Reuters traders working on the floor of the New York Stock Exchange (NYSE), October 18, 2021 in New York City, USA. Reuters / Brendon McDermide
Written by Devik Jain and Shreyashi Sanyal
(Reuters) – U.S. stock indices rose higher on Wednesday, aided by strong quarterly updates from healthcare companies, including Anthem and Abbott, while concerns remain about supply chain limitations and the impact of inflation on corporate earnings.
Abbott Laboratories (NYSE 🙂 The Covid-1 test rose 4.2% after boosting its full-year profit forecast before returning to test sales.
Anthem Inc. added 5.7% and Biogen Inc. (NASDAQ 🙂 added 2% while both healthcare companies raised their full-year profit forecasts.
Eight of the 11 major S&P 500 sector indices have had higher transactions, led by healthcare stocks.
Analysts expect earnings for the S&P 500 to grow 33% year-on-year, according to referential data, with companies facing increasing costs, labor shortages and supply chain disruptions keeping a close eye on the growth outlook.
“Investors are digesting the impact of earnings and supply chain disruptions on corporate America,” said Fiona Cincota, senior financial market analyst at Citi Index.
“Recent releases have helped dispel fears of stagnation but diverted attention to supply chain constraints that are ready for Q3 earnings.”
Netflix’s (NASDAQ 🙂 global sensation “Squid Game” has helped attract more customers than expected, with the world’s largest streaming service predicting a packed lineup that will boost signups by the end of the year.
Its shares fell 2.3% after reaching record highs earlier this month and 18.2% gains so far this year.
The names of other mega cap technologies and communications were mixed in pre-market trading. According to Verge, Facebook (NASDAQ :), up 0.2%, is planning to re-brand itself with the new name.
Tesla (NASDAQ 🙂 Inc. is down 0.6% for its quarterly results After the market closed, investors are waiting for details of its performance in China.
Peter Cardillo, chief market economist at Spartan Capital Securities in New York, said: “People are waiting to see what the big tech companies are going to report. This is probably the real reason why we are responding to private stocks more than the larger market.” .
In the quarterly report, Verizon Communications Inc. (NYSE 🙂 gained 2.1% in the third quarter, adding more postpaid phone subscribers than expected, while oil company Baker Hughes Co.’s downbeat profits fell 4%.
The benchmark is just 0.3% below its record close in early September, while the Dow Jones Industrial Average is below its lowest high of 0.3% since mid-August.
At 9:57 a.m. ET was up 83.61 points, or 0.24%, at 35,540.92, the S&P 500 was up 10.73 points, or 0.24%, at 4,530.36 and was up 9.87 points, or 0.07%, at 15,138.96.
Ford Motor (NYSE 🙂 later gained 2.3% Swiss credit (Sixth 🙂 US carmaker has upgraded its stock to ‘outperform’ EV transitions.
The number of problems progressing on the NYSE has decreased from 1.46 to -1. The number of advances for the 1.01-to-1 ratio on Nasdaq has declined. The S&P index recorded new 52-week highs and no new lows, while Nasdaq recorded new highs and 12 new levels.