Tesla, 3 M fall on Wall Street ahead of big tech earnings

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Tesla, 3 M fall on Wall Street ahead of big tech earnings

Traders exit the New York Stock ExchangeNew York Stock Exchange from 11 Wall St. Doors on June 26, 2020 in New YorkNew York City, New YorkNew York City, New York.REUTERS Brendan McDermid is Brendan McDermid.

On Tuesday, tens of thousands of shares from Tesla and 3 M weighed in Wall Street with the S&P 500 and Dow floating near flat as investors focused on wave of earnings reports from Microsoft, Alphabet and other corporate heavyweights.

TeslaTesla Inc has lost 4.5% on Monday as its quarterly earnings fell short of some investor expectations, with its margin largely supported by sales of environmental credits and selling bitcoins, rather than the vehicle sales.In extended trading on Tuesday, Google-parent Alphabet jumped almost 4% following its quarterly report while MicrosoftMicrosoft Corp. dropped 5% in its stock after its earnings release.

The shares of Amazon.com Inc, which were to report later this week, were mixed for much of the trading session.

Today, everybody wants to see the big tech earnings at the bell.When it's positive, I think we have a lot of good momentum.If they’re disappointing, we might be in for a very volatile week, said Jake Dollarhide, chief executive of Longbow Asset Management in Tulsa, Oklahoma.

Shares of 3 M Co fell 2.6% after the company claims supply chain disruptions from the COVID-19 pandemic and the February winter storm put up its costs.According to the S&P 500 companies, equity based earnings for the first quarter expected to climb from a year earlier, which would be the biggest jump since the fourth quarter of 2010 in Refinitiv IBES data.

On Monday the S&P 500 and Nasdaq ended at record levels and were recently improved by implementing economic data, a swift vaccine distribution and unprecedented monetary and fiscal measures.

We are in that area where the economy is in recovery, there is stimulus money to be spent and people have increased their desire and propensity to consume.For the remainder of the year, you'll see some fairly optimistic thoughts, said Tom Martin, senior portfolio manager at Globalt Investments in Atlanta.

Investors will monitor the two-day Federal Reserve meeting in London for more information on the central bank's thinking on inflation, bond buying and potential risks to the financial system posed by soaring asset prices.The Fed is not expected to change its guidance on policy at the end of the week on Wednesday.In the latest upbeat economic data, American consumer confidence jumped to a 14-month high in April as more services companies reopened on increased vaccinations and additional stimulus programs.

The Dow Jones industrial average lost 0.01% to end at 33,984. 93 points while the S&P 500 rose 0.02% to 4,186. 72.

Also following the bell, Starbucks dipped 2.7% following its quarterly forecast in which it lifted its annual forecast.

United Parcel Service Inc jumped about 10% after it exceeded expectation for quarterly revenue.General Electric fell 0.6% after it disappointed investors who expected the industrial conglomerate to upgrade its outlook for 2021.Declining issues on the NYSE outnumbered the gains by a 1.04-to-1 ratio; on Nasdaq, a 1.24-to-1 ratio favored decliners.

The Nasdaq Composite recorded 54 new 52 week highs and no new lows. The S&P 500 posted 125 new highs and 25 new lows.

The amount of shares on U.S. exchanges was 9.7 Billion, which exceeded the last 10 days full-session average of 9.9 Billion shares.

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