Stocks in major indexes were trading in a mixed manner during the afternoon, with the Dow Jones Industrial Average making slight gains while other indexes were falling. This was happening as investors eagerly awaited remarks from Federal Reserve Chairman Jerome Powell after the Fed meeting. Nvidia also experienced a decline as other companies in the artificial intelligence sector saw drops in earnings. Another notable mention was Tesla, which slipped amidst reports of rival companies reporting their April deliveries.
The Dow Jones index saw some collective gains today, with blue chips leading the charge. However, stocks in the Nasdaq and S&P 500 were not performing as well, with both indexes experiencing declines. All three major indexes are currently trading below their 50-day moving averages.
Small caps continued to weaken after significant losses yesterday, with the Russell 2000 index showing a decrease in recent trading. On the other hand, the Innovator IBD 50 (FFTY) exchange traded fund showed marginal gains.
Volume was higher on the New York Stock Exchange but lower on the Nasdaq today compared to this time yesterday. Advancers outnumbered decliners on both exchanges. The yield on the 10-year Treasury note also fell by 3 basis points to 4.65%.
Economic news revealed that job additions were higher than expected in April, according to Automatic Data Processing. However, the Labor Department reported little change in job openings for March. The Purchasing Managers’ Manufacturing Index and the manufacturing index from the Institute for Supply Management were in line or slightly above expectations.
The Federal Reserve’s meeting concluded today, with traders anticipating that borrowing rates will remain unchanged. The odds of a rate cut are now projected to be in September, with Fed Chair Powell’s post-meeting remarks awaited.
In corporate news, Amazon saw gains after reporting an earnings beat, driven by its cloud computing and advertising segments. However, the sales outlook for the current quarter was slightly lower than expected. Tech players like Microsoft showed some gains, while companies like Salesforce and Cisco declined.
Other companies like Super Micro Computer, Advanced Micro Devices, and CVS Health reported earnings that were not well received by investors. Nvidia also experienced a decline in sympathy. Garmin saw a gain after beating estimates, while Wingstop reversed lower despite a strong first quarter.
Music companies like Nio, Byd, Xpeng, and Li Auto reported mixed deliveries for April. Nio stock soared while Li fell. Qualcom’s earnings report was awaited at the close of the market today.
