Markets Update: S&P 500 and Nasdaq Rise as Tesla Soars; Dow Drops for 4th Day

Major U.S. stock indexes turned in a mixed performance on Thursday as investors digested a barrage of earnings reports from major companies.

The S&P 500 and Nasdaq Composite gained 0.2% and 0.8%, respectively, while the Dow Jones Industrial Average shed 0.3% and extended its losing streak to four consecutive sessions. The S&P 500 snapped a three-day losing streak, while the Nasdaq bounced back from a 1.6% decline yesterday that was sparked by a selloff in large-cap technology stocks.

Tesla (TSLA) shares led the charge on Thursday, rising 22% and recording their best day in a decade, after the EV maker reported better-than-expected earnings and said that plans for new, more-affordable models are “on track” for production to start next year.

Other large-cap tech stocks were mostly higher Thursday. AI investor darling Nvidia (NVDA), Microsoft (MSFT), Alphabet (GOOGL), Meta Platforms (META) and Amazon (AMZN) gained ground, while Apple (AAPL) inched lower.

Shares of United Parcel Service (UPS) rose 5.3% after the package delivery giant reported better-than-expected results on the top and bottom lines.

Shares of Dow component Boeing (BA) fell 1.2% after the plane maker’s machinists late Wednesday rejected a new contract offer and extended a crippling six-week strike.

Fellow Dow member International Business Machines (IBM) plunged 6.2% after reporting quarterly revenue that came in below analysts’ expectations. Honeywell (HON), another Dow component, dropped 5.1% after reporting disappointing results and cutting its sales outlook.

Investors were also digesting several economic indicators that were released this morning. Weekly jobless claims numbers came in lower than expected, while new-home sales were higher than anticipated. Market participants are closely watching the data as they seek confirmation that the U.S. economy remains on sound footing and look for information that could inform the Federal Reserve’s decisions on interest rates.

The yield on 10-year Treasurys, which is tightly correlated with expectations around interest rates, fell to 4.21% from 4.24% yesterday. The yield has been on the rise, hitting levels not seen since late July in recent days, as the market has recalibrated its expectations for how aggressive the Fed will be in easing policy in the coming months.

Gold futures were up slightly, at around $2,750 an ounce, after hitting an all-time high of just above $2,770 on Wednesday. Bitcoin was trading above $68,000, near its highest levels of the week.

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