The week ended the same way it began in US stock markets with all three benchmarks moving sharply lower as economic growth, inflation and corporate results continue to bite.
The Dow Jones outperformed with energy companies slightly better off, down 2.8%, with the S&P 500 and Nasdaq down 3.6% and 4.2%, respectively.
Every sector was lower, with consumer discretionary and property among the biggest detractors, down 5.9% and 4.9% on interest rate concerns.
The day’s trading capped the 6th worst four-month start to a year for the S&P 500, down 11.5%, which was actually worse than the 9.9% in 2020 as the pandemic began.
Amazon falls, Apple down but profit up
Shares in Amazon (NASDAQ: AMZN) detracted, falling 14%, after the company reported a rare loss, the first in four years, despite labour and product shortages reversing.
Apple (NASDAQ: AAPL) remains the standout, reporting record sales and profit in the second quarter of US$97 billion and US$25 billion, respectively, as the group’s dominant position allowed it to overcome chip shortages amid surging demand for new iPhone models.
This represented 9% sales growth globally but 19% in the US, with the dividend increasing by 5% as well. Despite the strong report, Apple shares ended the day 3.8% lower.
US stock markets deliver another weekly loss
Over the week, the Dow Jones dropped 2.5%, the S&P 500 fell 3.3% and the Nasdaq tumbled 3.9%, while for the month of April the results were falls of 4.9%, 8.8% and 13.3%, respectively.
It’s been a busy few weeks for Mark Zuckerberg, founder of Facebook, now Meta Platforms (NASDAQ: FB), having seen the largest loss of wealth in a single day and then the largest gain, of US$11 billion during the week.
Back home on the ASX, the S&P/ASX 200 (ASX: XJO) is set to follow Friday’s negative lead from US stock markets to open lower this morning. For a round-up of the latest news, check out my ASX 200 morning report.