YAHOO [BRIEFING.COM]: The major market averages saw a sharp reversal, squandering early gains and closing flat to lower as uneasiness over the debt ceiling debate in Washington continues to weigh on equities. The Nasdaq turned an earlier gain of 1.2% into a flat close while the Dow and S&P saw modest gains turn into losses.

Shares of Green Mountain Coffee Roasters (GMCR 102.57, +14.46) hit an all-time high of $107.27 and closed higher by 16.4% after blowing past earnings estimates. The company announced earnings of $0.49 per share which topped the Capital IQ Consensus Estimate by $0.14, and saw revenues rise 126.5% year over year to $717.2 million. Also benefitting shares was the company issuing upside guidance for the fourth quarter 2011 and full year 2012. The strategy to align with major coffee brands has been beneficial, and the company is moving forward on espresso plans.

Boston Scientific (BSX 7.28, +0.57) ended up 8.5% after this morning's better than expected earnings, and the announcement that it would buyback $1 billion worth of shares. The company announced earnings of $0.17 per share which was $0.09 better than the Capital IQ Consensus estimate. Revenues of $1.98 billion were in-line with expectations with the company issuing mixed guidance for full year 2011.

Homebuilders closed mixed following some disappointing earnings results. D.R. Horton (DHI 11.90, +0.30) posted earnings per share of $0.09, $0.02 better than the Capital IQ Consensus Estimate, but saw revenues fall 29.2% year over year to $975.4 million. The drop in revenues was more than expected as the Capital IQ Consensus Estimate was calling for revenues of $996 million. Homes closed in the quarter totaled 4,555 homes, compared to 6,805 homes in the same quarter of fiscal 2010. Pulte Group (PHM 6.80, -0.20) announced a loss of $0.15 per share which missed the Capital IQ Consensus Estimate by $0.11. Revenues fell 29.0% year over year to $927 million and were well below the Capital IQ Consensus Estimate of $989 million. Lower revenue for the period was driven by a 28% decrease in closings, combined with a 1% decrease in average selling price to $248,000. Prior year results benefitted from increased demand stimulated by a first-time homebuyer tax credit which expired April 30, 2010.

Exxon Mobil (XOM 81.46, -1.85) reported earnings per share of $2.18, excluding non-recurring items, $0.15 worse than the Capital IQ Consensus Estimate. The company saw profit for the second quarter climb to a three-year high as it improved by 41% year over year. The strong profits have been attributed to higher oil prices, improved refining, and better product marketing.

Shares of Akamai Technologies (AKAM 23.84, -5.64) lost 19.1% after reporting in-line earnings. The company announced earnings per share of $0.35, a penny worse than expectations. Revenues rose 12.9% year over year to $277 million versus the $277.8 million consensus. Shares were hammered after the company announced disappointing guidance for the third quarter. On its conference call the company noted web traffic growth rate of acceleration was not at the same level as last year, and that it added a record 147 net new customers for the quarter.

Treasuries saw small gains today despite the inability of Congress to reach a debt ceiling agreement and the mediocre 7-yr note auction. After falling as low as 2.93% earlier this morning, the 10-yr ended the day down close to three basis points at 2.955%. After spending most of the session lower the VIX closed higher for the fifth consecutive session.

Trade in precious metals was headline driven once again. Gold and silver sold off to their respective lows, this morning, following headlines from Senator Harry Reid which said he was willing to hear from House Republicans on debt limit compromise ideas to avoid default. That headline sparked talk of some compromise between Dems an Repubs, but that was short lived after further headlines circulated indicating that both sides were still far apart. Those headlines helped gold futures bounce off of lows back to the flat line. Silver had limited success in rebounding off its lows. Aug gold finished lower by 0.2% to $1612.40 per ounce, while Sept copper shed 1.8% to finish at $39.84 per ounce.

Sept natural gas fell 1.9% to $4.24 per MMBtu following this mornings inventory data, which showed a larger-than-expected build. Futures were able to bounce modestly off those lows to trade back above the $4.22 level, its 200 day moving avg. Sept crude oil finished just above flat at $97.44.

Data to be released tomorrow includes GDP, GDP deflator, and the Employment Cost Index which will all be released at 8:30 a.m. ET, as well as Chicago PMI at 9:45 a.m. ET, and Michigan Sentiment - Final at 9:55 a.m. ET.DJ30 -62.44 NASDAQ +1.46 SP500 -4.22 NASDAQ Adv/Vol/Dec 1412/2.02 bln/1102 NYSE Adv/Vol/Dec 1524/983.9 mln/1472