Wall Street starts in the red – investors wait for weak IBM numbers

Trader on the New York Stock Exchange

At the close of the US market, Netflix presented its quarterly figures.

(Photo: dpa)

Frankfurt The US stock indices opened lower on Thursday. Reason: The courses of the Wall Street heavyweights IBM and Tesla fell after their quarterly results. Now investors are waiting for more company reports to see the impact of supply chain problems and labor shortages.

The Dow Jones fell 0.3 percent to 35,520 positions when it opened. The S&P 500 opened 0.1 percent lower at 4,532 points, while the Nasdaq Composite fell 0.1 percent to 15,104 on the opening bell. “Caution is the motto of the day,” said Neil Wilson, chief analyst at online broker Markets.com.

Good news came from the job market. The number of initial jobless claims in the US has surprisingly fallen somewhat. A total of 290,000 Americans filed for government support last week. In the seven days before it was revised 296,000.

Economists polled by the Reuters news agency had expected an increase to 300,000 applications for the previous week. The recovery on the US labor market from the Corona crisis stalled somewhat in September, as the increase in jobs was relatively low at 194,000. The labor market still lacks 4.97 million jobs at pre-crisis levels.

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In the second attempt, office broker Wework made its stock market debut on Thursday. The share rose a good five percent to eleven dollars at the start. That means the company is valued at about nine billion dollars.

US stock market expert Koch: “Is the correction coming on Wall Street now?”

Look at further individual values

American Airlines: A quarterly result above market expectations gives a boost. The airline’s shares rise 1.4 percent. The quarterly loss was reportedly with 0.99 dollars per share less than feared. At the same time, sales exceeded analyst forecasts at $ 8.97 billion.

Crocs: A surprisingly strong jump in profit and a more optimistic outlook give the shares a big jump in prices. The shares of the clogs supplier rose by around ten percent. The company increased quarterly sales 73 percent to $ 625.9 million. For the year as a whole, it is aiming for growth of 62 to 65 instead of 60 to 65 percent.

IBM: The company beat estimates with adjusted quarterly earnings of $ 2.52 per share by two cents. But revenue fell short of analysts’ forecasts as the company’s cloud business weakened and customer spending plummeted. IBM slipped 6.6 percent.

Dow: The US chemical company benefited from higher prices for its products and the global economic recovery and posted a profit jump in the third quarter. The recovery in industrial and automotive activity has fueled demand for the company’s chemicals, which are used in plastic food packaging, textiles, electronics and paints. Hurricane Ida, which forced Dow and other chemical manufacturers to shut down some production facilities on the US Gulf Coast, also created further shortages, which drove up prices. The stock fell one percent.

Blackstone: The share of the private equity company gained 2.8 percent. With a profit of $ 1.28, Blackstone clearly beat the consensus estimate of 91 cents. The company benefited from strong investment performance, among other things.

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