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CTV News
5 days ago
- Business
- CTV News
Tesla tumbles and Alphabet rallies to keep Wall Street near its records
NEW YORK — Wall Street is hanging near its records on Thursday, but the calm surface of the U.S. stock market is hiding some roiling moves underneath. Alphabet is rallying, and Tesla is sinking sharply following a jumble of profit reports from big U.S. companies. The S&P 500 was 0.1 per cent higher in early trading after setting an all-time high the day before. The Dow Jones Industrial Average was down 265 points, or 0.6 per cent, as of 9:35 a.m. Eastern time, and the Nasdaq composite was 0.3 per cent higher. Alphabet climbed 3.1 per cent after the company behind Google and YouTube delivered a fatter profit for the latest quarter than analysts expected. It's leaning more into artificial-intelligence technology and said it's increasing its budget to spend on AI chips and other investments this year by US$10 billion to $85 billion. That helped drive up other stocks in the AI industry, including a 1.4 per cent gain for chip company Broadcom. But a 9.2 per cent drop for Tesla helped keep the market in check. Elon Musk's electric-vehicle company reported results for the spring that were roughly in line with or above analysts' expectations, and Musk is trying to highlight Tesla's moves into AI and robotaxis. The focus, though, remains on how Musk's foray into politics is turning off potential customers, and he said several rough quarters may be ahead as 'we're in this weird transition period where we'll lose a lot of incentives in the U.S.' Stocks have broadly been rallying for weeks on hopes that U.S. President Donald Trump will reach trade deals with other countries that will lower his stiff proposed tariffs, along with the risk that they could cause a recession and drive up inflation. The record-setting gains have been so strong that criticism is rising about how expensive stock prices have become. That in turn puts pressure on companies to deliver solid profit growth in order to justify their big gains. Besides Tesla, airlines also helped weigh on the market following their profit reports. American Airlines lost 9.3 per cent despite reporting a stronger profit than expected, thanks in part to premium bookings on long-haul flights abroad. The company said it expects to report a loss for the summer quarter. It also gave a forecast for results for the full year that had a wide range: between a loss of 20 cents per share and a profit of 80 cents per share, depending on how the economy performs. Southwest Airlines lost 8.9 per cent after delivering weaker results than expected. But it also said that it's seeing early signs of stronger demand coming off a 'depressed second quarter.' Reactions in the stock market have generally been stronger than usual when companies beat or miss their profit targets by a wide margin, according to Julian Emanuel at Evercore. Other extreme moves have also been happening underneath the market's surface, including huge swings for 'meme stocks.' Those are stocks where traders are looking to jump in with others driven by online cheerleading and get out before the momentum stops. Such swings, though, haven't been showing up in overall market indexes, which have been gliding recently. The S&P 500 hasn't had a day where it swung by at least one per cent in a month. In the bond market, U.S. Treasury yields rose following the latest signal that the U.S. economy seems to be holding up OK despite all the pressures on it from tariffs and elsewhere. A report said that fewer U.S. workers applied for unemployment benefits last week, a potential signal of easing layoffs. That helped nearly cement expectations on Wall Street that the U.S. Federal Reserve will hold interest rates steady at its next meeting next week, even though Trump has been agitating angrily for cuts. The European Central Bank. which had been cutting its rates, also held steady on Thursday as it waits to see how Trump's tariffs will affect the economy. The yield on the 10-year U.S. Treasury note rose to 4.43 per cent from 4.40 per cent late Wednesday. In stock markets abroad, indexes rose across much of Asia and Europe. Tokyo's jump of 1.6 per cent and London's rise of 0.8 per cent were two of the bigger gains. ___ AP writer Teresa Cerojano contributed. By Stan Choe
Yahoo
7 days ago
- Business
- Yahoo
How major US stock indexes fared Tuesday, 7/22/2025
U.S. stocks drifted to another record following some mixed profit reports, as General Motors and other big U.S. companies give updates on how much President Donald Trump's tariffs are hurting or helping them. The S&P 500 rose 0.1% Tuesday to beat the all-time high it set a day earlier. The Dow Jones Industrial Average added 0.4%, and the Nasdaq composite fell 0.4% from its record. General Motors dropped 8.1% despite reporting a stronger profit than expected, as it still sees a $4 billion to $5 billion hit this year because of tariffs. Homebuilders soared following their better-than-forecast profit reports. On Tuesday: The S&P 500 rose 4.02 points, or 0.1%, to 6,309.62. The Dow Jones Industrial Average rose 179.37 points, or 0.4%, to 44,502.44. The Nasdaq composite fell 81.49 points, or 0.4%, to 20,892.68. The Russell 2000 index of smaller companies rose 17.63 points, or 0.8%, to 2,248.76. For the week: The S&P 500 is up 12.83 points, or 0.2%. The Dow is up 160.25 points, or 0.4%. The Nasdaq is down 2.97 points, or less than 0.1%. The Russell 2000 is up 8.75 points, or 0.4%. For the year: The S&P 500 is up 427.99 points, or 7.3%. The Dow is up 1,958.22 points, or 4.6%. The Nasdaq is up 1,581.89 points, or 8.2%. The Russell 2000 is up 18.60 points, or 0.8%. Sign in to access your portfolio
