US STOCKS-Wall St slumps as tech stocks slide, COVID cases jump

US STOCKS-Wall St slumps as tech stocks slide, COVID cases jump

Reuters  | Oct 30, 2020 22:30

US STOCKS-Wall St slumps as tech stocks slide, COVID cases jump

(For a Reuters live blog on U.S., UK and European stock
markets, click LIVE/ or type LIVE/ in a news window)
* Twitter slumps as user growth disappoints
* Under Armour climbs as revenue forecast exceeds
* Apple, Amazon, Facebook drop after results
* Alphabet rises as businesses resume ad spending
* Indexes down: Dow 0.9%, S&P 1%, Nasdaq 1.7%

(Updates to market open)
By Medha Singh and Shivani Kumaresan
Oct 30 (Reuters) - U.S. stocks fell on Friday, dragged down
by a slide in shares of tech heavyweights following their
quarterly results, with a record rise in coronavirus cases and
nerves over the presidential election adding to a downbeat mood.
Apple Inc AAPL.O tumbled about 6% after it posted the
steepest drop in quarterly iPhone sales in two years due to the
late launch of new 5G phones. Inc AMZN.O fell 4% after it forecast a jump in
costs related to COVID-19, while Facebook Inc FB.O shed 3.5%
as it warned of a tougher 2021. Tech .SPLRCT and consumer discretionary .SPLRCD sectors
posted the steepest percentage declines.
Communication services .SPLRCL got a boost from a 5.7%
jump in shares of Alphabet Inc GOOGL.O after the Google parent
beat estimates for quarterly sales as businesses resumed
advertising. "The market reaction today is more of where (the tech
results) came in vs certain people's expectations. Take a step
back and look at the growth that these companies delivered, it's
pretty impressive," said Pete Santoro, a Boston-based equity
portfolio manager at Columbia Threadneedle.
"We're two market days away from Election Day and people
want to make sure that they're not completely caught off guard."
President Donald Trump has consistently trailed Democratic
challenger Biden in national polls for months, but polls in the
most competitive states have shown a closer race. Wall Street's fear gauge .VIX held at a 20-week high ahead
of the final weekend before Election Day on Tuesday.
At 09:50 a.m. ET, the Dow Jones Industrial Average .DJI
fell 229.87 points, or 0.86%, to 26,429.24 and the S&P 500
.SPX lost 32.67 points, or 0.99%, to 3,277.35. The Nasdaq
Composite .IXIC lost 187.12 points, or 1.67%, to 10,998.48.
The S&P 500 and Dow were on course for their worst week
since March as spiraling coronavirus cases in the United States
push hospitals to the brink of capacity.
Third-quarter earnings season is past its halfway mark, with
about 84.8% of S&P 500 companies topping earnings estimates,
according to Refinitiv data. Overall, profit is expected to
tumble 13.4% from a year earlier.
Twitter Inc TWTR.N slumped 18% after the micro-blogging
site reported fewer users than expected and warned the U.S.
election could impact ad revenue. Under Armour Inc UAA.N rose 6% as it forecast full-year
revenue above analysts' estimates, boosted by a surge in online
demand for running shoes and other fitness gear. AbbVie Inc ABBV.N gained 5% after the drugmaker posted
better-than-expected quarterly earnings and raised its full-year
adjusted profit forecast.
Declining issues outnumbered advancing ones on the NYSE by a
2.1-to-1 ratio; on Nasdaq, a 0.4-to-1 ratio favored advancers.
The S&P 500 posted two new 52-week highs and one new low;
the Nasdaq Composite recorded six new highs and 30 new lows.

Related News

Latest comments

Add a Comment
Please wait a minute before you try to comment again.
Write a reply...
Please wait a minute before you try to comment again.

Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.

English (USA) English (UK) English (India) English (Canada) English (Australia) English (South Africa) English (Nigeria) Deutsch Español (España) Español (México) Français Italiano Nederlands Português (Portugal) Polski Português (Brasil) Русский Türkçe ‏العربية‏ Ελληνικά Svenska Suomi עברית 日本語 한국어 简体中文 繁體中文 Bahasa Indonesia Bahasa Melayu ไทย Tiếng Việt हिंदी
Sign out
Are you sure you want to sign out?
Saving Changes


Download the App

Get free real time quotes, charts and alerts on stocks, indices, currencies, commodities and bonds. Get free top of the line technical analysis/predictors. is better on the App!

More content, faster quotes and charts, and a smoother experience is available only on the App.