Pending home sales climbed 4.5% in January to boost the markets during the midday with the Dow soaring 112 points to 14,013. Nasdaq climbed 33 points to 3163.

On the upside

Guidewire Software (NYSE: GWRE) reported higher second quarter earnings as revenue climbed.

Optimer Pharmaceuticals (Nasdaq: OPTR) will review strategic options including the possible sale of the company.

Mako Surgical (Nasdaq: MAKO) posted a loss for the fourth quarter but the stock price advanced.

On the downside

CommonWealth REIT (NYSE: CWH) will commence its offering of common stock even as investors Corvex Management and Related Fund Management opposed the offering.

Goldman Sachs downgraded Graftech International (NYSE: GTI) to a Sell rating.

Carter's (NYSE: CRI) reported sharply higher fourth quarter earnings but the branded children's apparel and products company forecast disappointing current quarter sales.

In the broad market, advancing issues outpaced decliners by a margin of more than 3 to 1 on the NYSE and by nearly 5 to 2 on Nasdaq. The broader S&P 500 index climbed 14 points to 1510.