US stocks rise as investors shrug of tech earnings miss to notch gains for October
- The S&P 500 and the Nasdaq Composite turned higher Friday, pulling out wins at week's end.
- Apple and Amazon shares dropped as supply-chain problems hurt quarterly results.
US stocks ended higher Friday, with the S&P 500 pulling out another record high despite downbeat financial updates from tech heavyweights Apple and Amazon, leaving equities to end October trade with hefty advances.
The S&P 500 index and the Nasdaq Composite flipped higher after earlier losses to notch new records even as shares of Apple and Amazon came under pressure. Apple during the session lost its title as the world's most valuable company to Microsoft, whose shares hit a 52-week high. Apple and Amazon shares were hurt after each posted quarterly earnings that missed analyst expectations as the companies dealt with supply-chain problems.
"Up until yesterday, we've seen a better than expected earnings season amid slowing growth prospects. But the curveball thrown from FAANG favorites puts supply chain disruptions and labor shortages center stage," said Mike Loewengart, managing director of investment strategy at E-Trade, in a note Friday.
Here's where US indexes stood at 4:00 p.m. on Friday:
- S&P 500: 4,605.38, up 0.19%
- Dow Jones Industrial Average: 35,819.56, up 0.25% (89.08 points)
- Nasdaq Composite: 15,498.39, up 0.33%
But investors should keep in mind that Nasdaq and S&P hit record highs this week , supported by broad earnings strength through Corporate America, said Loewengart. "So volatility could be expected as supply and jobs concerns loom large, but the jury is still out on just how long they'll stick around," he said.
Around the markets, gold lost 0.9% at $1,783 per ounce. The 10-year yield fell to 1.577%.
Oil prices rose, with West Texas Intermediate crude was up 0.6% at $83.27 per barrel.
Bitcoin rose 2.5% to $62,055.