US Markets,13 Oct: Dow Edges Up, S&P 500 and Nasdaq Composite Index Decline
US Markets LIVE, 13 Oct 2023: The US stock market indexes opened higher on Friday after strong bank earnings were reported and a decline in Treasury yields.
Dow Jones opened higher by 102.2 points at the 33733.34 level, while the S&P 500 made a positive opening of 10.88 points at the 4360.49 level. The Nasdaq Composite index also made a slightly higher opening of 39.37 points at the 13613.59 level.
US Markets Live Today
At 12 p.m. EDT, The US equity market indexes turned negative. Dow Jones cut its early gains and is trading slightly lower by 15.85 points or 0.05 percent at the 33615.29 level while the S&P 500 erased all gains and is trading lower by 20.58 points or 0.47 percent at 4329.03 levels. The tech-heavy Nasdaq Composite Index pared all early gains and is trading lower by 156.01 points or 1.15 percent at 13418.21 levels.
US Market News
The US stock market sentiments were positive in the early trade. Dow Jones was trading higher as strong banking earnings boosted the market sentiments. JP Morgan Chase, Wells Fargo, and Citi beat analyst’s expectations for both earnings and revenue in the third quarter results. The shares of JP Morgan Chase and Wells Fargo gained above 3% while Citi is up 2.7% after the results.
The market sentiments got further boosted in the morning deal, as the US Treasury yield declined after it rallied in the previous session due to a higher-than-expected inflation reading.
After several Fed official’s dovish comments, now Philadelphia Federal Reserve President Patrick Harker said on Friday that he thinks the central bank can stop raising interest rates. The 10-year Treasury yields declined by over 6 basis points at 4.636%.
The market upside remains capped, as the University of Michigan consumer sentiments slipped in October according to a preliminary survey, while inflation expectations spiked.
Stocks in News Today
The streaming service company Netflix fell more than 2% after Wolfe Research downgraded the stock to Peerperform from Outperform ahead of Q3 earnings. Netflix will announce its third quarterly result on 18 October.
Shares of Fortinet fell more than 2.6% after Barclays downgraded the global cybersecurity solution company from Overweight to Equal-weight and trimmed the target price from $71 to $63.
Shares of Chinese e-commerce company JD.com fell more than 3% after the stock was downgraded by Morgan Stanley, cut its rating from Overweight to Equal-weight, and reduced the target price from $55 to $33. Meanwhile, Macquarie also downgraded the stock from Outperform to Neutral and trimmed the price target from $52 to $32.
The shares of UnitedHealth gained 1.6% after the largest health insurance giant posted third-quarter results that beat analysts’ estimates, revenue was above expectation and the company raised its full-year earnings per share guidance
Crude Oil Prices
Crude oil prices are gaining more than 4% and are heading for a strong weekly gain after the US tightened its sanctions against Russian crude exports, raising supply concerns in a tight market amid conflicts in the Middle East. However, traders ignored the data released on Friday showing a month-on-month decline in Chinese crude imports.
The US WTI crude is trading higher by 4.43% at $86.58 per barrel while London-based Brent crude oil is up by 4.23% at $89.61 per barrel.
US Markets at Close
US stock market indexes closed mixed on Friday. Dow Jones ended higher by 0.12 percent, as Wall Street big banks reported better-than-expected quarterly earnings, while energy stocks gained after the rise in oil prices.
S&P 500 and Nasdaq ended lower by 0.50 percent and 1.23 percent respectively, as big tech stocks including Apple, Meta Platforms, Alphabet, and Microsoft fell more than 1 percent. Meanwhile, chip stocks including Nvidia fell sharply more than 3% amid concern about fresh US restrictions on chip exports to China.
Also, read Dow Jones and Nasdaq Futures Edge Up Before Big Banks’ Earnings
US Markets 12 Oct: Nasdaq & Dow Retreat Amid Inflation Concerns and Yield Surge
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