Stocks close lower due to weak AMD earnings, but strong GDP growth and company earnings

From Nasdaq: 2024-10-30 18:24:49

The S&P 500, Dow Jones, and Nasdaq all closed lower Wednesday as chip stocks slid. Advanced Micro Devices dropped over 10% after weak Q4 revenue forecast. Super Micro Computer plunged over 32% amid accounting probe. Google’s parent company, Alphabet, and Visa gained over 2% each on strong earnings. US GDP grew by 2.8% in Q3.

Strong US economic data supported stocks with higher personal consumption and job growth. Mortgage applications fell slightly, with rates rising to a 3-month high. Pending home sales surged 7.4% in September. Markets cautious ahead of earnings reports, economic data, and elections. Corporate earnings season shows 76% beating estimates. Expectations high for a rate cut at the upcoming FOMC meeting.

Overseas markets mixed with Euro Stoxx 50 down, Shanghai Composite lower, and Nikkei up. US Treasury yields rose on strong data. European bond yields also increased. Eurozone GDP beat expectations, but economic confidence fell. Swaps pricing in ECB rate cut. Reddit, Garmin, and Verisk lead gainers. Several companies report earnings on October 31.



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