Market Overview

Mid-Morning Market Update: Markets Go Red, MasterCard Posts Higher Q1 Profit

Mid-Morning Market Update: Markets Go Red, MasterCard Posts Higher Q1 Profit

Following the market opening Wednesday, the Dow traded down 0.23 percent to 14,805.34 while the NASDAQ declined 0.19 percent to 3,322.33. The S&P also fell, dropping 0.25 percent to 1,593.56.

Index Technicals:
The S&P 500 is stalling once again, hitting its 1,597 highs with 1,575 acting as support below that.

Next up, the Dow is stalling under its 14,850 resistance after it found support at 14,750.

The NASDAQ is breaking out over its 3,320 resistance which could now act as support, with 3,300 as support below that.

Finally, the Russell is heading upwards into its 950 resistance while 930 acts as support below.

Top Headline
MasterCard (NYSE: MA) reported a rise in its first-quarter net income.

MasterCard's quarterly profit surged to $766 million, or $6.23 per share, versus $682 million, or $5.36 per share, in the year-ago period.

Its revenue climbed 8% to $1.9 billion from $1.76 billion. However, analysts were expecting earnings of $6.18 per share on revenue of $1.93 billion. MasterCard's processed transactions rose 12% to 8.7 billion.

Equities Trading UP
Bankrate (NYSE: RATE) shot up 18.77 percent to $16.01 after the company reported upbeat Q1 profit.

Shares of Trulia (NYSE: TRLA) got a boost, shooting up 13.52 percent to $32.99 after the company reported strong Q1 revenue.

Sourcefire (NASDAQ: FIRE) was also up, gaining 10.66 percent to $52.85 on Q1 results.

Equities Trading DOWN
Regal Beloit (NYSE: RBC) was down, falling 17.49 percent to $64.87 on weak Q1 results.

Shares of Kforce (NASDAQ: KFRC) were down 12.90 percent to $13.17 after the company reported downbeat Q1 results.

Yamana Gold (NYSE: AUY) shares tumbled 8.25 percent to $11.28 on Q1 results.

In commodity news, oil traded down 2.79 percent to $90.85, while gold traded down 1.18 percent to $1,454.80.

Silver traded down 3.14 percent Wednesday to $23.43, while copper fell 3.11 percent to $3.09.

European markets were mostly closed for the May Day holiday, with all major markets save for the U.K. closed. The FTSE 100 Index rose 0.49 percent following the better than expected manufacturing PMI in the U.K.

The US economy gained 119,000 jobs in April, according to the Automatic Data Processing Inc. However, economists were projecting the economy to add 150,000 private-payroll jobs versus an original estimate of 158,000 in March.

Mortgage applications in the US gained 1.8% in the ended April 26, versus a 0.2% rise in the earlier week, the Mortgage Bankers Association reported.

The final reading of Markit's manufacturing PMI declined to 52.1 in April, versus 54.6 in March and compared to the flash estimate of 52.0 in April.

The ISM manufacturing index fell to 50.70 in March, versus a prior reading of 51.30. However, economists were expecting a reading of 50.50.

Construction spending fell 1.70% in March, versus a 1.20% rise in February.

The FOMC will announce its policy decision at 2:00 p.m. ET.

Posted-In: Earnings News Guidance Commodities Global Econ #s Economics Hot


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