Stocks started higher on Wednesday, but that didn’t last long as concerns over long-term interest rate hikes weighed on prices. It didn’t hurt that some of the Magnificent Seven stocks were down.
Fed Chairman Jerome Powell’s hawkish comments said: federal funds rate If high, it may remain at a restrictive level inflation Stocks fell on Tuesday as this trend continued.of Dow Jones Industrial Average However, thanks to the strength that followed, we won. united health group (UNH) Stock.
UNH stock continued its rise today, rising 2.2%, which helped keep the Dow in positive territory for most of the day. However, the 30-stock index ultimately closed 0.1% lower at 37,753. Travelers Company (TRV) fell 7.4% following the results. This was TRV’s worst day since June 11, 2020, according to Dow Jones Market Data.
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The property/casualty insurance company reported earnings of $4.69 per share on first-quarter revenue of $11.2 billion. Analysts had expected earnings of $4.92 per share on sales of $11.2 billion.
Results were weighed down by catastrophe losses of $712 million, up from $535 million a year earlier. The increase was “primarily due to severe winds and hailstorms in central and eastern regions of the United States,” the report said. earnings release.
CFRA investigation Analyst Katherine Seifert maintained a “buy” rating. dow jones stocks After earnings. “While mixed results temper our view, we expect TRV to post 12% to 14% higher operating revenues in 2024 and 2025 and look forward to corrective actions to improve Fixed Income & Specialty performance.” ,” Seifert wrote in a note to clients.
Nvidia drags on S&P 500, Nasdaq
of S&P500 (-0.6% at 5,022) and Nasdaq Composite (-1.2%, 15,683), on the other hand, ended in negative territory as a number of megacaps. tech stocks Sold off.
Most notable was the Nvidia’s (NVDA) fell 3.9%, wiping out $83 billion of the chipmaker’s market value. Today’s downward price movement was in response to disappointing financial results reports from semiconductor equipment manufacturers. ASML Holding (ASML, -7.1%), NVDA has already had a solid period over the past month after a strong start to the year.
However, NVDA shareholders need not worry too much. The stock has fallen 11% since March 25, but is still up 70% year-to-date. Tactical investors may even see this as “an opportunity to buy on the spurt, as the CEO himself said we’re in the early stages of the AI revolution,” he says. Ken MahaneyPresident of Mahoney Asset Management.
United Airlines soars with first-quarter win
Elsewhere on Wall Street, united airlines (UAL) rose 17.5% after the airline reported a smaller-than-expected first-quarter loss per share of 15 cents. Sales also exceeded expectations at $12.5 billion. The company also provided positive outlook for the second quarter and full year.
“We expect aviation demand to continue its post-pandemic recovery due to strong growth in international travel, and we expect revenue growth to outweigh inflationary headwinds,” he said. argus research Analyst John Staszak. “Also, our company Boeing 737 MAX 9 grounded. ”
Mr. Staszak kept his investment rating on UAL stock at “buy” and raised his price target from $48 to $51.
of earnings calendar It will start to get really hot over the weekend.streaming giant Netflix (NFLX, -0.6%) is one such example, which will be announced after the close of trading tomorrow.Performance of major consumer goods companies procter and gamble (PG, +0.6%) is expected to be announced Friday morning.
