Market Overview

Mid-Morning Market Update: Markets Rise; ConAgra Foods Plans To Exit Private Label Business

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Following the market opening Tuesday, the Dow traded up 0.23 percent to 17,636.26 while the NASDAQ climbed 0.46 percent to 4,981.20. The S&P also rose, gaining 0.30 percent to 2,063.71.

Leading and Lagging Sectors

Financial shares jumped by 0.60 percent on Tuesday. Meanwhile, top gainers in the sector included St. Joe Co (NYSE: JOE), up 6 percent, and Willis Group Holdings PLC (NYSE: WSH), up 6 percent.

In trading on Tuesday, basic materials shares slipped by 0.10 percent. Meanwhile, top losers in the sector included Cliffs Natural Resources Inc (NYSE: CLF), down 10 percent, and Schnitzer Steel Industries, Inc. (NASDAQ: SCHN), off 10 percent.

Top Headline

ConAgra Foods Inc (NYSE: CAG) reported in-line earnings for its fiscal fourth quarter and announced its plans to exit Private Brands operations.

The Omaha, Nebraska-based company reported quarterly net profit of $209.2 million, or $0.48 per share, versus a year-ago loss of $324.2 million, or $0.77 per share. Excluding items, the company’s earnings rose to $0.59 per share from $0.55 per share.

Its net sales surged to $4.1 billion from $3.96 billion. However, analysts were expecting a profit of $0.59 per share on revenue of $4.14 billion.

Equities Trading UP

Juno Therapeutics Inc (NASDAQ: JUNO) shares shot up 23 percent to $56.89 on news that it signed a 10-year drug development pact with Celgene Corporation (NASDAQ: CELG).

Shares of Asterias Biotherapeutics Inc (NYSE: AST) got a boost, shooting up 16 percent to $4.31. Asterias Biotherapeutics has been added to the Russell 2000®, Russell 3000®, Russell Global and Russell Microcap® indexes.

Signal Genetics Inc (NASDAQ: SGNL) shares were also up, gaining 60 percent to $2.37 after the company announced a Master Service Agreement with a leading pharmaceutical company.

Equities Trading DOWN

Apollo Education Group Inc (NASDAQ: APOL) shares tumbled 15 percent to $13.23. Apollo Education reported better-than-expected earnings for its fiscal third quarter. However, the company lowered its forecast for the year ending in August.

Shares of Tuesday Morning Corporation (NASDAQ: TUES) were down 14 percent to $11.35. Tuesday Morning announced the resignation of its CFO Jeffrey Boyer.

Schnitzer Steel Industries, Inc. (NASDAQ: SCHN) was down, falling 8 percent to $17.74 on Q3 results. Schnitzer Steel reported a FQ3 loss of $9.6 million.

Commodities

In commodity news, oil traded up 1.08 percent to $58.96, while gold traded down 0.84 percent to $1,169.10.

Silver traded down 1.24 percent Tuesday to $15.50, while copper fell 1.54 percent to $2.59.

Eurozone

European shares were mostly lower today. The eurozone’s STOXX 600 fell 0.66 percent, the Spanish Ibex Index gained 0.08 percent, while Italy’s FTSE MIB Index rose 0.25 percent. Meanwhile, the German DAX fell 0.69 percent, and the French CAC 40 dropped 0.67 percent while UK shares slipped 0.63 percent.

Economics

The S&P/Case-Shiller home price index increased 1.1 percent in April, versus economists’ expectations for a 1.1 percent growth.

The Chicago PMI climbed to 49.40 in June, versus a prior reading of 46.20. However, economists were expecting a reading of 50.10.

The Conference Board’s Consumer Confidence Index climbed to 101.4 in June, versus a revised reading of 94.6 in May. Economists were projecting a reading of 97.30.

Posted-In: Earnings News Guidance Eurozone Futures Commodities Global Econ #s

 

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