Mid-Morning Market Update: Markets Edge Lower; Target Profit Tops Estimates

Following the market opening Wednesday, the Dow traded down 0.12 percent to 25845.94 while the NASDAQ fell 0.10 percent to 7,777.87. The S&P also fell, dropping 0.11 percent to 2,861.07.

Leading and Lagging Sectors

Utilities shares rose by 0.3 percent on Wednesday. Meanwhile, top gainers in the sector included PG&E Corporation PCG, up 3 percent, and Central Puerto S.A. CEPU, up 2 percent.

In trading on Wednesday, energy shares fell by 0.6 percent.

Top Headline

Target Corporation TGT reported better-than-expected Q1 results.

Target reported first-quarter earnings of $1.53 per share, which beat the analyst consensus estimate of $1.43. Target reported quarterly sales of $17.62 billion, which beat the analyst consensus estimate of $17.5 billion.

Target sees second quarter EPS in a the range of $1.52-$1.72 versus a $1.59 estimate. The retailer sees FY2019 adjusted EPS $5.75-$6.05 versus a $5.83 estimate.
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Equities Trading UP

Sea Limited SE shares shot up 17 percent to $29.82 after the company reported Q1 sales results higher from last year.

Shares of Avon Products, Inc. AVP got a boost, shooting up 15 percent to $3.6650 after the company confirmed its in advanced talks with Brazil's Natura for an all-stock takeover.

Target Corporation TGT shares were also up, gaining 10 percent to $78.94 after reporting better-than-expected Q1 results.

Equities Trading DOWN

Tocagen Inc. TOCA shares tumbled 34 percent to $5.82 after the company reported the Toca 5 Phase 3 Trial in patients with recurrent brain cancer will continue without modification following a planned interim analysis of data.

Shares of OncoSec Medical Incorporated ONCS were down 30 percent to $2.80 after the company reported a common stock public offering of 3.5 million shares priced at $3.15 per share.

Pure Storage, Inc. PSTG was down, falling 20 percent to $16.40 after the company reported worse-than-expected Q1 EPS and sales results.

Commodities

In commodity news, oil traded down 0.9 percent to $62.26, while gold traded up 0.3 percent to $1,276.30.

Silver traded up 0.4 percent Wednesday to $14.47, while copper fell 1 percent to $2.6885.

Euro zone

European shares were lower today. The eurozone’s STOXX 600 fell 0.7 percent, the Spanish Ibex Index declined 0.6 percent, while Italy’s FTSE MIB Index declined 0.9 percent. Meanwhile, the German DAX declined 0.7 percent, and the French CAC 40 fell 0.7 percent while UK shares slipped 0.01 percent.

Economics

Reserve Bank President John Williams will speak in New York at 10:00 a.m. ET.

Atlanta Federal Reserve Bank President Raphael Bostic is set to speak in Dallas, TX at 10:10 a.m. ET.

Dallas Federal Reserve Bank President Robert Kaplan is set to speak in Dallas, TX at 10:15 a.m. ET.

The Energy Information Administration’s weekly report on petroleum inventories in the U.S. will be released at 10:30 a.m. ET.

The Federal Open Market Committee will issue minutes of its meeting at 2:00 p.m. ET.

Atlanta Federal Reserve Bank President Raphael Bostic will speak in Dallas, TX at 4:00 p.m. ET.