 million.

Equities Trading UP
OmniVision Technologies OVTI shot up, gaining 19.25 percent to $18.47, after the company reported upbeat Q4 earnings.

Krispy Kreme Doughnuts KKD was also up 12.63 percent to $16.06 on upbeat Q1 results.

Guess' GES got a boost, shooting up 6.24 percent to $31.18 after the company reported an upbeat first-quarter profit.

Equities Trading DOWN
Palo Alto Networks PANW was down, falling 11.01 percent to $48.40, after the company reported weak quarterly revenue..

Pall PLL shares tumbled 3.27 percent to $69.50 after the company issued weak FY13 earnings forecast.

Graphic Packaging Holding Company GPK was down 2.64 percent to $7.75 after the company announced an underwritten secondary public offering of 15,000,000 shares by selling stockholders.

Commodities
In commodity news, oil traded down 1.07 percent to $92.61, while gold dropped 0.42 percent to $1,405.60.

Silver traded down 2.23 percent Friday to $22.19, while copper fell 0.87 percent to $3.29.

Eurozone
European shares traded lower overnight following some weak economic data. The eurozone's unemployment rate rose to another record level in April as the unemployment rate rose to 12.2 percent from 12.1 percent previously, in line with expectations.

The Spanish Ibex Index fell 0.97 percent and the Italian FTSE MIB Index dropped 0.68 percent. Meanwhile, the German DAX tumbled 0.54 percent and the French CAC 40 dropped 0.78 percent while U.K. shares declined 0.83 percent.

Economics
Consumer spending declined 0.2% in April, versus economists' expectations for a 0.1% drop. The PCE inflation index fell 0.3% in April.

The Chicago PMI rose to 58.7 in May, versus 49.0 in April. However, economists were expecting a reading of 49.9 in May.

The final reading of the Reuters/University of Michigan's consumer sentiment index rose to 84.50 in May, from 76.40 in April. However, economists were expecting a reading of 83.70.

The Fed's Sandra Pinalto is set to speak.