Mid-Morning Market Update: Markets Open Higher; PepsiCo Beats Q3 Views

Following the market opening Tuesday, the Dow traded up 0.78% to 34,267.10 while the NASDAQ rose 1.03% to 14,402.90. The S&P also rose, gaining 0.89% to 4,338.68.

The U.S. has the highest number of coronavirus cases and deaths in the world, reporting a total of 43,852,260 cases with around 703,280 deaths. India confirmed a total of at least 33,853,040 cases and 449,260 deaths, while Brazil reported over 21,478,540 COVID-19 cases with 598,150 deaths. In total, there were at least 235,472,580 cases of COVID-19 worldwide with more than 4,810,780 deaths, according to data compiled by Johns Hopkins University.

Leading and Lagging Sectors

Energy shares jumped 1.9% on Tuesday. Meanwhile, top gainers in the sector included Gran Tierra Energy Inc. GTE, up 18% and Ring Energy, Inc. REI up 12%.

In trading on Tuesday, real estate shares fell 0.8%.

Top Headline

PepsiCo, Inc. PEP reported upbeat results for its third quarter and raised its FY21 organic revenue growth guidance.

PepsiCo reported quarterly adjusted earnings of $1.79 per share, beating analysts’ estimates of $1.73 per share. The company’s quarterly sales came in at $20.19 billion versus expectations of $19.39 billion.

PepsiCo boosted its FY21 organic revenue growth guidance from 6% to 8%.

 

Equities Trading UP

Marine Petroleum Trust MARPS shares shot up 41% to $7.19 after gaining 8% on Monday.

Shares of Synaptogenix, Inc. SNPX got a boost, shooting 17% to $10.30.

Bit Digital, Inc. BTBT shares were also up, gaining 19% to $9.06 amid an increase in the price of Bitcoin and Ethereum.

Check out these big movers of the day

Equities Trading DOWN

UpHealth, Inc. UPH shares tumbled 33% to $1.7450 after the company reported pricing of $40.25 million public offering of common stock.

Shares of Roivant Sciences Ltd. ROIV were down 16% to $6.86 after dropping 13% on Monday.

Mexco Energy Corporation MXC was down, falling 11% to $15.06 after jumping 46% on Monday.

Commodities

In commodity news, oil traded up 0.4% to $77.96, while gold traded down 0.7% to $1,755.70.

Silver traded down 0.4% Tuesday to $22.545 while copper fell 1% to $4.1960.

Euro zone

European shares were higher today. The eurozone’s STOXX 600 climbed 0.7%, the Spanish Ibex Index rose 0.5% and the German DAX 30 gained 0.4%. Meanwhile, the London’s FTSE 100 gained 0.7%, French CAC 40 climbed 0.8% and Italy’s FTSE MIB jumped 1.1%.

Producer prices in the Eurozone increased 1.1% from a month ago in August, while the IHS Markit services PMI rose to 56.4 in September from a preliminary estimate of 56.3. The IHS Markit/CIPS UK services PMI rose to 55.4 in September from a preliminary reading of 54.6.

French industrial production increased 1% from a month ago in August, while services PMI rose to 56.2 in September from a preliminary estimate of 56. German services PMI was revised higher to 56.2 for September from a preliminary reading of 56, while Spain’s services PMI slipped to 56.9 in September from 60.1 in August.

Economics

The trade deficit widened to a record high of $73.3 billion in August with exports rising 0.5% to $213.7 billion.

The IHS Markit services PMI was revised higher to 54.9 in September from a preliminary reading of 54.4.

The ISM services PMI rose to 61.9 in September from 61.7 in August.

Federal Reserve Bank of Richmond President Thomas Barkin is set to speak at 10:30 a.m. ET.

The Treasury is set to auction 52-week bills at 11:30 a.m. ET.

Federal Reserve Vice Chair Randal Quarles will speak at 1:15 p.m. ET.

Check out the full economic calendar here