The Dow Jones Industrial Average closed at 35,058.52 on Tuesday with a loss of 85.79 points or -0.24%. The S&P 500 closed at 4,401.46 for a loss of 20.84 points or -0.47%. The Nasdaq Composite closed at 14,660.58 for a loss of 180.14 points or -1.21%. The VIX Volatility Index was higher at 19.36 for a gain of 1.78 points or 10.13%.
Tuesday’s market movers
U.S. stocks closed lower Tuesday, retreating from record highs. Investors were hesitant as they watched several market developments. The Federal Open Market Committee began a two-day policy meeting, where it is expected to begin discussing some plans for asset purchase tapering. Tech stocks Apple (AAPL, Financial), Google (GOOG, Financial)(GOOGL, Financial), Microsoft (MSFT, Financial) and AMD (AMD, Financial) were in the earnings spotlight. Stocks also followed a global trend lower after Asian markets were down following Chinese regulatory efforts on private companies, particularly rules requiring minimum wage for online food companies.
On the earnings calendar:
- General Electric (GE, Financial): Revenue of $18.3 billion increased 8.9% year over year and beat estimates by $340 million. A second-quarter GAAP loss of 7 cents per share and non-GAAP earnings of 5 cents beat estimates by 2 cents.
- Apple (AAPL, Financial): Revenue of $81.4 billion increased 36.4% year over year and beat estimates by $7.93 billion. Third-quarter GAAP earnings of $1.30 per share beat estimates by 29 cents.
- Alphabet (GOOG, Financial)(GOOGL, Financial): Revenue of $61.88 billion increased 61.6% year over year and beat estimates by $5.8 billion. Second-quarter GAAP earnings of $27.26 per share beat estimates by $7.99.
- Microsoft (MSFT, Financial): Revenue of $46.2 billion increased 21.5% year over year and beat estimates by $1.9 billion. Fourth-quarter non-GAAP earnings of $2.17 beat estimates by 25 cents.
- Advanced Micro Devices (AMD, Financial): Revenue of $3.85 billion increased 99.5% year over year and beat estimates by $240 million. Second-quarter GAAP earnings of 58 cents per share beat estimates by 12 cents and non-GAAP earnings of 63 cents beat estimates by 9 cents.
- Tesla (TSLA, Financial) down 1.95% after reporting earnings yesterday after the market closed. Revenue of $11.96 billion increased 98.0% year over year and beat estimates by $560 million. Second-quartert GAAP earnings of $1.02 beat estimates by 47 cents and non-GAAP earnings of $1.45 beat estimates by 47 cents.
In other news:
- Durable goods orders increased 0.8% in June following an increase of 3.2%. Durable goods orders excluding transportation increased 0.3% and durable goods orders excluding defense increased 1%.
- S&P/Case-Shiller Home Price increased 1% in May following an increase of 2.2%. Year over year, the S&P/Case-Shiller Home Price Index increased 17%, up from 15%.
- The FHFA House Price Index increased 7% in May following an increase of 1.8%. Year over year, the FHFA House Price Index increased 18%, up from 15.8%.
- The Conference Board’s Consumer Confidence Index increased to 129.1 in July from 128.9.
- The Richmond Fed Manufacturing Index increased to 27 in July from 26.
- The Treasury held auctions for 42-day bills at a rate of 0.040% and five-year notes at a rate of 0.71%.
Across the board:
- Oragenics (OGEN, Financial) gained 34.21%.
- Eyegate Pharmaceuticals (EYEG, Financial) was up 20.83%.
- Utilities Select Sector SPDR Fund (XLU, Financial) rose 1.72%.
- KraneShares Electric Vehicles and Future Mobility (KARS, Financial) declined 4.56%.
- The 10-year Treasury ended with a yield of 1.239%.
In small caps, the Russell 2000 closed at 2,191.83 for a loss of 25.09 points or -1.13%. The S&P 600 closed at 1,318.72 for a loss of 11.27 points or -0.85%. The Dow Jones U.S. Small-Cap Growth Index closed at 14,716.67 for a loss of 167.84 points or -1.13%. The Dow Jones U.S. Small-Cap Value Index closed at 10,870.27 for a loss of 74.35 points or -0.68%.
Other notable indexes
Other notable index closes included the S&P 400 Mid-Cap Index at 2,660.58 for a loss of 15.35 points or -0.57%; the S&P 100 at 2,025.40 for a loss of 13.09 points or -0.64%; the Nasdaq 100 at 14,956.97 for a loss of 168.98 points or -1.12%; the Russell 3000 at 2,611.02 for a loss of 14.63 points or -0.56%; the Russell 1000 at 2,470.98 for a loss of 12.87 points or -0.52%; the Wilshire 5000 at 45,769.73 for a loss of 263.52 points or -0.57%; and the Dow Jones U.S. Select Dividend Index at 830.03 for a gain of 2.61 points or 0.32%.