Stock market news live updates: Stocks end mixed after bank earnings, Coinbase falls below debut price

Stocks traded mixed Wednesday afternoon, with merchants digesting a slew of earnings outcomes from large banks that largely topped expectations. The Dow set a recent intraday report excessive as shares of Goldman Sachs superior after the corporate reported better-than-expected quarterly outcomes.

The S&P 500 erased earlier beneficial properties to commerce decrease, after the index jumped to report intraday and shutting highs on Tuesday. The Nasdaq briefly broke again above 14,000 earlier than turning barely unfavourable, with expertise shares giving again a few of Tuesday’s beneficial properties as Treasury yields superior.

Investors acquired earnings outcomes from the banks together with JPMorgan Chase (JPM) and Goldman Sachs (GS) Wednesday morning, which set the tone for the remainder of first-quarter earnings studies within the weeks to come back. JPMorgan Chase’s investment banking and stock and bond trading revenues handily exceeded estimates, and the agency’s earnings bought a lift after the bank launched $5.2 billion in mortgage loss reserves, which had been shored up in case of souring loans in the course of the pandemic. Goldman Sach’s outcomes handily exceeded estimates on booming investment banking and trading revenue.

For S&P 500 corporations general, Wall Street analysts expect a surge in company earnings versus final yr, with a firming financial backdrop and robust shopper spending set to spice up corporations’ outcomes.

“We could see upwards of 30% year-over-year earnings growth in the first quarter. That would be the most we’ve seen since coming out of the financial crisis,” Ryan Detrick, chief market strategist at LPL Financial, told Yahoo Finance. Expectations are for about 25% earnings growth in the first quarter. And let’s not forget in the previous two quarters what happened: massive, massive beats. 

“That bar is a little bit higher, but we think once again corporate America will step up and justify a lot of the valuations that we see here,” he added.

Other risk assets also traded near all-time highs. Bitcoin prices (BTC-USD) reached a record high of more than $64,000, with shares of cryptocurrency exchange platform Coinbase (COIN) hitting the public markets in a direct listing on Wednesday. 

4:12 p.m. ET: Tech stocks drop, pulling S&P 500 below record levels; Coinbase shares end below debut price

Here were the main moves in markets as of 4:12 p.m. ET:

  • Dow (^DJI): +53.62 (+0.16%) to 33,730.89

  • Nasdaq (^IXIC): -138.26 (-0.99%) to 13,857.84

  • Crude (CL=F): +$2.70 (+4.49%) to $62.88 a barrel

  • Gold (GC=F): -$10.50 (-0.60%) to $1,737.10 per ounce

  • 10-year Treasury (^TNX): +1.5 bps to yield 1.6380%

2:35 p.m. ET: Stocks trade mixed, S&P 500 turns lower

The three major indexes were mixed in afternoon trading, with the S&P 500 erasing earlier gains to trade in negative territory. 

The energy, materials and financials sectors outperformed in the blue-chip index, while information technology and consumer discretionary sectors lagged. A jump in shares of Goldman Sachs after the company’s stronger than expected first-quarter earnings report this morning helped keep the Dow in positive territory.

1:33 p.m. ET: Coinbase shares open at $381 apiece in public debut; stock extends gains to more than $429 per share

Shares of Coinbase opened at $381 apiece Wednesday afternoon, following a protracted price discovery process on the Nasdaq. Shares immediately extended gains to reach well over $400, giving the stock a fully diluted market capitalization of more than $100 billion. 

At $381, the price of Coinbase’s first trade gave the stock a fully diluted valuation of about $99.5 billion and marked a jump of 52.4% over its reference price of $250 per share on the Nasdaq.

12:43 p.m. ET: S&P 500, Dow gain in intraday trading, while Nasdaq dips 

Here’s where markets were trading Wednesday afternoon in New York: 

  • S&P 500 (^GSPC): +5.88 points (+0.14%) to 4,147.53

  • Dow (^DJI): +208.77 points (+0.62%) to 33,886.04

  • Nasdaq (^IXIC): -16.12 points (-0.12%) to 13,979.96

  • Crude (CL=F): +$3.08 (+5.12%) to $63.26 a barrel

  • Gold (GC=F): -$10.70 (-0.61%) to $1,736.90 per ounce

  • 10-year Treasury (^TNX): +1.6 bps to yield 1.639%

12:13 p.m. ET: Fed Chair Powell says liftoff in rates unlikely before 2022 

Federal Reserve Chair Jerome Powell, speaking at The Economic Club virtually in Washington, D.C., reiterated Wednesday that a near-term move on interest rates remained unlikely, given the current precarious recovery under way amid the ongoing pandemic. 

“Before 2022, that would be this year. I think that would be highly unlikely,” in regards to lifting interest rates from current near-zero levels, Powell said. 

He added, however, that the Federal Reserve would likely start to taper its bond purchasing program before it moved on interest rates. 

10:22 a.m. ET: Coinbase indicated to open at $340 per share after reference price set at $250 on the Nasdaq 

Shares of Coinbase were indicated to open at $340 per share in the stock’s public debut on the Nasdaq, after the reference price for the stock was set at $250 per share on Tuesday. 

