The Dow Jones Industrial Average fell 265 points, or 0.74%, while the S&P 500 index lost 0.51% and the Nasdaq Composite index finished unchanged. The weakness in the Dow and the S&P 500 pushed both indexes off their record highs.
|I:DJI||DOW JONES AVERAGES||34639.79||+617.75||+1.82%|
|I:COMP||NASDAQ COMPOSITE INDEX||15381.319749||+127.27||+0.83%|
Dow component Microsoft Corp. reported net income jumped 48% from a year ago as revenue grew at the fastest pace in three years. Both earnings and sales exceeded Wall Street estimates despite supply chain disruptions in the PC market reducing Windows sales and a slowdown in revenue from its cloud-computing business.
Elsewhere in the Dow, Boeing Co. earned a profit for the second straight quarter as the planemaker ramped up deliveries of its 737 Max jet.
|BA||THE BOEING CO.||202.38||+14.19||+7.54%|
McDonald’s Corp. said same-store sales exceeded pre-pandemic levels as higher prices, larger order sizes and new menu items provided a lift.
|KO||THE COCA-COLA CO.||53.07||+0.77||+1.47%|
Coca-Cola Co. hiked its full-year profit outlook as the reopening of theaters, restaurants and other venues boosted demand for soda.
Visa Inc. reported overseas spending jumped 38% versus last year but said border closures continued to weigh on business. Both earnings and revenue were ahead of expectations.
In technology, Alphabet Inc. beat on both the top and bottom lines as advertising revenue surged 43% year over year. Revenue from the company’s YouTube unit saw a modest impact due to Apple’s privacy changes.
Twitter Inc., meanwhile, said Apple’s privacy changes had a smaller-than-expected impact. Earnings topped analysts’ expectations, but both sales and monetizable daily active users fell short.
AMD Inc. reported stronger-than-expected results and raised its full-year sales outlook due to the belief that it can overcome supply chain challenges and meet strong demand for chips used in gaming consoles and data center servers.
|AMD||ADVANCED MICRO DEVICES, INC.||150.68||+1.57||+1.05%|
Meanwhile, General Motors Co. beat on earnings and missed on revenue and said full-year results will approach the high end of its guidance.
|GM||GENERAL MOTORS CO.||61.02||+2.96||+5.10%|
Tesla Inc. continued its climb after Uber Technologies Inc. announced it will team up with Hertz Global Holdings Inc. to offer electric vehicles. Hertz will make up to 50,000 fully electric Teslas available for Uber drivers to rent by 2023.
|UBER||UBER TECHNOLOGIES, INC.||38.12||+2.10||+5.83%|
In commodities, West Texas Intermediate crude slid $1.99 to $82.66 a barrel and gold edged up $5.40 to $1,798.10 an ounce.
Overseas markets traded lower.
European bourses were weaker across the board with France’s CAC 40 losing 0.19% and Britain’s FTSE 100 and Germany’s DAX 30 both falling 0.33%.
In Asia, Japan’s Nikkei 225 slipped 0.03%, China’s Shanghai Composite declined 0.98% and Hong Kong’s Hang Seng index tumbled 1.57%.