Globe and Mail
22-07-2025
- Business
- Globe and Mail
Wall Street ticks up to another record as GM and others show how tariffs are impacting them
NEW YORK (AP) — Wall Street inched to another record on Tuesday following some mixed profit reports, as General Motors and other big U.S. companies gave updates on how much President Donald Trump's tariffs are hurting or helping them. The S&P 500 added 0.1% to the all-time high it had set the day before. The Dow Jones Industrial Average rose 179 points, or 0.4%, though the Nasdaq composite slipped 0.4% from its own record. General Motors dropped 8.1% despite reporting a stronger profit for the spring than analysts expected. The automaker said it's still expecting a $4 billion to $5 billion hit to its results over 2025 because of tariffs and that it hopes to mitigate 30% of that. GM also said it will feel more pain because of tariffs in the current quarter than it did during the spring. That helped to offset big gains for some homebuilders after they reported stronger profits for the spring than Wall Street had forecast. D.R. Horton rallied 17%, and PulteGroup jumped 11.5%. That was even as both companies said homebuyers are continuing to deal with challenging conditions, including higher mortgage rates and an uncertain economy. So far, the U.S. economy seems to be powering through the uncertainty created by Trump's on-and-off tariffs. Many of Trump's proposed taxes on imports are currently on pause, and the next big deadline is Aug. 1. Talks are underway on possible trade deals with other countries that could lower the stiff proposals before they kick in. Trump said he reached a trade agreement with the Philippines following a meeting Tuesday at the White House, that will see the U.S. slightly drop its tariff rate for the Philippines without paying import taxes for what it sells there. Companies are already feeling effects. Genuine Parts, the Atlanta-based company that sells auto and industrial replacement parts around the world, trimmed its profit forecast for the full year in order to incorporate 'all U.S. tariffs currently in effect,' along with its updated expectations for business conditions in the second half of the year. Its stock rose 7.6% after it reported a stronger profit for the latest quarter than analysts expected. RTX fell 1.6% after cutting its forecast for profit in 2025 but also raising its forecast for revenue. It made the changes to incorporate what CEO Chris Calio called 'our current assessment of the impact of tariffs,' along with other changes anticipated from Washington's recent approval of big tax changes. Coca-Cola slipped 0.6% even though it delivered a stronger profit than forecast. Its revenue for the quarter only edged past analysts' expectations, and it said that higher prices that it charged helped offset sales of fewer cases during the spring. Opendoor Technologies, a company that caught interest among investors looking for the next 'meme stock' that could rise regardless of how its profits are doing, lost momentum and dropped 10.3% to $2.88. It had climbed as high as $3.99 in the morning, more than quintuple its price of 78 cents from just two Fridays ago. All told, the S&P 500 rose 4.02 points to 6,309.62. The Dow Jones Industrial Average added 179.37 to 44,502.44, and the Nasdaq composite fell 81.49 to 20,892.68. In the bond market, Treasury yields sank as traders continue to expect the Federal Reserve to wait until September at the earliest to resume cutting interest rates. Fed Chair Jerome Powell has been insisting he wants to see more data about how Trump's tariffs are affecting inflation and the economy before the Fed makes its next move. That's despite often angry criticism from Trump, who has been lobbying for more cuts to rates to happen sooner. The yield on the 10-year Treasury eased to 4.34% from 4.38% late Monday. In overseas markets, Japan's benchmark jumped and then fell back as it reopened from a holiday Monday following the ruling coalition's loss of its upper house majority in Sunday's election. The Nikkei 225 shed 0.1%. Analysts said the market initially climbed on relief that Prime Minister Shigeru Ishiba vowed to stay in office despite a loss for his ruling coalition in an upper-house election Sunday. But the results have only added to political uncertainty and left his government without the heft needed to push through legislation. A breakthrough in trade talks with the U.S. might win Ishiba a reprieve, but so far there's been scant sign of progress in negotiating away the threat of higher tariffs on Japan's exports to the U.S. beginning Aug. 1. Indexes were mixed elsewhere in Asia and Europe.
