Mid-Morning Market Update: Markets Open Higher; Fastenal Earnings Top Views

Following the market opening Wednesday, the Dow traded up 0.67 percent to 21,552.69 while the NASDAQ climbed 0.76 percent to 6,240.31. The S&P also rose, gaining 0.68 percent to 2,442.06.

Leading and Lagging Sectors

Non-cyclical consumer goods & services shares rose by 1.3 percent in the US market on Wednesday.

In trading on Wednesday, financial shares rose by just 0.4 percent. Meanwhile, top losers in the sector included Horace Mann Educators Corporation HMN, down 3 percent, and Deutsche Bank AG (USA) DB, down 2 percent.

Top Headline

Fastenal Company FAST posted stronger-than-expected results for its second quarter.

Fastenal posted quarterly earnings of $0.52 per share on revenue of $1.122 billion. However, analysts were expecting earnings of $0.50 per share on sales of $1.11 billion.

Equities Trading UP

Rennova Health Inc RNVA shares shot up 30 percent to $0.472 after the company announced plan to spin off its Advanced Molecular Services Group.

Shares of Nam Tai Property Inc. NTP got a boost, shooting up 24 percent to $10.20. Kaisa Group Holdings reported a 17.7 percent stake in Nam Tai Property.

NRG Energy Inc NRG shares were also up, gaining 20 percent to $19.50 after the company reported launch of transformation plan targeting $2.5 billion to $4 billion targeted asset sale net cash proceeds plus removal of $13 billion debt. NRG Energy also raised its FY17 outlook.

Equities Trading DOWN

Ocular Therapeutix Inc OCUL shares dropped 23 percent to $5.84 after the biopharmaceutical company confirmed a major setback for its eye drug Dextenza, a therapy used for the treatment of ocular pain following ophthalmic surgery. Ocular confirmed in a press release after Tuesday's close it has received a Complete Response Letter (CRL) from the U.S. Food and Drug Administration relating to its re-submission of a New Drug Application (CRL) for Dextenza. The CRL states that the FDA can't approve the company's NDA in its present form.

Shares of Alder Biopharmaceuticals Inc ALDR were down 14 percent to $10.50. Alder BioPharmaceuticals announced intent to offer 12.5 million shares.

MSC Industrial Direct Co Inc MSM was down, falling around 13 percent to $75.45. MSC Industrial Direct reported in-line profit for its third quarter, but issued weak earnings forecast for the current quarter.

Commodities

In commodity news, oil traded up 1.38 percent to $45.66 while gold traded down 0.02 percent to $1,214.50.

Silver traded up 0.03 percent Wednesday to $15.75, while copper rose 0.69 percent to $2.6905.

Eurozone

European shares were higher today. The eurozone’s STOXX 600 climbed 0.81 percent, the Spanish Ibex Index rose 0.54 percent, while Italy’s FTSE MIB Index surged 1.13 percent. Meanwhile the German DAX climbed 0.65 percent, and the French CAC 40 gained 0.92 percent while U.K. shares rose 0.96 percent.

Economics

The Energy Information Administration’s weekly report on petroleum inventories in the U.S. is schedule for release at 10:30 a.m. ET.

The Treasury will auction 10-year notes at 1:00 p.m. ET.

The Federal Open Market Committee will release Beige book report at 2:00 p.m. ET.

Kansas City Federal Reserve Bank President Esther George is set to speak in Denver at 2:15 p.m. ET.