Mixed earnings reports and the ongoing saga of stimulus combined to send stocks lower for a second consecutive session on Wednesday.
The Dow slipped by 0.58% (or about 165 points) today to 28,514 exactly, while the S&P dipped 0.66% to 3488.67. These losses were only slightly worse than yesterday’s.
On the other hand, the NASDAQ went from the smallest decline on Tuesday to the sharpest one today. The index dropped 0.80% (or about 95 points) to 11,768.73.
Apple (AAPL), which unveiled its first iPhone with 5G wireless connectivity yesterday, managed to eke out a 0.07% advance after slipping more than 2.65% the day earlier. However, it’s still up solidly for the week thanks to Monday’s more than 6% jump.
The worst-performing FAANG was actually Amazon (AMZN), which slipped over 2.3% on the second day of its Prime Day event.
The financials continued going to the plate on Wednesday here in the beginning days of earnings season. The results were mixed and the reaction from an already down-in-the-dumps market was muted.
Goldman Sachs (GS) beat expectations, but only gained 0.20%. Bank of America (BAC) missed revenue expectations and Wells Fargo (WFC) fell short on earnings, leading to declines of 5.3% and 6%, respectively.
The sour mood probably stemmed from Treasury Secretary Mnuchin stating that a stimulus deal before the election would be “difficult”. However, the two sides are still talking and using optimistic words like “productive” to describe the meetings.
Tomorrow’s earnings reports include the likes of Morgan Stanley (MS), Taiwan Semiconductor (TSM), Honeywell (HON), Intuitive Surgical (ISRG) and Walgreens (WBA), among many others.