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Overnight Markets: US stocks slip as banks fall after results

Overnight Markets: US stocks slip as banks fall after results

Oct 13, 2017 at 03:47

Wall Street edged lower on Thursday, even as banks turned in generally upbeat results, after AT&T said it lost subscribers in the last quarter.

The Dow Jones Industrial Average declined 32 points, or 0.14%, to 22,841, the S&P 500 lost three points, or 0.13%, to 2,552 and the Nasdaq Composite fell seven points, or 0.11%, to 6,596. Thus far in 2017, the Dow has gained nearly 16%, the S&P is up 14%, and the Nasdaq has risen 23%.

Banks kicked off what is likely to be strong season of third-quarter corporate results that analysts say could extend the market’s record-setting streak.

JP Morgan Chase and Citibank managed to beat profit and revenue estimates despite reporting a drop in trading revenue, but JP Morgan fell about 0.9%, while Citigroup dropped 3.1%.

Bank of America and Wells Fargo, scheduled to report on Friday, were also lower, dragging the financials index down 0.7%.

AT&T plunged 5.7% after the No. 2 US wireless carrier said it lost 90,000 US video subscribers in the third quarter due to intense competition and the impact of recent hurricanes.

Related stocks also fell, including Comcast, down 4.3%. Viacom sank 2.6% after warning that Charter Communications subscribers may lose access to its channels as the expiration looms for a distribution deal. Charter fell 2.1%.

Elsewhere, Humana Inc. rose 0.4% while Aetna Inc. fell 1.2%. CarGurus Inc. soared 72% on its Nasdaq debut after pricing shares of its initial public offering above an expected range.

On the data front, initial weekly jobless claims fell by 15,000 to 243,000 in early October to mark the lowest level in six weeks.

In Asia, share markets were subdued on Friday in morning session after Wall Street slipped as investors awaited the release of China trade data during the session.

Japan's Nikkei 225 was little changed, with the index sliding 0.04% a day after touching a 21-year high. Across the Korean Strait, the Kospi hovered around the flat line, trading just 0.02% higher.

Down Under, the S&P/ASX 200 rose 0.17%. The health care and consumer staples sub-indexes led gains on the index, rising 0.58% and 0.57% respectively.

In China, Shanghai Composite Index added 0.02%, while Hong Kong’s Hang Seng Index was down 0.16%.

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