Nasdaq hits record high as Alphabet earnings beat estimates
Alphabet beats quarterly revenue estimates
D.R. Horton losses weigh on homebuilders
Nasdaq hits record closing high at 18,712
Indexes: Nasdaq up 0.78%, S&P up 0.16%, Dow down 0.36%
Updates after the close
By Abigail Summerville
Oct 29 (Reuters) - The Nasdaq scored a record closing high and the S&P 500 rose on Tuesday, while the Dow fellas investors digested a host of corporate earnings and awaited Google-parent Alphabet's GOOGL.O results that came after the market close.
Alphabet, one of the so-called "Magnificent Seven" megacap technology stocks, reported quarterly revenue that beat estimates.
This is the busiest week for S&P 500 earnings in the quarter, with eyes on five of the "Magnificent Seven" companies that are reporting results.
The group's results will be crucial to determining whether Wall Street can sustain the optimism around technology and artificial intelligence that has lifted indexes to record highs this year.
"I think one of the things the market is digesting is the idea of some degree of convergence in earnings growth between the high fliers - the Magnificent Seven that are obviously very high in terms of market weighting - versus the rest of the market," said Bill Merz, head of Capital Markets Research for U.S. Bank's asset management group.
The Nasdaq Composite .IXIC rose 145.56 points, or 0.78%, to 18,712.75, breaking the previous closing record in July.
The S&P 500 .SPX climbed 9.45 points, or 0.16%, to 5,832.97. The Dow Jones Industrial Average .DJI fell 154.52 points, or 0.36%, to 42,233.05.
Investors sifted through a deluge of corporate earnings. Vans parent VF Corp VFC.N jumped 27% afterthe apparel company reported its first profit in two quarters.
D.R. Horton DHI.N fell 7.2% onTuesday after the homebuilder forecast 2025 revenue below estimates. Other homebuilders lost ground, dragging thePHLX Housing index .HGX down 2.5%.
Ford F.N slumped 8.4% a day after the automaker said it expected to hit the lower end of its annual profit forecast.
Visa V.N and restaurantchain Chipotle Mexican Grill CMG.N posted earnings after the close.
Meanwhile, the Labor Department's JOLTS survey showed job openings were at 7.44 million in September, compared with estimates of 8 million, a Reuters poll of economists showed.
A separate report showed consumer confidence at 108.7 in October, abovethe estimated 99.5.
Among sectors, communication services .SPLRCL, which includes Alphabet and Meta, was the top gainer, while utilities .SPLRCU dropped 2.1%.
Gains were limited asthe benchmark U.S. 10-year Treasury yield US10YT=RR touched4.3% for the first time since early July.
Investors are anticipating a volatile few weeks with more corporate earnings, Middle East tensions, and the Nov. 5 U.S. elections followed by the Federal Reserve's policy-setting meeting.
Declining issues outnumbered advancers by a 1.78-to-1 ratio on the NYSE. There were 176 new highs and 75 new lows on the NYSE.
The S&P 500 posted 19 new 52-week highs and no new lows while the Nasdaq Composite recorded 93 new highs and 70 new lows.
Volume on U.S. exchanges was 12.59 billion shares, compared with the 11.5 billion full-session average over the last 20 trading days.
Google parent lags Big Tech rivals amid heated AI race https://tmsnrt.rs/4e7yLMR
The Trump Trade https://tmsnrt.rs/3YeC3tB
Reporting by Abigail Summerville in New York; Editing by Richard Chang
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
