S&P 500, Nasdaq resume their advances; Disney drags on Dow

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(Businesshala) – The S&P 500 and Nasdaq rose higher on Thursday, chipmakers helped the index resume its climb, reports of higher-than-expected inflation dampened investor sentiment and a record-breaking close. Stopped the streak.

FILE PHOTO: A trader works inside a booth on the floor of the New York Stock Exchange (NYSE) in New York City, US November 8, 2021. Businesshala/Brendan McDermid

The Walt Disney Company pulled the Dow into the red in the wake of disappointing earnings reports.

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“We are seeing a rebound from yesterday’s sell-off, which I thought was exaggerated,” said Oliver Purse, senior vice president at Wealthspire Advisors in New York.

“While this story hasn’t changed much, we will continue to improve the economy, so that incomes increase significantly,” Purse said. “Yes, there are going to be headwinds related to COVID, but they are going to disappear.”

The bond market was closed in celebration of Veterans Day, and with the lack of economic data and the conclusion of the third quarter earnings season, there were few catalysts for the markets to move in either direction.

Investors favored growth over value, and financially sensitive smallcaps and chips outperformed the broader market.

The Philadelphia SE Semiconductor index rose 1.9%, bouncing back from its worst session in more than six weeks, propelled by gains at Nvidia Corp. brokerage Susquehanna raised the chipmaker’s price target.

Market participants were digesting recent inflation data, which suggested that the current wave of price hikes may have more staying power than many, due to supply challenges across the Old World – including the US Federal Reserve. Yes – expected.

The focus is on consumer spending as the holiday shopping season approaches, with a string of retailers due for expected consumer sentiment data tomorrow and quarterly earnings reports over the next few weeks.

The Dow Jones Industrial Average fell 136.4 points, or 0.38%, to 35,943.54, the S&P 500 rose 8.15 points, or 0.18%, to 4,654.86, and the Nasdaq Composite rose 107.92 points, or 0.69%, to 15,730.63.

Of the 11 key sectors of the S&P 500, utilities declined the most, while materials posted gains.

Shares of The Walt Disney Company fell 6.3% and the Dow was under the heaviest pressure after its disappointing earnings release, in which the media company reported decreased streaming customers and theme park revenue.

Shares of electric automaker Rivian Automotive Inc jumped 15.1% in one day after closing 29.1% above its offer price at its debut as a publicly traded company.

Shares of rival Lucid Group Inc jumped 9.6%.

But Tesla Inc. slipped 0.8% following news that CEO Elon Musk sold nearly $5 billion worth of stock in the company over the past few days, following his infamous Twitter poll on whether he should own 10% of his shares in the firm he founded. should be shed.

Dillard’s Inc. rose 11.2% after easily beating quarterly earnings and revenue forecasts. Fellow department stores Macy’s Inc., Nordstrom Inc. and Kohl’s Corp., which have yet to report quarterly results, rose between 1% and 4.5%.

Luxury fashion accessories firm Tapestry Inc. raised its annual sales forecast by 10.2% and announced a $1 billion share buyback plan.

Advancing issues declining to a 1.54-to-1 ratio on the NYSE; On the Nasdaq, a 1.53-to-1 ratio favored advisors.

The S&P 500 posted 12 new 52-week highs and 5 new lows; The Nasdaq Composite posted 99 new highs and 112 new lows.

Reporting by Stephen Culp; Additional reporting by Devik Jain and Shreyashi Sanyal in Bengaluru; Editing by Diane Craft

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