© Reuters. FILE PHOTO: A street sign for Wall Street is seen in front of the New York Stock Exchange (NYSE) in New York City, New York, the United States, July 19, 2021. REUTERS / Andrew Kelly
By Caroline Valetkevitch
NEW YORK (Reuters) – The and Nasdaq finished higher on Wednesday, led by gains from big growth companies like Amazon.com and Microsoft, but JPMorgan shares fell along with other bank stocks, weighing on the market.
The S&P 500 contributed briefly to gains after the minutes of the US Federal Reserve's meeting in September were released.
Feds signaled that they could start scaling back economic support in the time of crisis in mid-November, although they continued to disagree on how threatening high inflation is and how quickly they may need to hike rates the log shows.
Earlier, a Labor Department report showed that consumer prices rose solidly in September, further fueling the case for a Fed rate hike.
JPMorgan Chase & Co (NYSE 🙂 shares fell 2.6%, although JPMorgan's third-quarter earnings exceeded expectations, aided by the global business boom and the unleashing of additional credit loss reserves. The stock fell along with other bank stocks and was one of the biggest detractors for the S&P 500 and Dow, which ended flat.
The S&P 500 banking index lost 1.3%, while longer-term government bond yields fell over the course of the day.
The corporate results of the day kicked off the third quarter results for S&P 500 companies.
“My hope is that the forward-looking forecast is good enough to end the year higher as we work our way through the profitable season. But right now the market is in a show-me phase, ”said Jim Awad, senior managing director at Clearstead Advisors LLC in New York.
Mega-Caps growth names like Amazon.com Inc (NASDAQ :), Google Mother Alphabet (NASDAQ 🙂 and Microsoft Corporation (NASDAQ 🙂 all rose.
The S&P 500 fell 0.53 points to 34,377.81, the S&P 500 gained 13.15 points, or 0.30%, to 4,363.8, and the additional 105.71 points, or 0.73%, to 14,571.64.
BlackRock Inc (NYSE 🙂 rose 3.8% after the world's largest asset manager beat its quarterly earnings estimates as an improving economy helped grow its assets under management and increase fee income.
Delta Air Lines (NYSE 🙂 also declined 5.8% on earnings after reporting its first quarterly profit without federal aid since the coronavirus pandemic, but due to a sharp rise in fuel prices before a pre-tax loss for the fourth quarter had warned.
Analysts expect Corporate America to report strong earnings growth in the third quarter, but investor concerns are mounting over how supply chain problems, labor shortages and higher energy prices could affect companies emerging from the pandemic.
Bank of America (NYSE :), City group (NYSE :), Wells Fargo (NYSE 🙂 and Morgan Stanley (NYSE 🙂 will report on the results on Thursday, while Goldman Sachs (NYSE 🙂 will report on Friday.
Among other things, Apple Inc (NASDAQ 🙂 was down 0.4% after a report said iPhone Marker planned to cut production of its iPhone 13.
Increasing issues outweighed declining issues on the NYSE by a ratio of 1.73 to 1; on the Nasdaq favored a ratio of 1.39 to 1 advanced.
The S&P 500 posted 8 new 52-week highs and 9 new lows; the Nasdaq Composite posted 47 new highs and 56 new lows.
The volume on the US exchanges was 9.31 billion shares, compared to the average of 10.8 billion for the entire session of the last 20 trading days.