Stocks declined Wednesday and oil prices jumped on rising tensions in the Middle East after a blast at a hospital in Gaza killed more than 500 people. Rising bond yields—the yield on the 10-year traded above 4.9%—also were pressuring equities.
Corporate earnings, meanwhile, remained a focus for investors. Highlights Wednesday are reports from
Tesla
(TSLA) and
Netflix
(NFLX) after the closing bell.
These stocks were making moves Wednesday:
United Airlines
(UAL) reported third-quarter earnings that beat Wall Street’s expectations but shares were down 8.5% after the carrier issued a gloomier fourth-quarter outlook, citing higher fuel costs and interruptions in service to Israel that will hit its results. The Israel-Hamas war has raged for more than a week.
Morgan Stanley
(MS) reported third-quarter earnings of $1.38 a share, topping forecasts of $1.31. Overall profit slid 8% to $2.4 billion. Persistent weakness in investment banking sent the stock tumbling 7.7%.
Procter & Gamble
(PG) reported fiscal first-quarter core earnings of $1.83 a share, beating analysts’ forecasts of $1.72. The consumer-goods giant behind Tide and many other household products lowered its all-in sales forecast for fiscal 2024 to a range of 2% to 4%, from previous guidance of 3% to 4%, citing headwinds from foreign exchange. Shares rose 2.4%.
Spirit AeroSystems
(SPR) jumped 23% after the aircraft components maker said its key customer,
Boeing
(BA), agreed to help it through its production problems.
J.B. Hunt Transport Services
(JBHT), the trucking and logistics company, reported third-quarter earnings that fell from a year earlier and missed expectations amid weaker freight demand. Revenue of $3.16 billion was down 18% from a year earlier. The stock declined 7.8%.
Abbott Laboratories
(ABT) rose 3.1% after the healthcare products company reported better-than-expected third-quarter earnings and boosted profit guidance for the full year.
Nasdaq
(NDAQ) rose 6.1% and was the best performer in the
S&P 500
after the holding company of the Nasdaq exchange topped third-quarter profit estimates.
Albemarle
(ALB) was down 8.6% after the lithium miner was downgraded to Underperform from Neutral at BofA Securities.
Ardelyx
(ARDX) rose 16% after the biopharmaceutical company received approval from the Food and Drug Administration for its kidney disease drug Xphozah. The company’s application for approval of the treatment previously was rejected by the FDA in July 2021.
ASML
(ASML), the Amsterdam-listed semiconductor company, reported better-than-expected third-quarter earnings but said it expects revenue in 2024 similar to 2023 as “customers continue to be uncertain about the shape of the demand recovery in the industry.” ASML shares traded in the U.S. declined 4.3%.
Nvidia
(NVDA) declined for a second day, falling 3.6%, after slumping 4.7% on Tuesday following an announcement from the Biden administration that it would be tightening its restriction on exports of artificial intelligence chips to China. Analysts were cautious on the long term, since China accounts for about 20% of revenue flowing to
Nvidia’s
data center business, which encompasses much of its dominance in AI.
Winnebago Industries
(WGO) was falling 2.1% after fiscal fourth-quarter revenue of $771 million from the recreational-vehicle maker missed analysts’ forecasts.
Interactive Brokers Group
(IBKR) declined 3.8%. The electronic brokerage posted third-quarter adjusted earnings and revenue that beat estimates and said customer accounts rose 21% to 2.43 million.
Write to Joe Woelfel at [email protected]
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