Cryptocurrency exchange Coinbase is going public via a direct listing, which differs from a traditional initial public offering in that no new shares will be issued in the process. Instead, existing shareholders will directly sell stock to the public.

Coinbase’s opening trade could still fluctuate widely from this indicated price, as the price discovery process takes place throughout the morning. 

9:30 a.m. ET: Stocks open mixed

Here’s where markets were trading shortly after the opening bell:

  • S&P 500 (^GSPC): -1.25 points (-0.03%) to 4,140.34

  • Dow (^DJI): +11.06 points (+0.03%) to 33,688.33

  • Nasdaq (^IXIC): +4.34 (+0.03%) to 14,001.37

  • Crude (CL=F): +$1.28 (+2.13%) to $61.46 a barrel

  • Gold (GC=F): -$13.00 (-0.74%) to $1,734.60 per ounce

  • 10-year Treasury (^TNX): +1.8 bps to yield 1.641%

7:36 a.m. ET: Stock futures mixed amid bank earnings 

Here’s where markets were trading ahead of the opening bell:

  • S&P 500 futures (ES=F): 4,136.50, up 3.75 point or 0.09%

  • Dow futures (YM=F): 33,554.00, down 16 points or 0.05%

  • Nasdaq futures (NQ=F): 14,015.50, up 39.75 points or 0.28%

  • Crude (CL=F): +$0.91 (+1.51%) to $61.09 a barrel

  • Gold (GC=F): -$4.00 (-0.23%) to $1,743.60 per ounce

  • 10-year Treasury (^TNX): +0.4 bps to yield 1.627%

7:31 a.m. ET: Goldman Sachs shares jump after easily beating Q1 estimates, driven by surge in investment banking, trading revenue 

Goldman Sachs posted first-quarter revenue that more than doubled over last year, with investment banking and trading business activity surging in the first three months of the year.

Net revenue of $17.70 billion came in well ahead of the $12.55 billion expected, and the prior year’s $8.74 billion. The beat came amid a 47% jump in trading revenue, with equity sales and trading alone growing 68%. Earnings per share of $18.60 were also much better than the $10.06 anticipated, and net interest income of $1.48 billion grew 13% over last year. 

“We have been working hard alongside our clients in preparation for a world beyond the pandemic and a more stable economic environment,” Goldman Sachs CEO David Solomon said in a statement. “Our businesses remain very well positioned to help our clients reposition for the recovery, and that strength is reflected in the record revenues and earnings achieved this quarter.

7:18 a.m. ET Wednesday: JPMorgan Chase Q1 revenue tops estimates, with earnings boosted by $5.2 billion in released loan loss reserves 

JPMorgan Chase (JPM) posted first-quarter adjusted revenue that handily exceeded expectations, and beat estimates on earnings per share as the company released billions of dollars worth of provisions shored up during the pandemic to guard against souring loans.

Adjusted revenue of $33.12 billion grew 14% over last year, with each of investment banking, fixed income sales and trading and equities sales and trading revenue easily topping estimates. On the bottom line, earnings per share of $4.50 were better than the $3.01 expected, according to Bloomberg consensus data, with these results boosted by $5.2 billion in net reserve releases. However, guidance for net interest income – or profits from the firm’s core lending business – came in light at $55 billion, or slightly below the $55.12 billion expected. 

JPMorgan’s results reflect “strong underlying performance across our businesses, partially driven by a rapidly improving economy,” CEO Jamie Dimon said in a press statement. “These results include a benefit from credit reserve releases of $5.2 billion that we do not consider core or recurring profits. We believe our credit reserves of $26 billion are appropriate and prudent, all things considered.”

Dimon added that the agency’s shopper and group banking enterprise section has returned to pre-pandemic ranges, with shopper spending rising 14% over the primary quarter of 2019. Travel and leisure bills have grown greater than 50% in March in comparison with February, he added. 

“With the entire stimulus spending, potential infrastructure spending, continued Quantitative Easing, robust shopper and enterprise stability sheets and euphoria across the potential end of the pandemic, we imagine that the financial system has the potential to have extraordinarily strong, multi-year development,” Dimon said. 

6:05 p.m. ET Tuesday: Stock futures trade little changed

Here’s where markets were trading Tuesday evening: 

  • S&P 500 futures (ES=F): 4,133.75, up 1 level or 0.02%

  • Dow futures (YM=F): 33,570, unchanged 

  • Nasdaq futures (NQ=F): 13,976.00, up 0.75 factors or 0.01%

A Wall St sign hangs at the New York Stock Exchange (NYSE) at Wall Street on March 23, 2021 in New York City. – Wall Street stocks were under pressure early ahead of congressional testimony from Federal Reserve Chief Jerome Powell as US Treasury bond yields continued to retreat. (Photo by Angela Weiss / AFP) (Photo by ANGELA WEISS/AFP via Getty Images)

Emily McCormick is a reporter for Yahoo Finance. Follow her on Twitter: @emily_mcck

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