The markets opened higher with the Dow rising 30 points to 12,390 as corporations began releasing earnings. Nasdaq gained 7 points to 2681.

On the upside

Inhibitex (Nasdaq: INHX) will be acquired by Bristol-Myers Squibb (NYSE: BMY) for approximately $2.5 billion in cash.  

Idenix Pharmaceuticals (Nasdaq: IDIX) reported positive interim data for its hepatitis C treatment IDX184 and will begin a phase I clinical trial of IDX719. 

Human Genome Sciences (Nasdaq: HGSI) reported 2011 gross sales of $59.2 million for its systemic lupus treatment Benlysta.

On the downside

CareFusion (NYSE: CFN) reported preliminary second quarter results that fell short of analyst expectations.  

GlaxoSmithKline (NYSE: GSK) and Theravance (Nasdaq: THRX) completed Phase III studies for their once-a-day chronic obstructive pulmonary disease treatment Relovair but safety questions were raised after reports of pneumonia-related deaths. 

GameStop (NYSE: GME) disappointed with flat holiday sales.

In the broad market, advancing issues outpaced decliners by a margin of more than 9 to 7 on the NYSE and by more than 10 to 9 on Nasdaq. The Russell 2000 which tracks small cap stocks added a point to 750.