NEW YORK (Businesshala) – The S&P 500 and Nasdaq ended higher on Wednesday, led by gains in big growth names like Amazon.com and Microsoft, but JPMorgan shares fell along with other bank stocks and weighed on the market.
The S&P 500 briefly added to gains following the release of minutes from the September Federal Reserve policy meeting.
US central bankers indicated they may begin easing crisis-era support for the economy in mid-November, though they remain divided on how high inflation is a threat and how quickly they need to raise interest rates. Maybe, shown in minutes.
Earlier, a report by the Labor Department showed a solid increase in consumer prices in September, further strengthening the case for a Fed interest rate hike.
Shares of JPMorgan Chase & Co fell 2.6%, though JPMorgan’s third-quarter earnings beat expectations, helped by a global dealmaking boom and the issuance of more debt loss reserves. The stock declined, along with other bank stocks and was one of the biggest drags on the S&P 500 and Dow, which ended flat.
The S&P 500 Bank Index was down 1.3% on the day the longer-term Treasury yield declined.
The day’s corporate results closed out third-quarter earnings for the S&P 500 companies.
“My hope is that as we work our way into earnings season, the forward-looking guidance will be good enough that we close out the year more. But right now the market is in a show-me phase. ,” said Jim Awad, senior managing director of Clearstead Advisors LLC in New York.
Mega-cap growth names including Amazon.com Inc., Google-parent Alphabet and Microsoft Corp all rose.
The Dow Jones Industrial Average fell 0.53 points to 34,377.81, the S&P 500 rose 13.15 points, or 0.30%, to 4,363.8 and the Nasdaq Composite rose 105.71 points, or 0.73%, to 14,571.64.
BlackRock Inc gained 3.8% after the world’s largest money manager beat quarterly profit estimates as an improved economy helped boost its assets under management, leading to increased fee income.
Even in earnings, Delta Air Lines fell 5.8% after the company reported its first quarterly profit without federal aid since the coronavirus pandemic, but warned of a pre-tax loss for the fourth quarter due to a sharp rise in fuel prices. Gave.
Analysts expect Corporate America to report strong profit growth in the third quarter, but investor concerns are growing about how supply chain problems, labor shortages and high energy prices will affect businesses emerging from the pandemic. can do.
Bank of America, Citigroup, Wells Fargo and Morgan Stanley will report results on Thursday, while Goldman Sachs is due to report on Friday.
Among other movers, Apple Inc fell 0.4% after a report said the iPhone marker was planning to cut production of its iPhone 13.
Advancing issues declining the 1.73-to-1 ratio on the NYSE; On the Nasdaq, a 1.39-to-1 ratio favored advances.
The S&P 500 posted 8 new 52-week highs and 9 new lows; The Nasdaq Composite posted 47 new highs and 56 new lows.
Volume on US exchanges stood at 9.31 billion shares, compared to an average of 10.8 billion for the full session over the past 20 trading days.