Mid-Afternoon Market Update: Cheesecake Factory Slides After Lower Guidance; Cleantech Solutions Shares Gain

Toward the end of trading Tuesday, the Dow traded up 0.41 percent to 21,323.37 while the NASDAQ climbed 0.55 percent to 6,209.53. The S&P also rose, gaining 0.40 percent to 2,439.14.

Leading and Lagging Sectors

Technology sector was the top gainer in the US market on Tuesday. Top gainers in the sector included Camtek LTD. CAMT, Sierra Wireless, Inc. (USA) SWIR, and Veeco Instruments Inc. VECO.

In trading on Tuesday, telecommunications services shares fell by 0.15 percent. Meanwhile, top losers in the sector included America Movil SAB de CV (ADR) AMX, down 2 percent, and Verizon Communications Inc. VZ, down 1.5 percent.

Top Headline

John Wiley & Sons Inc JW reported upbeat results for its fourth quarter on Monday.

John Wiley & Sons reported Q4 adjusted earnings of $0.82 per share on revenue of $452.2 million. However, analysts were expecting earnings of $0.54 per share on sales of $425 million.

Equities Trading UP

Cleantech Solutions International Inc CLNT shares shot up 18 percent to $4.97 after announcing an agreement with ECrent Capital Holdings on Monday.

Shares of Veeco Instruments Inc. VECO got a boost, shooting up 7 percent to $31.75. JP Morgan upgraded Veeco Instruments from Neutral to Overweight.

Cavco Industries, Inc. CVCO shares were also up, gaining 9 percent to $128.60 as the company posted strong results for its fourth quarter on Monday.

Equities Trading DOWN

Science Applications International Corp SAIC shares dropped 9 percent to $73.89. SAIC reported better-than-expected earnings for its first quarter, but revenue missed estimates.

Shares of CEL-SCI Corporation CVM were down 21 percent to $0.0777 after the company reported a 1-for-25 reverse split.

Cheesecake Factory Inc CAKE was down, falling around 9 percent to $52.95 after the company issued a weak same-restaurant sales forecast for the current quarter. Before the open, the company reported Q2 2017 comparable sales will be down approximately 1 percent.

Commodities

In commodity news, oil traded up 0.59 percent to $46.35 while gold traded down 0.02 percent to $1,268.60.

Silver traded down 0.94 percent Tuesday to $16.785, while copper fell 0.71 percent to $2.597.

Eurozone

European shares closed mostly higher today. The eurozone’s STOXX 600 gained 0.55 percent, the Spanish Ibex Index rose 0.37 percent, while Italy’s FTSE MIB Index jumped 0.85 percent. Meanwhile the German DAX climbed 0.59 percent, and the French CAC 40 surged 0.40 percent while U.K. shares fell 0.15 percent.

Economics

The Federal Open Market Committee begins its two-day policy meeting today.

The NFIB small business optimism index was unchanged at 104.5 in May versus the previous month. Economists expected a reading of 104 for the month.

The Producer Price Index was unchanged for May, versus a 0.5 percent gain in April. Economists were expecting a 0.10 percent growth for May.