Earnings season debuts to mixed reviews
SPY•US stocks were muted Tuesday after big banks reported mixed third-quarter earnings, with the S&P 500 essentially flat and the Nasdaq slightly lower. Analysts expect S&P 500 earnings to grow 30.6% year over year for the July-September period, as investors awaited Wednesday’s inflation report.
1. Stocks and earnings
Wall Street stocks were muted Tuesday after big banks reported mixed earnings, while investors looked ahead to Wednesday’s inflation report. The S&P 500 ended essentially flat and the Nasdaq closed slightly lower, weighed by chip weakness. Analysts expect S&P 500 earnings to grow 30.6% year over year in the third quarter.
2. Other market moves
Energy shares gained as West Texas Intermediate crude settled 0.4% higher, while homebuilders rose after upbeat housing data. Chips extended Monday’s losses, and healthcare stocks and commercial airlines were among the day’s clear underperformers. Long-dated US Treasury yields eased, while two-year yields turned positive ahead of the inflation report.
