Mid-Morning Market Update: Markets Edge Higher; Goldman Sachs Beats Q3 Expectations

Following the market opening Tuesday, the Dow traded up 0.10 percent to 22,979.51 while the NASDAQ climbed 0.02 percent to 6,625.24. The S&P also rose, gaining 0.01 percent to 2,558.00.

Leading and Lagging Sectors

Tuesday morning, the healthcare shares surged 0.48 percent. Meanwhile, top gainers in the sector included UnitedHealth Group Inc UNH, up 5 percent, and Spectrum Pharmaceuticals, Inc. SPPI, up 5 percent.

In trading on Tuesday, basic materials shares fell 0.40 percent. Meanwhile, top losers in the sector included IAMGOLD Corp (USA) IAG, down 4 percent, and Resolute Forest Products Inc RFP down 3 percent.

Top Headline

Goldman Sachs Group Inc GS posted better-than-expected earnings for its third quarter.

Goldman Sachs posted quarterly adjusted earnings of $5.02 per share on revenue of $8.33 billion. However, analysts expected earnings of $4.17 per share on revenue of $7.54 billion.

Equities Trading UP

Transenterix Inc TRXC shares shot up 42 percent to $3.98 after climbing 92.47 percent on Monday.

Shares of Syntel, Inc. SYNT got a boost, shooting up 15 percent to $22.04 after the company reported stronger-than-expected quarterly results.

Diffusion Pharmaceuticals Inc DFFN shares were also up, gaining 35 percent to $2.18 after the company disclosed that it has received FDA protocol guidance for Phase 3 clinical trial with TSC in patients newly diagnosed with inoperable glioblastoma multiforme.

Equities Trading DOWN

Impax Laboratories Inc IPXL shares dropped 12 percent to $17.62. Impax Labs and Amneal Pharma agreed to merge in an all-stock transaction.

Shares of Badger Meter, Inc. BMI were down 14 percent to $43.80 as the company reported downbeat Q3 results.

Unit Corporation UNT was down, falling around 5 percent to $18.74. KLR Group downgraded Unit from Buy to Hold.

Commodities

In commodity news, oil traded up 0.42 percent to $52.09 while gold traded down 0.95 percent to $1,290.60.

Silver traded down 1.52 percent Tuesday to $17.105, while copper fell 0.73 percent to $3.2155.

Eurozone

European shares were mostly higher today. The eurozone’s STOXX 600 slipped 0.03 percent, the Spanish Ibex Index rose 0.55 percent, while Italy’s FTSE MIB Index declined 0.01 percent. Meanwhile the German DAX rose 0.07 percent, and the French CAC 40 climbed 0.02 percent while U.K. shares rose 0.25 percent.

Economics

U.S. import prices rose 0.7 percent for September, versus economists’ expectations for a 0.5 percent gain. Export prices gained 0.8 percent for September, compared to estimates for a 0.4 percent growth

The Johnson Redbook Retail Sales Index slipped 1.4 percent during the first two weeks of October versus September.

U.S. industrial production rose 0.3 percent for September, versus economists’ expectations for a 0.3 percent gain

The NAHB housing market index climbed to 68.00 in October, versus prior reading of 64.00. Economists projected a reading of 64.00.

The Treasury will auction 4-week bills at 11:30 a.m. ET.