U.S. stocks were traded cautiously on Wednesday after the recent rally although closed slightly higher as positive economic news buoyed the market.
The Dow Jones industrial average gained 4 points to 9,544. The S&P500 Index closed flat at 1,028 and the NASDAQ was also steady at 2,024.
In economic news: the Census Bureau and the Department of Housing and Urban Development released a report that showed sales of newly constructed homes jumped 9.6% in July to an annualized rate of 433,000. The higher than expected read was a welcomed surprise for economists and could signal an early turn around for the housing market.
Durable goods orders also rose more than expected in July. The Commerce Department said that orders for goods that last three years or longer rose 4.9% while economists has expected a result of around 3.2%.
In company news: Shares in upscale home furnishings retailer Williams Sonoma (NYSE:WSM) shares gained 11.25% to $17.21. The company reported a surprise second-quarter profit due to cost cutting and inventory initiatives to offset weaker demand. It raised its forecast for the third quarter.
Shares of fashion company Guess (NYSE:GES) rose 2.39% to $32.15 during the session. After the closing bell shares gained after the company posted an 11 percent rise in quarterly net profit, helped by strong sales growth in Europe and higher profit margins.
U.S. Energy Corp (NASDAQ:USEG) shares jumped 31.78% to $2.82 as fellow oil company Brigham said the two companies had entered into a drilling participation deal to accelerate drilling in some of Brigham's properties before lease expirations.
General Electric (NYSE:GE) shares lost 1.33% to $14.11 as reports said it is seeking to sell its security unit, GE Security, for around $2 billion. General Electric has engaged JPMorgan Chase to find a buyer.
Checking the NASDAQ Top 100: The biggest gains overnight were seen in Garmin as the stock rose 4.56 per cent to $31.84. Infosys Technologies and LAM Research were the next best performers.
Looking at the downside, JB Hunt Transport Services was the worst performer, down 3.46 per cent to $28.99, followed by Steel Dynamics and Ryanair Holdings.
