The S&P 500 erases the weekly gain on profit warnings


(Bloomberg) – US stocks fell as investors began to think in May about the coronavirus profit warnings and rising tensions with China. The dollar rose as the mood for risk prevailed.

The S&P 500 Index wiped out a weekly gain as it fell 3.1% following disappointing comments from Inc. and Apple Inc. on the impact of the pandemic. Exxon Mobil Corp. fell after posting its first quarterly loss in at least 32 years. The dollar was on track for its first rise since last week.

Equities also fell in the UK, one of the few open markets in Europe as other countries celebrated May 1, and the pound returned some of this week’s gains as Prime Minister Boris Johnson promised a “comprehensive plan” to lift the lockdown, with details due next week.

While S&P 500 had its best month since 1987 in April – spurred by a slowdown in coronavirus infections and $ 8 trillion in stimulus packages promised worldwide – results reports and economic data are painful sustainable. Amazon has warned of a possible loss in the second quarter, while Apple has omitted a profit forecast for the first time in more than a decade. Dallas Federal Reserve Bank President Robert Kaplan warned of a “severe” contraction in the effects of the coronavirus.

“Profit has continued to be a minefield,” said Bryce Doty, portfolio manager at Sit Investment Associates Inc. “You don’t really know what’s going to happen because there is so little clarity. “

The dollar’s rise followed US President Donald Trump’s resumption of an attack on China, speculating that it could have spread the coronavirus and threatened trade rates. Trump plans to prevent a government pension fund from investing in Chinese stocks that are considered a national security risk, said someone familiar with internal deliberations.

Elsewhere, oil in West Texas advanced as it headed for its first weekly gain in about a month, as reductions in world production began to take effect.

Stocks collapsed in Tokyo and Sydney. Most Asian markets were not trading.

These are the main movements on the markets: “data-reactid =” 32 “> For more articles like this, please visit us on

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