Mid-Morning Market Update: Markets Edge Higher; Best Buy Profit Tops Expectations

Following the market opening Tuesday, the Dow traded up 0.10% to 28,094.13 while the NASDAQ rose 0.09% to 8,639.86. The S&P also rose, gaining 0.08% to 3,136.05.

Leading and Lagging Sectors

Real estate shares climbed 0.7% on Tuesday. Meanwhile, top gainers in the sector included Safehold Inc. SAFE, up 7%, and CBL & Associates Properties, Inc CBL, up 5%.

In trading on Friday, financial shares fell 0.2%.

Top Headline

Best Buy Co Inc BBY reported upbeat earnings for its third quarter and raised its guidance.

Best Buy reported third-quarter earnings of $1.13 per share on Tuesday, which beat the analyst consensus estimate of $1.03. The company reported quarterly sales of $9.764 billion, which beat the analyst consensus estimate of $9.7 billion.

Best Buy raised fiscal year 2020 EPS from $5.60-$5.75 to $5.81-$5.91 versus the $5.74 estimate and narrowed sales guidance from $43.1-$43.6 billion to $43.2-$43.6 billion versus the $43.38 billion estimate.

Equities Trading UP

ChemoCentryx, Inc. CCXI shares shot up 310% to $33.05 after the company announced the pivotal phase-III ADVOCATE trial of avacopan for the treatment of patients with ANCA-associated vasculitis met both primary endpoints.

Shares of Neoleukin Therapeutics, Inc. NLTX got a boost, shooting up 18% to $5.00.

Nutanix, Inc. NTNX shares were also up, gaining 18% to $34.00 after the company reported better-than-expected Q1 EPS and sales results.

Equities Trading DOWN

Movado Group, Inc. MOV shares tumbled 22% to $19.64 after the company reported worse-than-expected Q3 EPS and sales results. The company also cut its FY20 sales guidance below the analyst estimates.

Shares of Titan Machinery Inc. TITN were down 18% to $14.84 after the company reported downbeat Q3 results and narrowed FY20 EPS guidance.

Airgain, Inc. AIRG was down, falling 16% to $8.34 after the company reported that CFO Anil Doradla is leaving the company.

Commodities


In commodity news, oil traded down 1.2% to $57.90, while gold traded down 0.1% to $1,463.00.

Silver traded down 0.4% Friday to $16.99, while copper rose 0.7% to $2.6425.

Euro zone


European shares were mostly higher today. The eurozone’s STOXX 600 rose 0.44%, the Spanish Ibex Index rose 0.44%, while Italy’s FTSE MIB Index slipped 0.09%. Meanwhile, the German DAX rose 0.20%, and the French CAC 40 rose 0.20% while UK shares rose 1.22%.

Economics

The US goods trade deficit shrank to $66.5 billion in October, versus $70.5 billion in the prior month, the advance estimate showed.

Wholesale inventories increased 0.2% in October, following a revised 0.7% decline in September.

The S&P CoreLogic Case-Shiller home price index increased 2.1% year-over-year in September, versus a 2.0% rise in the prior month.

The FHFA house price index increased 0.6% in September, compared to a 0.2% rise in the prior month.

U.S. new home sales report declined 0.7% to an annual rate of 733,000 in October 2019, versus a revised 4.5% rise in September.

The Conference Board consumer confidence index fell to 125.5 for November, versus prior reading of 126.1.

The Richmond Fed manufacturing index dropped to a reading of (1) in November, versus prior reading of 8.

Federal Reserve Member of the Board of Governors Lael Brainard is set to speak in New York at 1:00 p.m. ET.

The Treasury is set to auction 5-year notes at 1:00 p.m. ET.