Tesla falls short of some investors' expectations ahead of big tech earnings

3 minutes
Tesla falls short of some investors' expectations ahead of big tech earnings

Traders exit the 11 Wall St. door of the New York Stock ExchangeNew York Stock Exchange in New YorkNew York City, New York, October 26, 2020.Brendan McDermid is being published on the REUTERS.

On Tuesday, main results from Microsoft and 3 M weighed on Wall Street, with the mixed indexes ending as investors focused on wave of earnings reports from Tesla, Alphabet and other corporate heavyweights.

The electric car maker TeslaTesla Inc. did Thursday after its quarterly results fell short of some investors' expectations, with its revenues largely supported by sales of environmental credits and the sale of bitcoin, rather than vehicle sales.After the bell, Microsoft and Alphabet Inc saw weak trading.Shares of MicrosoftMicrosoft Inc Facebook Inc and Amazon.com Inc, which were planned to report earlier this week, mixed for much of the session.

Everyone awaited tech earnings after the bell today.If it’s positive, I think I think we’ll get a lot of good momentum.If they're volatile, we could be in for a very disappointing week, said Jake Dollarhide, CEO of Longbow Asset Management in Tulsa, Oklahoma.

3 M Co shares fell after the conglomerate said supply chain disruptions from the COVID 19 Pandemic and winter storm in February had raised its costs. S&P 500 earnings per share for second quarter companies will rise 17% from a year earlier, which would be the biggest surge since the Fourth Quarter of 2010 according to Refinitiv IBES data.

The Nasdaq 500 and the S&P 500 finished on Monday at record levels, supported recently by improving economic data, a swift distribution of vaccines and unprecedented regulatory and fiscal measures.

We are in that spot where the economy is recovering, there is stimulus money to be spent and people have increased their desire and propensity to consume.You will see some very optimistic thoughts for the remainder of the year, said Tom Martin, Senior Portfolio Manager at Globalt Investments in Atlanta.

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

Unofficially, the Dow Jones Industrial Average was 1.25 points or 0% in 33,982. 82, the Nasdaq Composite dropped 3.05 points on May 17 to 4,186. 57 and the S&P 500 fell 52.56 points or 0.34% to 14,090. 22.

Also expected to report on Tuesday were a number of companies including Visa Texas Instruments Amgen and Starbucks.

United Parcel Service Inc. jumped after it topped the quarterly estimates for quarterly earnings.General Electric fell after it deceived investors who were expecting the industrial conglomerate to update its prospects in 2021.

  • Comments
Loading comments...