Mid-Morning Market Update: Markets Open Higher; Coca-Cola Tops Q2 Estimates

Following the market opening Tuesday, the Dow traded up 0.30% to 27254.71 while the NASDAQ rose 0.16% to 8217.52. The S&P also rose, gaining 0.28% to 2,993.43.

Leading and Lagging Sectors

Materials shares rose 1.8% on Tuesday. Meanwhile, top gainers in the sector included Sierra Metals Inc. SMTS, up 10%, and Rayonier Advanced Materials Inc. RYAM, up 8%.

In trading on Tuesday, communication services shares fell 0.3%.

Top Headline

The Coca-Cola Co KO reported upbeat earnings for its second quarter.

Coca-Cola reported second quarter earnings of $0.63 per share, which beat the analyst consensus estimate of $0.61 per share. The company reported quarterly sales of $10 billion, versus the analyst consensus estimate of $9.84 billion.

Equities Trading UP

Therapix Biosciences Ltd. TRPX shares shot up 54% to $3.55 after the company said Tuesday that it has signed a letter of intent for a merger with the Canadian cannabis companyDestiny Biosciences.

Shares of Chiasma, Inc. CHMA got a boost, shooting up 30% to $8.04 after the company announced its CHIASMA OPTIMAL trial of Mycapssa met its primary and all secondary endpoints.

Realogy Holdings Corp. RLGY shares were also up, gaining 14% to $5.89 after the company announced Tuesday a new collaboration with Amazon.com, Inc. AMZN to simplify the process of finding and moving into a new home.

Equities Trading DOWN

Marinus Pharmaceuticals, Inc. MRNS shares tumbled 65% to $1.38 after reporting data from magnolia and amaryllis Phase 2 studies in women with postpartum depression.

Shares of LSC Communications, Inc. LKSD were down 36% to $2.2283. LSC Communications and Quad/Graphics, Inc. QUAD have terminated a merger agreement of an all-stock transaction valued at approximately $1.4 billion. Quad will pay LSC a termination fee of $45 million. LSC Communications also cut 2019 sales guidance.

Tile Shop Holdings, Inc. TTS was down, falling 22% to $3.0802 after the company reported downbeat Q2 results.

Commodities

In commodity news, oil traded down 0.5% to $55.96, while gold traded down 0.3% to $1,422.70.

Silver traded down 0.1% Tuesday to $16.41, while copper fell 0.5% to $2.7075.

Euro zone

European shares were higher today. The eurozone’s STOXX 600 gained 1%, the Spanish Ibex Index rose 1.3%, while Italy’s FTSE MIB Index climbed 0.9%. Meanwhile, the German DAX gained 1.7%, and the French CAC 40 rose 0.9% while UK shares rose 0.6%.

Economics

The FHFA's house price index rose 0.1% for May.

U.S. existing home sales fell 1.7% to an annual rate of 5.27 million for June.

The Richmond Fed's manufacturing index fell to (12) for July, versus a prior reading of 3.

The Treasury is set to auction 2-year notes at 1:00 p.m. ET.