How major USA stock indexes fared Tuesday

USA stocks slid on Tuesday as 10-year Treasury yields hit the highly anticipated 3 per cent mark for the first time in four years, stoking concerns over higher borrowing rates for companies already facing rising costs, and as quarterly results failed to deliver positive outlooks.

Stocks took a beating today as the Dow Jones Industrial Average ended the trading day down 425 points, 1.73 percent. The S&P 500 opened higher by 0.36 points, or 0.01 per cent, at 2,634.92.

Canada's main stock index fell on Tuesday as lower oil prices weighed on energy shares, while investors anxious about the prospect of higher global borrowing costs after the benchmark USA 10-year Treasury note yield hit 3 per cent for the first time in four years.

There were some upbeat quarterly earnings from major companies, but that was dampened by the market's concerns over rising bond yields and borrowing costs. Twitter posted a better-than-expected profit and revenue for the first quarter. On Wednesday Goodyear Tire & Rubber said higher raw materials costs and weaker demand hurt its business in the first quarter.

Bond prices fell. The yield on the 10-year Treasury rose to 3.02 percent, the highest level since January 2014.

Comcast rose 3.7 percent after the USA cable company submitted a $31 billion offer for pay-TV group Sky, challenging an already agreed but lower takeover bid from Rupert Murdoch's Fox. Investors expected strong profit growth this year thanks to the growing global economy and the corporate tax cut President Donald Trump signed at the end of 2017.

Comcast rose 2.7 percent after the largest US cable company confirmed its $31 billion bid for Sky on the heels of its better-than-expected earnings report.

New York's 'Fearless Girl' statue is moving to stock exchange
Artist Kristen Visbal, who is based in DE and primarily works in bronze, created the sculpture. She will relocate to the NYSE by the end of the year.

"It's not a mystery why these things are happening", Baumohl said. YIELDS QUESTION: Bond prices slipped again Tuesday.

But Boeing shares jumped 4.2 percent after the aerospace giant reported a 56.9 percent surge in first-quarter earnings to $2.5 billion and lifted its full-year forecast.

The S&P 500 is down 39.05 points, or 1.5 percent. Natural gas rose 1.5 percent to $2.78 per 1,000 cubic feet.

Reuters data shows that analysts are now estimating 22 percent profit growth in the first quarter among the S&P 500 companies, compared with 18.6 percent at the start of the earnings season.

Another market favorite, online retailer Amazon, shed 3.8 percent to $1,460.09. Scandal-hit Facebook which is set to report after market on Wednesday, was down 0.14 percent.

Benchmarks in Hong Kong and South Korea fell as much as 1% by midday, while a number of other markets logged declines of at least 0.5%.

  • Darren Santiago