Traders work on the floor of the New York Stock Exchange during morning trading on Oct. 8, 2024.
Michael M. Santiago | Getty Images
The S&P 500 bounced back on Thursday, posting its first positive day in a week that has been beset by higher rates.
The S&P 500 added 0.21% to 5,809.86 and snapped a three-day run of losses. The Nasdaq Composite jumped 0.76% and closed at 18,415.49. The Dow Jones Industrial Average lost 140.59 points, or 0.33%, to end at 42,374.36. The blue-chip index notched a four-day losing streak, its first since June.
Tesla was the best-performing stock in the broad market index. The electric vehicle manufacturer surged nearly 22% after posting third-quarter results that beat analysts’ expectations, registering its best day since 2013. Molina Healthcare gained 17.7% on better-than-expected earnings and revenue. Whirlpool and UPS also jumped after posting results.
Dragging the Dow was IBM, which fell more than 6% as the company’s consulting revenue narrowly missed analysts’ estimates. Boeing slipped 1.2% after its machinists rejected a new labor contract.
Roughly 160 S&P 500 companies have posted quarterly results so far, but their earnings growth has been underwhelming. The blended growth rate, which tracks reports that have already come out and estimates for those set to report, indicates an overall S&P 500 earnings growth rate of 3.4% from the year-earlier period, according to FactSet. That result came up short of analysts’ projections.
Treasury yields moved lower, easing from three-month highs reached in the previous session. The 10-year Treasury yield topped the 4.25% threshold on Wednesday at the high of the session.
“The pressure on the market has been from the rate side,” said Rob Haworth, senior investment strategist at U.S. Bank Asset Management. “That’s really what has dampened equity market enthusiasm, and you haven’t had big enough earnings news yet to drive the market to a new high … we’re also not seeing as broad a momentum as we were seeing.”
Stocks are coming off a losing session, with the Dow suffering its biggest one-day drop since early December, falling more than 400 points on Wednesday. The S&P 500 shed nearly 1% and the Nasdaq lost 1.6%.
Read More: Stock market news for October 24, 2024