On the 24th (local time), the Nasdaq Composite Index and S&P 500 Index reached new intraday highs on the U.S. New York stock market. The second quarter performance of Google's parent company, Alphabet, exceeded market expectations, positively impacting technology stocks overall.
As of 9:33 a.m. that day, the Dow Jones Industrial Average on the New York Stock Exchange (NYSE) showed a decline of 271.72 points (0.60%) to 44,738.57. In contrast, the S&P 500 Index rose by 5.51 points (0.09%) to 6,364.42, while the Nasdaq Composite Index was up by 50.63 points (0.24%) to 21,070.65.
Alphabet's stock price increased by 3% as both its second quarter net profit and revenue surpassed market forecasts, driving the upward trend of the S&P 500 and Nasdaq indices.
On the other hand, the Dow Index is showing a downward trend due to IBM's poor performance. The stock price of IBM plummeted by 9% amid evaluations that its software institutional sector revenue fell short of market expectations. Tesla's stock also dropped by 9% due to consecutive declines in automotive sales over two quarters, limiting the overall rise of the index.
Meanwhile, the market paid attention to the conflict between U.S. President Donald Trump and the Federal Reserve (Fed). The White House announced that President Trump is scheduled to visit the Fed, which is expected to increase pressure on Jerome Powell, the chairman of the Fed. It is the first time in about 20 years that a U.S. president has officially visited the Central Bank.
That day, the stock market was positively influenced by reports that trade negotiations between the U.S. and the European Union (EU) were making progress towards adjusting the tariff level to 15%.
By sector, most are declining. Consumer discretionary is down 1.4%, materials are down 1.1%, and energy is down 0.5%, while communication services are up 1%. In terms of specific stocks, Chipotle Mexican Grill announced that it would lower its same-store sales forecasts, as second quarter revenue fell short of market expectations, leading to a 12% drop in its stock price.
Conversely, the software corporation ServiceNow recorded surprise earnings in the second quarter and announced it would raise its annual subscription revenue forecast, resulting in a 6% increase in its stock price.
European stocks are showing mixed trends. The Euro Stoxx 50 index is up 0.01%. The German DAX index is up 0.06%, and the UK FTSE index is up 0.81%, while the French CAC 40 index is down 0.57%.
International oil prices are rising. As of 9:30 a.m. that day, the price of the near-month West Texas Intermediate (WTI) crude oil for September delivery rose by 0.93% to $65.86 per barrel, while the price of the global benchmark Brent crude for September delivery increased by 0.76% to $69.03 per barrel.