Wall Street wavers as Apple tees up its quarterly report

By Noel Randewich (Reuters) - Wall Street was mixed on Tuesday, with technology shares dipping ahead of Apple's quarterly report while a rebound in 3M and other industrials elevated the Dow Jones Industrial Average. Apple declined 1.04 percent as investors awaited the iPhone maker's results after the bell following its warning earlier this month about soft demand in China, whose economy has been damaged by a trade war with the United States. Interest rates were in focus as the Federal Reserve began a two-day monetary policy meeting.

Reuters January 30, 2019 04:05:15 IST
Wall Street wavers as Apple tees up its quarterly report

Wall Street wavers as Apple tees up its quarterly report

By Noel Randewich

(Reuters) - Wall Street was mixed on Tuesday, with technology shares dipping ahead of Apple's quarterly report while a rebound in 3M and other industrials elevated the Dow Jones Industrial Average.

Apple declined 1.04 percent as investors awaited the iPhone maker's results after the bell following its warning earlier this month about soft demand in China, whose economy has been damaged by a trade war with the United States.

Interest rates were in focus as the Federal Reserve began a two-day monetary policy meeting. After raising rates gradually last year, the central bank is taking a wait-and-see approach to further tightening in the face of an overseas slowdown and market volatility.

The Fed is widely expected to leave rates unchanged on Wednesday, and investors will look to Friday's January jobs report for clues about the pace of future inflation.

"It's a day of indecision. Between earnings due out after hours today and the Fed tomorrow, and then the employment report coming up, I don't think anyone wants to make a big bet ahead of all that news," said Willie Delwiche, an investment strategist at Baird.

The S&P industrials index, which took a beating after a warning from Caterpillar on Monday, rebounded 1.74 percent, helped by better-than-expected reports from 3M Co and defense companies.

Amazon.com Inc, Facebook Inc and Microsoft Corp, all part of a wave of quarterly reports later this week, fell more than 2 percent each.

The S&P technology index lost 1.01 percent.

Analysts on average expect S&P 500 companies' aggregate earnings per share to have risen 14.2 percent in the fourth quarter. But with U.S. corporate tax cuts now a year old, 2019 earnings are seen rising a more moderate 5.6 percent.

As Washington and Beijing officials prepare for a high-level trade meeting this week, the Justice Department leveled charges against Chinese telecom giant Huawei, potentially casting a cloud on the talks.

The Dow Jones Industrial Average climbed 0.21 percent to end at 24,579.96 points, while the S&P 500 lost 0.15 percent to 2,640, dragged down by technology and communications stocks. The Nasdaq Composite dropped 0.81 percent to 7,028.29.

Defense contractors L3 Technologies Inc jumped 8.44 percent and Harris Corp climbed 8.78 percent after topping quarterly earnings estimates.

3M rose 1.94 percent after its fourth-quarter results topped estimates, even as the Post-It notes maker trimmed its 2019 earnings outlook, saying that a slowdown at its Chinese business was hurting revenue.

Harley-Davidson Inc dropped 5.05 percent after the motorcycle maker reported a lower-than-expected quarterly profit, hit by declining sales in the United States.

Allergan Plc fell 8.55 percent after the Botox maker forecast 2019 revenue below expectations.

Advancing issues outnumbered declining ones on the NYSE by a 1.42-to-1 ratio; on Nasdaq, a 1.23-to-1 ratio favored decliners.

The S&P 500 posted 10 new 52-week highs and one new low; the Nasdaq Composite recorded 31 new highs and 29 new lows.

Volume on U.S. exchanges was 6.7 billion shares, compared with the 7.6 billion-share average over the last 20 trading days.

(Reporting by Noel Randewich; Additional reporting by Sruthi Shankar and Shreyashi Sanyal in Bengaluru; Editing by Dan Grebler and Leslie Adler)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Updated Date:

TAGS:

Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.

also read

U.S. Supreme Court divided over Google bid to end Oracle copyright suit
News & Analysis

U.S. Supreme Court divided over Google bid to end Oracle copyright suit

By Jan Wolfe and Andrew Chung WASHINGTON (Reuters) - The U.S. Supreme Court appeared divided on Wednesday as it considered whether to protect Alphabet Inc's Google from a long-running lawsuit by Oracle Corp accusing it of infringing Oracle copyrights to build the Android operating system that runs most of the world's smartphones. The shorthanded court, down one justice following the death of Ruth Bader Ginsburg last month, heard oral arguments in Google's appeal of a lower court ruling reviving the lawsuit in which Oracle has sought at least $8 billion in damages.

Russia touts test launch of hypersonic missile on Putin's birthday
World

Russia touts test launch of hypersonic missile on Putin's birthday

MOSCOW (Reuters) - Russia has test launched its Tsirkon hypersonic cruise missile and successfully hit a target in the Barents Sea, a senior commander told Vladimir Putin on the Russian leader's 68th birthday on Wednesday.

Texas prosecutor says probe of police shooting of Black man will go to grand jury
World

Texas prosecutor says probe of police shooting of Black man will go to grand jury

By Nathan Layne (Reuters) - A Texas prosecutor said he will have a grand jury weigh whether to indict a white police officer charged with murdering a 31-year-old Black man, the latest shooting to trigger unrest over police brutality and racism in the United States. Wolfe City Police officer Shaun Lucas has been charged with murder by the Texas Rangers, which are investigating the Oct