US stocks rose on Tuesday-earnings reports
2022.07.19 18:15
Budrigannews.com – U.S. stocks rose on Tuesday as investors took in the message from another slew of earnings reports.
At 10:48 AM ET, the Dow Jones Industrial Average rose 455 points, or 1.5%, while the S&P 500 rose 1.7% and the NASDAQ Composite rose 1.8%.
Investors are looking to earnings reports to see what companies say about how they are grappling with higher costs and ongoing supply challenges and how consumer behavior is shifting after persistently high inflation. So far, more than half of the companies that have reported have beaten expectations.
Stocks were rallying on Monday until a report about Apple Inc (NASDAQ:AAPL) slowing hiring and spending next year because of economic uncertainty threw a damper on investor enthusiasm. But the S&P is climbing back near a technical level – 3900 – that could be the threshold for further gains, analysts said. On Tuesday morning, the S&P was just below 3900.
Housing starts in June fell to their lowest since September after sliding in May as demand eases off from a pandemic boom. Rising mortgage rates and record-high prices for homes have pushed many would-be buyers to the sidelines for now.
International Business Machines (NYSE:IBM) shares fell 6.6% after the company reported better than expected earnings but trimmed its estimate for free cash flow this year because of its exit from Russia and the strong dollar.
Lockheed Martin Corporation (NYSE:LMT) shares fell 0.3% after the military contractor said sales of fighter jets fell and it lowered its 2022 targets for revenue and earnings.
Oil fell. Crude Oil WTI Futures fell 0.3% to $99 a barrel, while Brent Oil Futures crude fell 0.1% to $106 a barrel. Gold Futures was flat at $1,710 an ounce.
