Stocks Dawdle on Microsoft, Tesla Numbers
Stocks opened mixed on Thursday, even as strong earnings from Microsoft and Tesla lifted investor sentiment.
The Dow Jones Industrial Average dropped 69.1 points to begin Thursday at 26,764.85
The S&P 500 gave back 1.46 points to 3,003.06.
The NASDAQ Composite Index advanced 23.3 points to 8,143.10
Microsoft reported earnings per share of $1.38 on revenue of $33.06 billion for the previous quarter. Analysts expected a profit of $1.25 per share on revenue of $32.23 billion.
Microsoft's strong quarterly performance was driven in part by Azure, its cloud business, which saw revenues grow by 59% on a year-over-year basis. The stock rose 1.4%.
Tesla shares spiked more than 19% after the electric car maker posted a surprise quarterly profit. The company also told investors its new Shanghai factor is "ready for production."
Comcast, Dow Inc. and PayPal also traded higher on earnings that beat analyst expectations. Twitter, however, plunged about 20% after posting disappointing earnings.
More than 31% of S&P 500 companies have reported quarterly earnings thus far, with nearly 80% of them posting results that beat analyst estimates
Amazon, Intel and Visa are among the companies scheduled to report after the bell as investors slog through the busiest day of the earnings season.
In economic news, durable goods orders fell 1.1% in September, notching their largest drop in four months. The drop in orders comes as the world struggles with a global manufacturing slowdown.
The Institute for Supply Management said earlier this month that manufacturing activity in the U.S. fell to its lowest level in a decade.
Prices for the benchmark 10-year U.S. Treasury increased, lowering yields to 1.75% from Wednesday's 1.77%. Treasury prices and yields move in opposite directions.
Oil prices added 12 cents to $56.09 U.S. a barrel.
Gold prices hiked $5.50 to $1,501.20 U.S. an ounce.