Friends
The bulls were feeling pretty good about themselves after four days of higher stock prices, until about a minute or two after the close yesterday. That’s when Facebook (Meta) released their earnings. Oops. That didn’t go so well. The huge social media and advertising giant disappointed analysts and lowered guidance going forward. That’s a bad combination when things are as jittery as they are these days. The shares of Facebook tumbled in after-hours trading and got even worse throughout today’s trading session losing more than 25% of the shares value. Even worse was that it took the Nasdaq and the S&P 500 with it. The Dow finally followed suit. All in all, it was an ugly day for stocks.
By the close, the Dow Jones Industrial Average was down 518 points to finish the day at 35,111. The S&P 500 was down 112 points to close at 4,477. The Nasdaq Composite Index was down 538 points to close at 13,878. Gold was down $4 to trade at $1,806, while oil was up $1.92 to trade at $90.18 per barrel WTI.
After yesterday’s Facebook debacle, all eyes will be on Amazon’s earnings release after the close today. In addition, we get the all-important non-farm payroll number tomorrow morning. Remember, those headwinds that we have spoken of ad nauseam haven’t disappeared just because the bulls put a nice four day winning streak together. We obviously still have some choppy waters ahead. We’ll take a Dramamine and get through this together. Let’s see how the week finishes out tomorrow.
Have a nice evening everyone.
