The Dow Jones Industrial Average closed at 26,519.95 on Wednesday with a loss of 943.24 points or -3.43%. The S&P 500 closed at 3,271.03 for a loss of 119.65 points or -3.53%. The Nasdaq Composite closed at 11,004.87 for a loss of 426.48 points or -3.73%. The VIX Volatility Index was higher at 40.28 with a gain of 6.93 points or 20.78%.
Wednesday's Market Movers
U.S. stocks ended lower with another sharp selloff. Coronavirus cases were a top concern as many experts are saying a second wave is currently underway. The seven-day average U.S. infection rate has been rising since mid-September and over 70,000 new U.S. cases were reported Tuesday. France announced a new national lockdown and Germany says it will close restaurants.
On the earnings calendar:
- General Electric (GE, Financial): Revenue of $19.4 billion decreased -17.0% year over year and beat estimates by $460 million. Q3 GAAP EPS of -$0.13 missed estimates by $0.05 and non-GAAP EPS of $0.06 beat estimates by $0.09.
- Boeing (BA, Financial): Revenue of $14.1 billion decreased -29.4% year over year and beat estimates by $140 million. Q3 GAAP EPS of -$0.79 beat estimates by $0.84 and non-GAAP EPS of -$1.39 beat estimates by $0.55.
- Mastercard (MA, Financial): Revenue of $3.84 billion decreased -13.7% year over year and missed estimates by $110 million. Q3 GAAP EPS of $1.51 missed estimates by $0.14 and non-GAAP EPS of $1.60 missed estimates by $0.06.
- Visa (V, Financial): Revenue of $5.1 billion decreased -16.9% year over year and beat estimates by $70 million. FQ4 GAAP EPS of $0.97 missed estimates by $0.13 and non-GAAP EPS of $1.12 beat estimates by $0.02.
- Fastly (FSLY, Financial): Revenue of $71 million increased 42.6% year over year and missed estimates by $0.35 million. Q3 GAAP EPS of -$0.22 missed estimates by $0.10 and non-GAAP EPS of -$0.04 missed estimates by $0.03.
- Etsy (ETSY, Financial): Revenue of $451.48 million increased 128.1% year over year and beat estimates by $39.46 million. Q3 GAAP EPS of $0.70 beat estimates by $0.10.
In other news:
- The MBA Mortgage Applications Index increased 1.7% following a decrease of -0.6%. The MBA's average 30-year mortgage rate decreased to 3.00% from 3.02%.
- The goods trade balance showed a deficit of -$79.37 billion following a deficit of -$83.11 billion.
- Wholesale inventories decreased -0.1% in September following an increase of 0.3%.
- Retail inventories increased 1.6% in September following an increase of 0.5%.
- Crude oil inventory increased 3.7 million barrels, according to the EIA's Weekly Petroleum Status Report.
- The Treasury held auctions for 105-day bills at a rate of 0.095%, 154-day bills at a rate of 0.105%, five-year notes at a rate of 0.330% and two-year notes at a rate of 0.055%.
- All major sectors were lower, with technology leading losses
- The S&P 500 energy sector was down -4.18%
- Bed Bath & Beyond (BBBY) dropped -12.12%
- Mastercard (MA, Financial) declined -8.11%
Small-Cap Stocks
In small-caps, the Russell 2000 closed at 1,543.28 for a loss of 47.21 points or -2.97%. The S&P 600 closed at 874.84 for a loss of 27.03 points or -3.00%. The Dow Jones U.S. Small-Cap Growth Index closed at 10,900.17 for a loss of 317.51 points or -2.83%. The Dow Jones U.S. Small-Cap Value Index closed at 6,965.20 for a loss of 220.09 points or -3.06%.
Other Notable Indexes
Other notable index closes included the S&P 400 Mid-Cap Index at 1,895.57 for a loss of 51.11 points or -2.63%; the S&P 100 at 1,509.64 for a loss of 59.50 points or -3.79%; the Nasdaq 100 at 11,142.76 for a loss of 456.19 points or -3.93%; the Russell 3000 at 1,928.01 for a loss of 67.94 points or -3.40%; the Russell 1000 at 1,829.66 for a loss of 65.00 points or -3.43%; the Wilshire 5000 at 33,641.51 for a loss of 1,197.19 points or -3.44%; and the Dow Jones US Select Dividend Index at 585.05 for a loss of 18.30 points or -3.03%.
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