Dow closes almost 400 points lower and snaps 4-day win streak, pressured by Goldman shares; European markets close higher as economic concerns dominate Davos
The Dow Jones Industrial Average fell on Tuesday as investors struggled to keep building on early 2023 momentum and weighed the latest earnings results. The blue-chip index lost 391.76 points, or 1.14%, to close at 33,910.85. The S&P 500 fell 0.2% to 3,990.97, while the Nasdaq Composite gained 0.14% to end the day at 11,095.11.
Goldman slid 6.44% after the bank reported its worst earnings miss in a decade for the fourth quarter. Its results were pressured by declines in investment banking and asset management revenues. Meanwhile, rival Morgan Stanley posted better-than-expected numbers, thanks in part to record wealth management revenue. Its shares jumped 5.91%.
The pan-European Stoxx 600 nonetheless climbed from earlier loss to close 0.3% higher provisionally, with mining stocks leading gains, up 1%. It is the fifth straight session of gains for the index, which is up more than 6% in the year to date.
Shares of luxury behemoth LVMH rose to a new record Tuesday morning, pushing the group’s market cap above 400 billion euros ($434 billion) for the first time, as reported by Reuters.
Gains pared slightly throughout the morning, with the company value settling near 392 billion euros by midday. LVMH has benefitted from China’s quick reopening, which helped it secure its position as Europe’s most valuable company.
Source: CNBC, Investing.com