The main averages end the day mixed, the Nasdaq posts the first week of decline in 3
The S&P 500 ended Friday’s session up 0.2% in light trading, posting its third consecutive week of gains. The Dow Jones dipped only 0.2%, bringing its weekly gain to 2.2%, also its third straight week up. The Nasdaq Composite ended the day up 0.2%, despite losing 6.5% in Netflix. However, the tech-heavy benchmark suffered its first negative week in three, with investors pulling out of some of the high-tech stocks. Yun Li
The 3230 level on the S&P 500 is “difficult”, says a strategist
The S&P 500 is seeing clear signs of technical resistance around the breakeven point of 2020 after two unsuccessful attempts to cross it this week, said Bill Northey of US Bank Wealth Management. “This level has turned out to be very difficult,” said Northey, the bank’s senior investment manager. This level is essential, Northey notes, since the broader market index has been trading in a “consolidation range” since the end of May. –Fred Imbert
Last hour of trading: Stocks were little changed as Netflix drop dampens sentiment
Stocks were little changed until the last hour of trading, as a sharp drop in Netflix stocks kept sentiment in check. The Dow Jones lost 38 points, or 0.1%. The S&P 500 and the Nasdaq rose slightly. –Fred Imbert
Thin trade in the middle of the summer slump
Friday, trading volumes were very meager as Wall Street tries to end a volatile week with poor performance. At about an hour into the trading session, the SPDR S&P 500 ETF Trust (SPY), which tracks the market index as a whole, traded just over 35 million shares. That’s well below the ETF’s 30-day volume average of over 98 million. The market tends to have relatively quiet activity during the summer months. – Yun Li
Stakeholder capitalism grows in importance, says BlackRock’s Fink
BlackRock CEO Larry Fink told CNBC that stakeholder capitalism, or the idea that companies have a purpose beyond just returning shareholders, will accelerate in the wake of the pandemic. “The companies that focus on all their stakeholders – their customers, their employees, the company in which they work and operate – will be the companies that will be the winners for the future,” he said on “Squawk Box From CNBC. The company is the world’s largest fund manager, with more than $ 7 trillion in assets under management. – Pippa Stevens
NYSE advances slightly lead declines to end the week
The number of rising stocks on the New York Stock Exchange slightly outpaced falling stocks as the market struggled to find a direction to end the week. FactSet data showed that four stocks were up against three NYSE declines. Overall, 1,612 stocks were up on the NYSE while 1,210 were down. –Fred Imbert
The stocks that make the biggest moves at noon: BlackRock, Facebook and more
BlackRock – The fund manager’s shares jumped more than 3% after beating estimates on the high and low lines for its second quarter.
Facebook, Amazon, Microsoft, Alphabet – Along with Netflix, so-called FANG stocks slipped, continuing weakness in tech stocks this week.
JB Hunt – Shares of JB Hunt Transport gained 3% after second quarter profits at the transport and logistics company beat expectations.
For more actions in motion at noon, look here. – Maggie Fitzgerald
Noon Markets: Netflix’s Losses Control Large Averages
Major averages were roughly flat around noon, as shares in Netflix drove big tech companies lower. The Dow Jones lost only 39 points, or 0.1%. The S&P 500 and the Nasdaq Composite were slightly higher. –Fred Imbert
Nio down 15% after downgrade from Goldman
U.S.-listed shares of electric vehicle company Nio fell more than 15% after Goldman Sachs downgraded the stock to a sell note. The firm said the share price of the China-based company reflected “excessive optimism.
CNBC PRO subscribers can find out more here. – Pippa Stevens
Consumer confidence unexpectedly drops in July
The morale of American consumers fell at the beginning of July in a context of continuous increase in new cases of coronavirus. The University of Michigan consumer confidence index stood at 73.2 for July, down from 78.1 in June. Economists polled by Dow Jones expected a slight rise to 79. – Yun Li
Stocks open in the green
The Dow Jones Industrial Average jumped 65 points, or 0.25%, at the opening bell on Friday. The S&P 500 rose 0.3%. The Nasdaq Composite rose 0.25%, driven by a 5% drop in Netflix stocks. – Maggie Fitzgerald
Credit Suisse Doubles Tesla’s Price Target
Tesla shares rose during pre-market trading on Friday, after Credit Suisse doubled its share price target, while reiterating its neutral rating. Credit Suisse increased its 12-month target to $ 700 from $ 1,400. The firm said the stock is currently “valued at perfection”.
CNBC PRO subscribers can find out more here. – Pippa Stevens
Housing starts rise to 1.186 million, the highest estimates
The Commerce Department said Friday that housing starts in the United States stood at 1.186 million in June, more than the 1.169 million expected by economists polled by Dow Jones. This is an increase from the 974,000 new constructions reported in May. Homebuilding in the United States jumped 17.3% in June as some states reopened, but the pace is still lagging last year due to the pandemic. – Maggie Fitzgerald
Netflix drops 8% after lost revenue, weak focus
Shares of Netflix fell 8.2% in pre-market trading on Friday after the streaming media giant missed analysts’ expectations for its second quarter results. He reported EPS from $ 1.59, compared to $ 1.81 expected by Refinitiv. The company also provided weak forecasts for growth in subscriber numbers for the third quarter, saying that “growth is slowing as consumers weather the initial shock of Covid and social restrictions.” Meanwhile, Netflix has announced that its director of content, Ted Sarandos, will become co-CEO alongside current CEO Reed Hastings. The title had lost nearly 4% this week until Thursday. – Yun Li
Technology lags behind this week
As the S&P 500 and Dow Jones Industrial Average head for a week of gains, the Nasdaq Composite is expected to end the week in the red as tech stocks have performed poorly since Monday. The Nasdaq Composite is down 1.35% this week, on the pace of its first negative week in three. So-called FANG stocks, with the exception of Apple, are all heading for big bearish weeks. Amazon has been down more than 6% since Monday. Netflix is down nearly 4% this week and more than 8% in pre-market trading on Friday. This week, Facebook and Alphabet are both down more than 1.5%, and Microsoft has lost 4.6% since Monday. – Maggie Fitzgerald
Futures contracts rise, stocks head for winning week
Equity futures rose slightly on Friday, with Dow futures increasing 65 points. S&P 500 futures rose 0.35% and Nasdaq-100 futures jumped 0.85% before the bell.
The Dow Jones Industrial Average fell more than 200 points on Thursday but is up more than 2.5% this week, in pace for its third straight week of gains. The S&P 500 fell 0.7% on Thursday but is up 0.96% this week, pacing for its third consecutive weekly gain. The Nasdaq Composite slipped more than 0.7% on Thursday, on pace from its negative first week in three. – Maggie Fitzgerald