Mid-Morning Market Update: Markets Mostly Flat; PepsiCo Profit Tops Expectations

Following the market opening Tuesday, the Dow traded down 0.04 percent to 21,400.58 while the NASDAQ climbed 0.07 percent to 6,180.49. The S&P also fell, dropping 0.1 percent to 2,424.73.

Leading and Lagging Sectors

Technology shares rose by 0.5 percent in the US market on Tuesday. Top gainers in the sector included ACI Worldwide Inc ACIW, and Cornerstone OnDemand, Inc. CSOD.

In trading on Tuesday, financial shares fell 0.23 percent. Meanwhile, top losers in the sector included Prudential Bancorp, Inc. of PA PBIP, down 9 percent, and Getty Realty Corp. GTY, down 8 percent.

Top Headline

PepsiCo, Inc. PEP reported stronger-than-expected profit for its second quarter.

PepsiCo posted adjusted earnings of $1.50 per share on revenue of $15.71 billion. However, analysts were expecting earnings of $1.40 per share on sales of $15.61 billion.

Pepsico expects FY 2017 core earnings of $5.13 per share, versus analysts’ estimates of $5.14 per share.

Equities Trading UP

Halcon Resources Corporation HK shares shot up 36 percent to $6.08 after the company reported the sale of its operated Williston Basin assets for $1.4 billion.

Shares of Amicus Therapeutics, Inc. FOLD got a boost, shooting up 24 percent to $12.69. The U.S. FDA confirmed that Amicus Therapeutics may submit NDA for migalastat for Fabry disease.

Arena Pharmaceuticals, Inc. ARNA shares were also up, gaining 49 percent to $27.34 after the company reported positive topline Phase 2 results for ralinepag in patients with pulmonary arterial hypertension.

Equities Trading DOWN

VOXX International Corp VOXX shares dropped 15 percent to $7.55 after the company posted a wider-than-expected loss for its first quarter.

Shares of Shiloh Industries, Inc. SHLO were down 10 percent to $11.07. Shiloh Industries reported commencement of 5 million share common stock offering.

Getty Realty Corp. GTY was down, falling around 8 percent to $23.10. Getty Realty priced 4.1 million shares of common stock at $23.15 per share.

Commodities

In commodity news, oil traded down 0.97 percent to $43.97 while gold traded down 0.25 percent to $1,210.20.

Silver traded down 0.47 percent Tuesday to $15.555, while copper fell 0.09 percent to $2.645.

Eurozone

European shares were mostly lower today. The eurozone’s STOXX 600 slipped 0.41 percent, the Spanish Ibex Index fell 0.46 percent, while Italy’s FTSE MIB Index gained 0.10 percent. Meanwhile the German DAX gained 0.15 percent, and the French CAC 40 fell 0.25 percent while U.K. shares fell 0.73 percent.

Economics

The NFIB small business optimism index dropped 0.9 points to 103.6 in June. Economists were expecting a reading of 104.40 for June.

The Johnson Redbook Sales Index dropped 1.1 percent during the first week of July versus June.

U.S. job openings declined 301,000 to 5.66 million in May, according to the Labor Department's JOLTS report.

U.S. wholesale inventories rose 0.4 percent for May, versus economists’ expectations for a 0.3 percent growth.

The Treasury is set to auction 4-week bills at 11:30 a.m. ET.

Federal Reserve Governor Lael Brainard is set to speak in New York City at 12:30 p.m. ET.

The Treasury will auction 3-year notes at 1:00 p.m. ET.

Minneapolis Federal Reserve Bank President Neel Kashkari will speak in Minneapolis at 1:20 p.m. ET.