US Stock Markets Today: S&P 500, Dow Jones Open Flat After Tesla Earnings
Tesla and IBM were down over 5% after announcing their earnings.
S&P 500 and Dow Jones Industrial Average were flat on Thursday after Tesla and IBM announced their third quarter earnings. Minutes into the trade, the Dow Jones Industrial Average rose 29.96 points or 0.08%, S&P 500 also rose over 0.13%, while Nasdaq was up 0.01%.
Tesla and IBM were down over 5% after announcing their earnings. Tesla’s profit plunged as rising costs undercut a record quarter of vehicle sales, exposing strains on its operations. Adjusted earnings were 50 cents a share in the period, down 31% from a year ago, the company said Wednesday in a statement. Tesla’s operating expenses soared 50% to $3.4 billion in the quarter, and it now estimates the impact of US tariffs was $400 million in the period.
This comes after wall street closed in the negative on Wednesday with Dow Jones down 0.7% and S&P 500 and Nasdaq Composite seeing a decline of 0.5% and 0.9%, respectively.
With employment remaining the biggest fear, “we don’t think the CPI number tomorrow will carry much weight as the Fed meeting starts next Tuesday,” Andrew Brenner at NatAlliance Securities told Bloomberg.
In the early minutes of trading, nine of the 11 sectoral indices were trading in green. Energy and Industrial sectors led the advance, while consumer discretionary and consumer staples were the sectors in red.
Nike Inc., Amazon.com, Goldman Sachs Group Inc. and Boeing Co. were amongst the gainers for the day. On the other hand, McDonald's Corp., Coca-Cola Co. and Microsoft Corp. were in the red.
As the US market opened, spot gold rose 1% to $4,140.10 an ounce. Crude oil prices rose, with the West Texas trading 5.1% higher at $61.47 per barrel.
The Bloomberg Dollar Index was little changed, with the British Pound at $1.3345 and the Japanese yen fell 0.4% at 152.54 per dollar.
Bitcoin, the largest traded cryptocurrency was up 1.3% at $109,136.22.
