Wall Street took a breather on Tuesday, with most major indices treading water, while tech stocks enjoyed a surge. This comes as investors prepare for a flurry of earnings reports from mega-cap companies. The Nasdaq 100, fueled by anticipation for Alphabet Inc. and Advanced Micro Devices Inc.’s upcoming earnings releases, closed the day 0.7% higher. Both companies are scheduled to report their financial results after the market closes. Meanwhile, the S&P 500 remained relatively flat, the Dow Jones dipped slightly, and small-cap stocks lagged behind.
On the economic front, news emerged that U.S. job openings decreased by 418,000 in September 2024, reaching 7.443 million – the lowest level since January 2021. This figure fell short of market expectations, suggesting a potential slowdown in labor demand. Despite this, the Conference Board’s Consumer Confidence Index saw a significant jump, posting its largest monthly gain since March 2021. This indicates that while the job market may be cooling, consumer sentiment remains robust.
Treasury yields continued their upward climb, fueled by concerns over the widening U.S. budget deficit and political uncertainty ahead of next week’s elections. The yield on the 10-year Treasury note reached 4.33%, its highest level since early July. Investors sought refuge in gold, driving the precious metal to break through its all-time high of $2,770 per ounce. This trend reflects the ongoing search for hard assets amidst fiscal concerns.
The crypto market also experienced a positive day. Bitcoin surged nearly 4%, reaching $72,700 and nearing its all-time high of $73,697 set in March. Dogecoin continued its momentum with a 10% rally on Tuesday, following an 11% surge on Monday.
Here’s a snapshot of the major indices’ performance for the day:
*
Nasdaq 100:
20,500.69 (0.7% increase)*
S&P 500:
5,831.03 (0.1% increase)*
Dow Jones:
42,272.72 (-0.3% decrease)*
Russell 2000:
2,226.40 (-0.8% decrease)Notable ETF performance included:
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SPDR S&P 500 ETF Trust (SPY):
$581.48 (0.1% increase)*
SPDR Dow Jones Industrial Average (DIA):
$422.93 (-0.3% decrease)*
Invesco QQQ Trust Series (QQQ):
$498.73 (0.7% increase)*
iShares Russell 2000 ETF (IWM):
$221.01 (-0.7% decrease)*
Technology Select Sector SPDR Fund (XLK):
(1.1% increase)*
Utilities Select Sector SPDR Fund (XLU):
(1.7% decrease)Several individual stocks reacted to earnings reports:
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McDonald’s Corp. (MCD):
Down 0.4%*
Pfizer Inc. (PFE):
Down 1.7%*
PayPal Holdings Inc. (PYPL):
Down over 4%*
Ecolab Inc. (ECL):
Down 1%*
Enterprise Product Partner L.P. (EPD):
Down 0.3%*
Royal Caribbean Cruises Ltd. (RCL):
Up 3.5%*
D.R. Horton (DHI):
Down 8.6%*
Phillips 66 (PSX):
Down 3.9%*
MSCI Inc. (MSCI):
Down 1.5%*
Corning Inc. (GLW):
Up 7.8%*
Ford Motor Co. (F):
Down 8%*
SoFi Technologies Inc. (SOFI):
Down 6.3%*
Incyte Corp. (SWK):
Up 9.4%Among the large-cap companies set to release earnings after the market closes are Alphabet, Advanced Micro Devices, Visa Inc., Stryker Corp., Chubb Ltd., Mondelez International Inc., Chipotle Mexican Grill, and Electronic Arts Inc.
