Despite a gain in July consumer sentiment, the markets opened lower with the Dow falling 76 points to 15,479 over earnings news. Nasdaq lost 10 points to 3594.
On the upside
Activision Blizzard (Nasdaq: ATVI) will pay approximately $8.2 billion to repurchase 429 million shares of its stock from shareholder Vivendi.
Starbucks (Nasdaq: SBUX) reported higher second quarter earnings that topped analyst estimates as revenue rose prompting the company to lift its full year outlook.
The Food and Drug Administration accepted EnteroMedics' (Nasdaq: ETRM) Premarket Approval application for the approval of Maestro Rechargeable System's VBLOC vagal blocking therapy to treat obesity.
On the downside
Zynga (Nasdaq: ZNGA) narrowed second quarter losses but the online social gaming company's decision to abandon plans for casino style games involving real money concerned investors.
Second quarter earnings dropped for Expedia (Nasdaq: EXPE) as expenses climbed prompting the online travel site to cut its full year earnings guidance.
SolarWinds (NYSE: SWI) reported higher second quarter earnings but revenue fell short of expectations and the company forecast current quarter results that missed estimates.
In the broad market, declining issues outpaced advancers by a margin of nearly 5 to 2 on both the NYSE and on Nasdaq. The broader S&P 500 index lost 6 points to 1683.