Daily Recap(10/30)
A recap of the general stock market's swings and why it moved in the direction it did
Major US stock indices ended lower today, after a volatile day driven by the mixed results from earnings of Big Tech stocks. Moreover, we saw the impact of recent AI spending concerns especially from Meta and Microsoft who are “spooking” investors. Since these two companies indicated a much higher capital spend on AI, investors seemed concerned about profitability in the company and the rising costs of staying in this “AI race”. Furthermore, the Fed followed through on the widely anticipated interest rate cut. President Trumps meeting with Chinese leader Xi Jinping resulted in no major breakthrough and left trade tensions unsolved. Finally, Gold has had a nice rally in the past two days pointing to the number of people seeking more safe investments especially in the volatility although Gold had been on a very bearish movement.
Market & Index Overview
S&P 500: -1.10%
Nasdaq: -1.53%
Dow Jones: -0.29%
Russell 2000: -0.81%
Sector highlights:
Tech: -1.32%
Financials: +0.18%
Energy: -0.60%
Top Gainers & Losers
BQ - $16.97: +113.73%
Announced it would partner with high-end hotels to provide pet-friendly travel experiences.
MCTA - $27.76: +45.04%
Continuation from IPO momentum.
AQMS - $9.80: +41.21%
Strong post-earnings performance + positive analyst ratings
THRY - $8.17: -30.17%
Missed its earnings per share estimates despite reporting strong revenue.
APLS - $20.73: -31.01%
Net product revenue for its flagship eye-disease drug which disappointed investors
FMC - $15.53: -46.52%
Huge sales miss - reported revenue of $542 million when analysts estimated $1 billion.
The Magnificent Seven(a.k.a. Big Tech)
Apple Inc.(AAPL) - $271.40: +0.63%
Strong earnings reports.
Microsoft Corp.(MSFT) - $525.76: -2.92%
Surging AI infrastructure costs and huge losses from OpenAI investments losing $3.1 billion.
Alphabet Inc.(GOOGL) - $281.48: +2.52%
Strong earnings reports.
Amazon.com Inc.(AMZN) - $222.86: -3.23%
Fell with the rest of tech sell-off + caution ahead of its earnings.
NVIDIA Corp.(NVDA) - $202.89: -2.00%
Wider market sell-off especially on tech + comments from President Trump that he had not discussed approving the sales of the company’s advanced AI chips.
Tesla Inc.(TSLA) - $440.10: -4.63%
Robotaxi timeline concerns since they failed to complete necessary paperwork in key states.
Meta Platforms(META) - $666.47: +11.33%
Massive AI spending forecast to fund its aggressive AI expansion.
Upcoming News
Release of the Core Personal Consumption Expenditures(PCE) Index which is the Federal Reserve’s preferred inflation gauge.
Energy sector will react to earnings from major oil companies like Exxon Mobil and Chevon.
Several companies are reporting earnings before market open including: AbbVie, Colgate-Palmolive, Dominion Energy, T. Rowe price Group and Weyerhaeuser.
Final Note
Pretty bad day today with technology pulling the whole market downwards. We saw some terrible news from META which moved down by a huge 11%.