Stocks Hold Gains As Greek Talks Collapse; Groupon Jumps

By ALAN R. ELLIOTT, INVESTOR'S BUSINESS DAILY
Posted 10:40 AM ET

Stocks held their initial gains Tuesday after healthy factory and inflation data, despite the euro's sharp drop vs. the dollar.
The Nasdaq climbed 0.4% while the Dow Jones industrial average and the S&P 500 each gained 0.2%.
European markets gave up modest gains and reversed lower after Greek lawmakers reportedly broke off talks to form a coalition government. Greek President Karolos Papoulias lost in his bid to form a technocrat-led government to navigate the country away from bankruptcy. Papoulias said leaders would meet Wednesday to form a caretaker government as a stop-gap until the June elections.
In stocks, GrouponGRPN swept ahead 18% after reporting a 2-cents-a-share profit in Q2, its first profit in two years. Sales rose 90% to $559.3 million, above views of $539.45 million.
The online coupon innovator quelled concerns of a slowdown in U.S. growth, reporting North American revenue up 33% for the quarter. The company's share of cash after subtracting portions owed to partner companies in coupon deals rose to 41.3%, up from 40% in Q1.
The gain put the stock just below its declining 10-week moving average and 31% below its November IPO price.
TJX (TJX)surged 7% after its Q1 earnings and revenue squeaked past analysts' consensus. EPS rose 40% to 55 cents. Sales climbed 11% to $5.8 billion. Analysts expected 51 cents and $5.72 billion.
Strong sales in Europe helped boost margins more than expected. Costs as a percentage of sales decreased. Management expects Q2 EPS of 47 cents to 50 cents, below consensus expectations for 51 cents. The company raised full-year EPS guidance by a penny.
The stock rallied from support at its 50-day line in heavy trade and near a new high.