FYI: U.S. stocks fell Wednesday as the start of earnings season exposed some weakness in companies, potentially damping investors’ outlook for economic growth.
The S&P 500 declined 0.65%, the Dow Jones Industrial Average slipped 0.42% and the Nasdaq Composite fell 0.46%.
Companies reporting earnings have voiced concern about their growth prospects, as they face a muddy economic outlook and a high-profile trade dispute between the U.S. and China.
On Wednesday, the industrial sector was one of the biggest drags on the S&P 500. Shares of railroad company CSX fell 9.6% after it cut its annual outlook late Tuesday, citing economic uncertainty and a recent shutdown of a major oil refinery it served. The fall pulled down other railroad companies, sometimes viewed as an economic bellwether, with Norfolk Southern down 6.1% and Union Pacific slipping 5.8%.
Bank of America, the second-largest bank by assets, reported solid consumer activity helped boost profit in the latest quarter, but warned that it could take a hit from expected Fed interest-rate cuts. Its shares advanced 2% to $29.57. The bank’s profit climbed in consumer banking and wealth management, but was down in the parts of its business that cater to corporate clients. Other lenders, including JPMorgan Chase and Citigroup, posted earnings this week that followed the same pattern.
Amazon shares were down 0.5% after the European Commission said it would launch an antitrust investigation into its dealings with third-party merchants. The probe is part of a wider push from the European Union against American tech giants such as Facebook and Google-parent Alphabet.
In Europe, the Stoxx Europe 600 fell 0.4% after a mixed session in Asia. Telecommunications equipment maker Ericsson slid 12% on concerns about higher costs that led to a narrower-than-expected operating margin, according to Citigroup analysts.
The yield on 10-year Treasurys fell to fell to 2.062% Wednesday from 2.124% Tuesday, according to Tradeweb.
U.S. benchmark oil futures fell 1.6% to $56.71 a barrel. Gold was up 1% to $1,424.50 per troy ounce.
Regards,
Ted
Bloomberg Evening Briefing:
https://www.bloomberg.com/news/articles/2019-07-17/your-evening-briefingMarketWatch:
https://www.marketwatch.com/story/dow-aims-for-slightly-higher-open-after-snapping-record-win-streak-2019-07-17/printWSJ:
https://www.wsj.com/articles/global-stocks-wobble-as-earnings-season-gets-underway-11563350325Bloomberg:
https://www.bloomberg.com/news/articles/2019-07-16/stocks-in-asia-to-slip-as-trump-threatens-on-trade-markets-wrap?srnd=premiumIBD:
https://www.investors.com/news/technology/click/netflix-earnings-q2-2019-netflix-stock/CNBC:
https://www.cnbc.com/2019/07/17/us-stocks-set-for-a-mixed-open-after-trumps-trade-comments-dent-historic-rally.htmlReuters:
https://uk.reuters.com/article/us-usa-stocks/wall-street-falls-as-railroads-slide-after-csx-signals-trade-impact-idUKKCN1UC1D1U.K:
https://uk.reuters.com/article/uk-britain-stocks/oil-majors-poor-earnings-hammer-ftse-100-idUKKCN1UC0PTEurope:
https://www.reuters.com/article/us-europe-stocks/downbeat-swedish-earnings-oil-slide-hurt-european-shares-idUSKCN1UC0Q4Asia:
https://www.marketwatch.com/story/asian-markets-pull-back-as-trade-tensions-resurface-2019-07-16/printBonds:
https://www.cnbc.com/2019/07/17/us-treasury-yields-tick-lower-amid-renewed-trade-concerns.htmlCurrencies:
https://www.cnbc.com/2019/07/17/forex-markets-dollar-us-retail-sales-data-in-focus.htmlOil:
https://www.cnbc.com/2019/07/17/oil-markets-us-iran-relations-in-focus.htmlGold:
https://www.cnbc.com/2019/07/17/ray-dalio-says-gold-will-be-a-top-investment-during-upcoming-paradigm-shift-for-global-markets.htmlWSJ: Markets At A Glance:
https://markets.wsj.com/usMajor ETFs % Change:
https://www.barchart.com/etfs-funds/etf-monitorSPDR's Sector Tracker:
http://www.sectorspdr.com/sectorspdr/tools/sector-trackerSPDR's Bloomberg Sector Performance Pie Chart:
https://www.bloomberg.com/markets/sectorsCurrent Futures:
https://finviz.com/futures.ashx 
