In corporate news, Coca Cola (KO) advanced 1.58% after the beverage giant reported second-quarter earnings and revenue that topped analysts’ estimates. Goldman Sachs (GS gained 1.1% after the investment bank reported second-quarter earnings and revenue that exceeded expectations. Johnson & Johnson (JNJ) rose 0.9% even after the drug and consumer-products company reported second-quarter revenue that fell short of analysts’ expectations and lowered its 2012 earnings outlook. Yahoo (YHOO) fell 0.1% after the internet giant named Google executive Marissa Mayer as Chief Executive on Tuesday afternoon.
In U.S. economic news, consumer prices were flat in June, in line with expectations, as energy costs continued to fall. Investors have said the Fed might be less hesitant to roll out additional stimulus measures if inflation is lower. Industrial production picked up in June, rising slightly more than expectations, according to the Federal Reserve. Meanwhile, capacity utilization increased slightly but fell short of expectations.
Finally, Facebook (FB) dropped 2.9%, adding to Monday’s 8.1% slide, ahead of next week’s quarterly earnings report for the social-media company, its first ever as a publicly traded company.