After hours, Dow Jones futures, S&P 500 futures, and Nasdaq futures saw a slight increase. Applied Materials (AMAT) and Ross Stores (ROST) were the main movers in terms of earnings. The stock market saw a mixed day with the Nasdaq and S&P 500 barely making gains despite sell-offs from Cisco Systems (CSCO), Palo Alto Networks (PANW), and Alibaba (BABA). While leading stocks held up reasonably well, small caps experienced losses. Crude oil futures tumbled, and treasury yields retreated.
In recent news, the CEO of Tesla (TSLA), Elon Musk, made a comment on a social media platform that many deemed anti-Semitic. The controversial statement caused Tesla stock to fall back below a key level. This event highlights the potential impact that CEO actions and statements can have on a company’s brand, demand, and stock performance.
On a more positive note, Google parent Alphabet (GOOGL) flashed a buy signal, while General Electric (GE) experienced a breakout. Novo Nordisk (NVO) is also showing signs of setting up.
Looking at specific earnings, Applied Materials saw late sell-offs indicating a potential move below a buy point. While the chip-equipment giant reported earnings that exceeded fiscal Q4 expectations and provided positive Q1 guidance, news of a U.S. criminal investigation for evading China export curbs put downward pressure on the stock. Ross Stores, on the other hand, experienced a rise in stock price after hours, signaling a move back above a buy point. The off-price apparel chain reported strong earnings for Q3 and provided solid Q4 guidance.
As the stock market rally traded modestly lower for most of the day, the major indexes closed narrowly mixed. The Dow Jones Industrial Average fell slightly, while the S&P 500 index and Nasdaq composite saw marginal increases. The market breadth was weak, with more losers than winners. The small-cap Russell 2000 took a significant hit while regional banks and smaller energy companies also experienced losses.
In conclusion, while the stock market had a mixed day, with some sectors experiencing sell-offs, individual stocks like Tesla faced volatility due to controversial comments made by its CEO. It remains to be seen how this event will impact the company’s brand and stock performance in the long term.
FAQs
1. What caused the stock market rally to have a mixed Thursday?
The stock market rally had a mixed Thursday due to sell-offs from certain companies, including Cisco Systems, Palo Alto Networks, and Alibaba.
2. Why did Tesla stock fall back below a key level?
Tesla stock fell back below a key level after the company’s CEO, Elon Musk, made a comment on a social media platform that many saw as anti-Semitic.
3. Which stocks saw significant movements in earnings?
Applied Materials and Ross Stores were the key movers in terms of earnings. Applied Materials experienced a late sell-off, potentially indicating a move below a buy point, while Ross Stores saw a rise in stock price after hours.
4. How did the major indexes perform in Thursday’s stock market trading?
The Dow Jones Industrial Average fell slightly, while the S&P 500 index and Nasdaq composite saw marginal increases.
5. What stocks and sectors experienced losses?
Small caps, regional banks, and smaller energy companies were among the losers in Thursday’s stock market trading.