Wall street ends lower ahead of megacap earnings
Microsoft and Meta beat quarterly revenue estimates
AMD falls, weighing on chip stocks
Alphabet jumps on earnings beat
Indexes down: Dow 0.22%, S&P 0.33%, Nasdaq 0.56%
Updates as of 4:30 p.m. ET (1030 GMT
By Abigail Summerville
Oct 30 (Reuters) - U.S. stock indexes closed lower on Wednesday as chip stocks tumbled and investors awaited a host of corporate earnings.
Microsoft MSFT.O and Meta Platforms META.O reported earnings after the bell, with both beating quarterly revenue estimates.
Shares of Alphabet GOOGL.O, the first of the five "Magnificent Seven" megacap stocks that reported resultsthis week, rose 2.8% afterthe company on Tuesday beatexpectations for third-quarter revenue and profit.
Alphabet helped to offset falling chip stocks, weighed by dour forecasts from Advanced Micro Devices AMD.O and Qorvo QRVO.O, which fell 10.6% and 27.3%, respectively.
Meanwhile, shares of Super Micro Computer SMCI.O plunged 32.6%after Ernst & Young resigned as the company's accountant. Nvidia NVDA.O slipped 1.4%.
The information technology sector .SPLRCT was the biggest sectoral decliner, falling1.34%, while Alphabet's gains lifted the communicationservices sector .SPLRCL.
“Qorvo, Advanced Micro and Super Micro - those are three pretty big moves that are causing a little bit of angst and taking some of the bloom off the rose from the stellar print from Google last night,” said Michael James, managing director of equity trading at Wedbush Securities.
"The clear laser focus is going to be on the stock specific reports and guides," James said.
The Dow Jones Industrial Average .DJI fell 91.51 points, or 0.22%, to 42,141.54, the S&P 500 .SPX lost 19.25 points, or 0.33%, to 5,813.67 and the Nasdaq Composite .IXIC lost 104.82 points, or 0.56%, to 18,607.93.
In economic data, the U.S. gross domestic product increased at a 2.8% annualized rate, according to the Commerce Department's advance estimate of third-quarter GDP, slightly below economists' forecast of 3.0% growth.
A separate report showed U.S. private payrolls growth surged by a higher-than-expected 233,000 jobs in October.
The neck-and-neck race between U.S. presidential candidates Kamala Harris and Donald Trump was also at the top of investors' minds ahead of the Nov. 5 election.
EliLilly LLY.N fell 6.2% aftermissing sales estimates for its popular weight-loss and diabetes drugs.
Starbucks SBUX.O reported earnings after the close showing a drop in quarterly sales as global demand suffers.
Advancing issues outnumbered decliners by a 1.01-to-1 ratio on the NYSE. There were 210 new highs and 52 new lows on the NYSE.
The S&P 500 posted 24 new 52-week highs and five new lows, while the Nasdaq Composite recorded 126 new highs and 98 new lows.
Alphabet's cloud revenue growth accelerates on AI boom https://reut.rs/4hpeEwE
The Magnificent Seven https://reut.rs/4hpeHIQ
Reporting by Abigail Summerville
Editing by Marguerita Choy
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