Stock market tumbles as Tesla and Alphabet disappoint with quarterly results

From Google: 2024-07-24 16:32:00

The S&P 500 and Nasdaq experienced their worst day since 2022, with Tesla and Alphabet leading the slide after disappointing quarterly results. The S&P 500 fell 2.6%, the Nasdaq dropped 3.3%, and the Dow Jones Industrial Average lost 1.3%. Tesla shares declined 10.7%, while Alphabet’s stock fell 8.6%.

The tech sector was hit hard, with Apple falling 2.1% and Microsoft dropping 2.9%. Amazon shares were down 3.8%, and Meta Platforms fell 4.9%. The economic impact of the war in Ukraine also contributed to the market downturn, with concerns about inflation and rising interest rates.

Investors are closely watching the Federal Reserve’s next steps after Chair Jerome Powell signaled that the central bank could raise interest rates more aggressively to curb inflation. The Fed is expected to begin raising rates at its next meeting in March, with further increases likely throughout the year.

Tesla reported weaker-than-expected revenue and delivery numbers for the first quarter, sending its stock tumbling. Alphabet also disappointed investors with its earnings report, as revenue growth slowed to 32% from 50% the previous quarter. Both companies cited supply chain challenges and inflation as factors impacting their performance.



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