Wealth Manager - the site for professional investment managers

Register free for our breaking news email alerts with analysis and cutting edge commentary from our award winning team. Registration only takes a minute.

Overnight Markets: Wall Street declines on disappointing earnings reports

Overnight Markets: Wall Street declines on disappointing earnings reports

Wall Street closed lower on Thursday after corporate earning disappointed and trade jitters escalated as the European Union officials are said to be preparing for retaliatory tariffs on goods imported from the US.

The Dow Jones Industrial Average declined 135 points, or 0.53%, to 25,065, the S&P 500 fell 11 points, or 0.40%, to 2,804 and the Nasdaq Composite fell 29 points, or 0.37%, to 7,825.

The EU Trade Commission officials are said to be preparing a list of tit-for-tat actions in response to proposed US tariffs on EU cars.

Automakers said tariffs on US cars and car parts could increase vehicle prices by $83 billion annually. Ford Motor Co and General Motors Co were down 0.5% and 1.4%, respectively.

Shares of eBay fell 10.1% after a disappointing earnings report. American Express Co dipped 2.7% after the credit card company reported rising expenses due to increased spending on its rewards programme.

Sharp moves in bond yields after President Donald Trump told CNBC he wasn’t “thrilled” that the Federal Reserve was hiking interest rates, put pressure on financial stocks. JP Morgan, Bank of America and Citigroup were all down more than 1%.

Bank of New York Mellon fell 5.2% after saying the loss of two clients will continue to hurt results.

Travelers Cos was among the biggest drags on the Dow Jones, falling 3.7% following a profit miss attributed to US storm-related losses.

Comcast Corp added 2.6% on news that the cable company had dropped its pursuit of Twenty-First Century Fox entertainment assets to focus on its bid for Sky Plc.

In Asia, shares fell on Friday in morning session after stocks stateside slipped amid Trump's criticism of the Fed, while the yuan weakened further.

Japan's Nikkei 225 declined 0.77%. South Korean stocks also traded lower, with the Kospi slipping 0.44%. Elsewhere, Hong Kong's Hang Seng Index lost 0.77%. The Shanghai composite slipped 0.5%. Down Under, the S&P/ASX 200 bucked the trend to tack on 0.27%.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
2 Comments Play Tim Steer: how to spot a stock disaster coming

Tim Steer: how to spot a stock disaster coming

The former Citywire AAA-rated fund manager has written a book on 22 stock disasters and how forensic examination of annual reports could have spotted them coming.

Play CEO tapes: the gap between best and worst alternatives is stark

CEO tapes: the gap between best and worst alternatives is stark

In the final part of our series we take a look at the rise of illiquid investing and whether it really serves in clients best interests.

Play CEO Tapes: dangerous data and great technology

CEO Tapes: dangerous data and great technology

In the third part of our latest series the debate turns to technology and the huge impact it is having on the fund management industry.

Read More
Wealth Manager on Twitter