Traders work on the floor of the New York Stock Exchange (NYSE) on November 20, 2019 in New York City

Summary List Placement
US stocks fell on Wednesday as weaker-than-expected earnings from Netflix weighed on tech.
The video-streaming company said it expects the slowest quarter of subscriber growth in history.
The company’s slowing growth as the pandemic recedes could be emblematic of the tech sector going forward.
Sign up here for our daily newsletter, 10 Things Before the Opening Bell.

US stocks declined on Wednesday as Netflix’s weaker-than-expected earnings results weighed on the technology sector.

The streaming company fell 8% in Wednesday morning trades after forecasting the second quarter to be its slowest period of subscriber growth in history. The company saw a surge in business amid the COVID-19 pandemic as people spent more time at home, but now that trend is reversing as the pandemic begins to recede.

Investors are likely viewing Netflix’s pandemic-pull-forward of demand and subsequent slow-down as emblematic of the tech sector as a whole, given that many of the tech companies that enabled a work-from-home environment will likely see slower growth as the physical economy begins to reopen.

Here’s where US indexes stood at the 9:30 a.m. ET open on Wednesday:

S&P 500: 4,128.70, down 0.15%

Dow Jones industrial average: 33,794.45, down 0.08% (26.85 points)

Nasdaq composite: 13,737.14, down 0.36%

A decline in bitcoin’s momentum over the past few days could be setting it up for a longer-term decline if it fails to reclaim the key $60,000 level, JPMorgan said in a note on Tuesday. Another potential downfall of bitcoin could be its heavy carbon footprint, an investment advisor told CNBC.

Facebook-backed digital currency Diem, originally called Libra, is planning to trial this year as the cryptocurrency boom continues, according to a CNBC report.

Shares of Juventus and Manchester United fell on Wednesday as the European Super League soccer plan imploded.  

Oil …read more

Source:: Business Insider


(Visited 3 times, 1 visits today)

Leave a Reply

Your email address will not be published. Required fields are marked *