The stock markets in the United States declined after driven by lower than expected financial results of a number of companies such as Amazon.com, Inc. (NASDAQ:AMZN), Pandora Media Inc (NYSE:P), among others.
In a telephone interview with Bloomberg, Ian Kerrigan, a global investment specialist at JP Morgan Private Bank commented, “The market is really looking at micro level numbers on a lot of these companies.
For the first quarter of 2022, the Voss Value Fund returned -5.5% net of fees and expenses compared to a -7.5% total return for the Russell 2000 and a -4.6% total return for the S&P 500. According to a copy of the firm’s first-quarter letter to investors, a copy of which ValueWalk has been able Read More
Today, the Department of Commerce reported that the order for U.S. durable goods increased 0.7% to $239.9 billion in June on a seasonally adjusted basis. The growth was due to the strong demand for commercial aircraft and machinery last month.
“Durable goods orders continue to be anemic relative to where they should be in the capex cycle. CEOs in America are very cautious about reinvesting in capital expenditures because they understand the underlying economy continues to be lackluster,” according to Lincoln Ellis, a managing director at Green Square Capital Management.
On the other hand, Paul Dales, a senior U.S. economist at Capital Economics said, “June’s strong orders data and other survey evidence suggest that business investment will continue to grow at a decent rate in the second half of the year.”
- Dow Jones Industrial Average (DJIA)- 16,960.57 (-0.72%)
- S&P 500- 1,978.34 (-0.48%)
- NASDAQ- 4,449.56 (-0.50%)
- Russell 2000- 1,144.51 (-1.02%)
- EURO STOXX 50 Price EUR- 3,174.99 (-1.40%)
- FTSE 100 Index- 6,791.55 (-0.44 %)
- Deutsche Borse AG German Stock Index DAX- 9,644.061 (-1.53%)
- Nikkei 225- 15,457.87 (+1.13%)
- Hong Kong Hang Seng Index- 24,216.01 (+0.31%)
- Shanghai Shenzhen CSI 300 Index- 2,260.45 (+1.05%)
Stocks in Focus
The stock price of Amazon.com, Inc. (NASDAQ:AMZN) declined more than 10% to $322.51 per share after the e-commerce giant reported bigger net losses than the estimates of Wall Street analysts. The company posted a net loss of $0.27 per share compared with the $0.15 net loss per share consensus estimate for the second quarter. During the year-ago quarter, the e-commerce giant recorded a net loss of only $0.02 per share.
The shares of Baidu Inc (ADR) (NASDAQ:BIDU) gained 11% to $226.70 per share after the company reported strong financial results. Its profit increased 34% to $571.7 million or $1.63 per American Depositary Share (ADS) and revenue went up 58% to $1.92 billion. The company also announced that it would increase its investment in mobile.
Brightcove Inc (NASDAQ:BCOV) slumped more than 37% to $6.38 per share despite reporting smaller than expected losses for the second-quarter. The decline was primarily due to its guidance for third-quarter and full-year 2014 that disappointed investors. Several firms including B. Riley and RBC downgraded their stock rating and price targets for the stock, which also landed on the short-sale restricted (SSR) list today.
The stock price of Pandora Media Inc (NYSE:P) fell more than 10% to $25.75 per share after the online radio service provider due to the slowdown of its subscriber growth and listenership.