Dow Earnings: How Merck, Caterpillar Shares Are Faring

Group 1: Caterpillar Inc. (NYSE:CAT) - Caterpillar's stock is down 6.4% at $340.21 after missing first-quarter revenue estimates and issuing a weak current-quarter forecast [1] - The stock fell to its lowest level since early February and is at risk of closing below the 60-day moving average for the first time since December [1] - Despite the decline, Caterpillar remains up 15.1% year-to-date [1] - Options trading is active, with 17,000 calls and 20,000 puts traded, which is double the intraday average volume [1] - The most popular option is the weekly 4/26 325-strike put, expiring at the close tomorrow [1] Group 2: Merck & Co Inc (NYSE:MRK) - Merck's stock is up 3.3% at $131.18 after exceeding top- and bottom-line expectations for the first quarter [2] - The company raised its annual profit and revenue forecast, contributing to positive market sentiment [2] - Merck's stock is close to its record high of $133.08 set on March 27 and has a year-to-date gain of 20.2% [2] - The equity has a Schaeffer's put/call open interest ratio (SOIR) of 0.55, indicating that short-term options traders are leaning bullish [2]