Connect with us


Wall Street climbs ahead of Big Tech earnings reports

Wall Street climbs ahead of Big Tech earnings reports


NEW YORK (AP) Stocks rise Tuesday as Wall Street waits to hear from some of its most influential companies, and whether their huge rally this year was warranted.

The S&P 500 was up 0.3% in afternoon trading, near its highest level in more than 15 months. The Dow Jones Industrial Average rose 59 points, or 0.2%, to 34,470 as of 12:38 p.m. EST, and the Nasdaq composite rose 0.7%.

General Electric helped lead the market as the earnings season gathered pace. GE rebounded 5.9% after reporting higher-than-expected spring earnings. It also raised its full-year revenue and profit forecast.

Another industrial giant, 3M, rose 5% after the Scotch-Brite and Post-It maker raised its full-year profit forecast thanks in part to cost-cutting efforts. Homebuilder PulteGroup climbed 5.8% after reporting higher-than-expected spring earnings.

On the losing side of Wall Street were airline stocks, led by Alaska Air Group. It fell 9.9% despite reporting stronger-than-expected earnings and revenue for the last quarter. Analysts said investors may have been disappointed with its financial guidance for the current quarter.

Raytheon fell 12.5% ​​after it said accelerated teardowns and inspections were needed for some of its Pratt & Whitney aircraft engines to check for a rare condition in the metal powder. That prompted it to revise its forecast for how much cash it will generate this year, although it reported higher earnings and revenue for the spring than analysts had expected.

This week is busy for earnings reporting, and about 30% of S&P 500 companies are on the schedule. Attention then turns to two behemoths that will report after markets close on Tuesday, Alphabet and Microsoft.

They were two of the seven stocks behind the majority of the S&P 500’s 19% gain in the first half of the year. Both are up at least 38% for the year so far on expectations that they will continue to post strong growth, and the numbers they produce in the afternoon will offer more clues as to whether those expectations are reasonable.

This week, another highlight for Wall Street also begins on Tuesday: the Federal Reserve’s latest interest rate meeting.

The Fed is expected to announce another interest rate hike on Wednesday as it attempts to rein in high inflation. That would take the federal funds rate to a range of 5.25% to 5.50%, its highest level since 2001 and up from virtually zero at the start of last year.

High rates dampen inflation by slowing the overall economy and hurting stock prices and other investments. The hope among traders is that Wednesday’s move will be the last increase in this cycle because inflation has cooled since last summer.

Those hopes, along with the growing belief that the economy can avoid a long-predicted recession, have helped stocks rally strongly this year. The labor market remained remarkably strong, allowing US households to continue spending and supporting the economy. A report on Tuesday showed that US consumer confidence rose more than economists expected.

But many on Wall Street warn that the Fed is unlikely to give any signal on Wednesday that it is done raising rates. Inflation is still high, though it has moderated somewhat, and the economy may have to cave into a long but shallow recession if the Fed is to bring inflation back to its 2% target, according to Steven Ricchiuto, chief U.S. economist at Mizuho Securities.

In the bond market, returns were mixed for Treasuries.

The 10-year Treasury yield rose to 3.89% from 3.88% on Monday evening. It helps set the rates for mortgages and other large loans.

The two-year Treasury yield, which moves more on market expectations for Fed action, slipped to 4.90% from 4.92%.

In foreign markets, stock indexes were mixed.

Shares jumped 4.1% in Hong Kong and 2.1% in Shanghai. Chinese leaders promised measures to boost sluggish economic growth by supporting property sales and other struggling sectors, but gave no details or mentioned possible stimulus spending.

The indices evolved more modestly in the rest of the world.


AP Business Writer Joe McDonald contributed.




The mention sources can contact us to remove/changing this article

What Are The Main Benefits Of Comparing Car Insurance Quotes Online

LOS ANGELES, CA / ACCESSWIRE / June 24, 2020, / Compare-autoinsurance.Org has launched a new blog post that presents the main benefits of comparing multiple car insurance quotes. For more info and free online quotes, please visit https://compare-autoinsurance.Org/the-advantages-of-comparing-prices-with-car-insurance-quotes-online/ The modern society has numerous technological advantages. One important advantage is the speed at which information is sent and received. With the help of the internet, the shopping habits of many persons have drastically changed. The car insurance industry hasn't remained untouched by these changes. On the internet, drivers can compare insurance prices and find out which sellers have the best offers. View photos The advantages of comparing online car insurance quotes are the following: Online quotes can be obtained from anywhere and at any time. Unlike physical insurance agencies, websites don't have a specific schedule and they are available at any time. Drivers that have busy working schedules, can compare quotes from anywhere and at any time, even at midnight. Multiple choices. Almost all insurance providers, no matter if they are well-known brands or just local insurers, have an online presence. Online quotes will allow policyholders the chance to discover multiple insurance companies and check their prices. Drivers are no longer required to get quotes from just a few known insurance companies. Also, local and regional insurers can provide lower insurance rates for the same services. Accurate insurance estimates. Online quotes can only be accurate if the customers provide accurate and real info about their car models and driving history. Lying about past driving incidents can make the price estimates to be lower, but when dealing with an insurance company lying to them is useless. Usually, insurance companies will do research about a potential customer before granting him coverage. Online quotes can be sorted easily. Although drivers are recommended to not choose a policy just based on its price, drivers can easily sort quotes by insurance price. Using brokerage websites will allow drivers to get quotes from multiple insurers, thus making the comparison faster and easier. For additional info, money-saving tips, and free car insurance quotes, visit https://compare-autoinsurance.Org/ Compare-autoinsurance.Org is an online provider of life, home, health, and auto insurance quotes. This website is unique because it does not simply stick to one kind of insurance provider, but brings the clients the best deals from many different online insurance carriers. In this way, clients have access to offers from multiple carriers all in one place: this website. On this site, customers have access to quotes for insurance plans from various agencies, such as local or nationwide agencies, brand names insurance companies, etc. "Online quotes can easily help drivers obtain better car insurance deals. All they have to do is to complete an online form with accurate and real info, then compare prices", said Russell Rabichev, Marketing Director of Internet Marketing Company. CONTACT: Company Name: Internet Marketing CompanyPerson for contact Name: Gurgu CPhone Number: (818) 359-3898Email: [email protected]: https://compare-autoinsurance.Org/ SOURCE: Compare-autoinsurance.Org View source version on accesswire.Com:https://www.Accesswire.Com/595055/What-Are-The-Main-Benefits-Of-Comparing-Car-Insurance-Quotes-Online View photos


to request, modification Contact us at Here or [email protected]