Wall Street opens mixed as investors weight on earnings and EU US trade talks
InvestingOnline.com
25/07/2018, 14:18The United States stocks market opened Wednesday with a mix of green and red numbers as investors are weighting earnings reports and the trade talks between US government and European Commission President Jean-Claude Juncker.
Boeing down amid weaker guidance
Boeing daily chart july 25
Boeing published better than expected earnings but a weak guidance. The airplane maker reported a Q2 EPS of $3.33, $0.06 more than expected. In revenues, the company showed $24.26 billion in revenues, $240 million more than market expectations.
The company reported increases of 6% in the commercial airplanes segment, a 9% rose in defense, 9% advance in space & security and a stunning 15% rise in global services. However, the company issued a weaker-than-expected guidance with less EPS and revenues than previously expected.
The share of Boeing is trading 2.82% negative on the day as investors are selling as the natural move post-report but also on a weaker guidance. The unit is noe rating at 347.90, below the 50-day moving average and on its way to test 20-day moving average at 345.30.
Next level to watch is the 340.00 level. below there, the share would enter in a congested area between 325.00 and 340.00.
General Motors collapses on trade war
GM daily chart July 25
General Motors reported a Q2 EPS of $1.81, $0.03 more than expected. Revenues of $36.8 billion, $70 million more than market expectations. Mary Barra, GM CEO said that the company “faced significant external challenges, but delivered solid results this quarter.”
GM delivered a significant reduction i full-year EPS guidance as the company expects that trade war and higher steel and aluminum costs will persist.
Shares of General Motors are trading 6.8% down on the day as investors are digesting a significant weaker guidance amid trade war and steel and aluminium tariffs. The unit is now trading at 36.80 and technical conditions are deteriorating.
Wall Street mixed
The S&P 500 is rising 4.17 points or 0.15% to trade at 2,824.76. The NASDAQ Composite is advancing 26.04 points or 0.32% to 7,865.34. On the other hand, The Dow Jones Industrial Average is stopping three positive days as it is performing down on Wednesday.
The Dow is falling 59.63 points or 0.23% to 25,182.00.