Fast Company
22-07-2025
- Automotive
- Fast Company
Wall Street holds near record highs as tariffs cloud corporate outlook
Wall Street is hanging near its records on Tuesday following some mixed profit reports, as General Motors and other big U.S. companies give updates on how much President Donald Trump's tariffs are hurting or helping them. The S&P 500 was shaving 0.1% off its all-time high set the day before. The Dow Jones Industrial Average was up 44 points, or 0.1%, as of 12:10 p.m. Eastern time, and the Nasdaq composite was down 0.4% after setting its own record. General Motors dropped 5.8% despite reporting a stronger profit for the spring than analysts expected. The automaker said it's still expecting a $4 billion to $5 billion hit to its results over 2025 because of tariffs and that it hopes to mitigate 30% of that. GM also said it will feel more pain because of tariffs in the current quarter than it did during the spring. That helped to offset big gains for some homebuilders after they reported stronger profits for the spring than Wall Street had forecast. D.R. Horton rallied 14.5%, and PulteGroup rose 9.2%. That was even as both companies said homebuyers are continuing to deal with challenging conditions, including higher mortgage rates and an uncertain economy. So far, the U.S. economy seems to be powering through all the uncertainty created by Trump's on-and-off tariffs. Many of Trump's stiff proposed taxes on imports are currently on pause, and the next big deadline is Aug. 1. Talks are underway on possible trade deals with other countries that could lower the proposed tariffs before they kick in. Companies are already feeling effects. Genuine Parts, the Atlanta-based company that sells auto and industrial replacement parts around the world, trimmed its profit forecast for the full year in order to incorporate 'all U.S. tariffs currently in effect,' along with its updated expectations for business conditions in the second half of the year. Its stock rose 5.5% after it reported a stronger profit for the latest quarter than analysts expected. RTX fell 2.3% after cutting its forecast for profit in 2025 but also raising its forecast for revenue. It made the changes to incorporate what CEO Chris Calio called 'our current assessment of the impact of tariffs,' along with other changes anticipated from Washington's recent approval of big tax changes. Coca-Cola fell 1% even though it delivered a stronger profit than forecast. Its revenue for the quarter only edged past analysts' expectations, and it said that higher prices that it charged helped offset sales of fewer cases during the spring. Opendoor Technologies, a company that's caught interest among investors looking for the next 'meme stock' that can rally regardless of how its profits are doing, rose another 3.1% to $3.31. It's more than quadrupled from 78 cents just two Fridays ago. In the bond market, Treasury yields sank as traders continue to expect the Federal Reserve to wait until September at the earliest to resume cutting interest rates. Fed Chair Jerome Powell has been insisting he wants to see more data about how Trump's tariffs are affecting inflation and the economy before the Fed makes its next move. That's despite often angry criticism from Trump, who has been lobbying for more cuts to rates to happen sooner. The yield on the 10-year Treasury eased to 4.33% from 4.38% late Monday. In overseas markets, Japan's benchmark surged and then fell back as it reopened from a holiday Monday following the ruling coalition's loss of its upper house majority in Sunday's election. The Nikkei 225 shed 0.1%. Analysts said the market initially climbed on relief that Prime Minister Shigeru Ishiba vowed to stay in office despite a loss for his ruling coalition in an upper-house election Sunday. But the results have only added to political uncertainty and left his government without the heft needed to push through legislation. A breakthrough in trade talks with the U.S. might win Ishiba a reprieve, but so far there's been scant sign of progress in negotiating away the threat of higher tariffs on Japan's exports to the U.S. beginning Aug. 1.
CTV News
22-07-2025
- Business
- CTV News
U.S. stocks hang around their records following mixed profit reports
Traders Neil Catania, left, and Daniel Kryger work on the floor of the New York Stock Exchange, Monday, July 21, 2025. (AP Photo/Richard Drew) NEW YORK — Wall Street is hanging around its records following some mixed profit reports, as General Motors and other big U.S. companies give updates on how much U.S. President Donald Trump's tariffs are hurting or helping them. The S&P 500 was flat in early trading Tuesday, a day after inching to its latest all-time high. The Dow Jones Industrial Average was down 30 points, and the Nasdaq composite was down 0.1 per cent from its own record. General Motors dropped 3.6 per cent despite reporting a stronger profit than expected. The automaker said it's still expecting a US$4 billion to $5 billion hit this year from tariffs. By Elaine Kurtenbach and Matt Ott
