US Stocks Slip on Earnings, Jobless Reports
(AP) -- Stocks fell broadly in morning trading on Wall Street Thursday as investors reviewed the latest earnings reports from retailers and an update on the employment market.
The S&P 500 fell 0.1% as of 10:16 a.m. Eastern. The Dow Jones Industrial Average rose fell 228 points, or 0.6%, to 35,703 and the Nasdaq fell 0.3%.
Roughly 80% of the benchmark S&P 500 fell. Banks and other financial companies had some of the broadest losses. American Express fell 1.7% and JPMorgan Chase fell 1%.
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Bond yields edged lower. The yield on the 10-year Treasury fell to 1.58% from 1.60% late Wednesday.
Communications and industrial companies also fell. Facebook parent Meta shed 1.3% and General Electric fell 2.4%.
Solid earnings results helped lift a handful of companies.
Nvidia jumped 8.1% after the maker of graphics chips for gaming and artificial intelligence reported strong third-quarter financial results. Other chipmakers also gained ground. Advanced Micro Devices rose 1.5% and Micron Technology rose 1.1%.
Companies that rely on consumers spending for goods and services also fared well following solid earnings reports from retailers. Macy's jumped 15.8% after the department store operator handily beat Wall Street's third-quarter profit forecasts. Kohl's rose 5.6% after also reporting encouraging earnings.
Investors received an encouraging update on the closely watched employment market, which is viewed as a key factor in the economy's continued recovery.
The Labor Department said that the number of Americans applying for unemployment benefits fell for the seventh straight week to a pandemic low of 268,000.
U.S. stocks have been powering mostly higher over the last month as companies reported much stronger profits for the summer than analysts expected. Investors have shifted much of their focus to the threat from rising inflation. Companies are facing higher raw materials costs and supply chain problems that could crimp profits. Consumers are facing higher prices, which they have so far absorbed, but analysts fear they could eventually pullback on spending if higher prices persist too long.