New York Stock Exchange benchmarks traded slightly higher on Thursday as investors digested mixed economic data and disappointing guidance from chipmaker Micron ahead of the first presidential debate.
In this context, The Dow Jones Industrial Average closed at 39,164.06 points, gaining 0.09%, the S&P500 stood at 5,482.87 points, up 0.09% and the Nasdaq Composite appreciated 0.30% to 17,858.68 points.
It was a surprise and not one of the most anticipated, which affected investors on the day when the results of Micron Technologya company often seen as a bellwether in the industry due to its exposure to a variety of chip types and customers.
Quarterly earnings beat market expectations, due to strong demand for AI, but the online revenue guidance disappointed traders who were expecting more, especially considering it doubled in value over the past year. Its shares fell more than 6%.
Levi Strauss and Walgreens collapse
The actions of Levi Strauss shares fell 16% after the jeans maker reported a drop in its fiscal second-quarter revenue, hit by sluggish demand for Docker’s, its khaki-colored, Chinese brand.
On the other hand, the actions of Walgreens Boots Alliance fell 22% after the pharmacy chain lowered its fiscal 2024 guidance due to a worse-than-expected retail environment and announced it would close more locations as part of a strategic review.
The actions of McCormick rose 4.3% after the spice maker beat market expectations for second-quarter profit and sales, boosted by strong demand for its products in Europe, the Middle East and Africa.
Shares in International Paper fell 7% as it was reported “that Suzano is no longer pursuing an exit from the paper and packaging group and the Brazilian pulp giant is said to have reached its peak price.”
Among other corporate news that will influence the stock market, Nike was reported to publish its latest quarterly results after the close of trading.
Beyond observing and being part of the behavior of a volatile market, investors seem to be in a kind of waiting state, before the key US inflation data that will be announced this Friday and the next presidential debate.
Unemployment claims down
New orders for key U.S.-made capital goods unexpectedly fell in May, suggesting business spending on equipment weakened in the second quarter as borrowing costs remain elevated.
However, US jobless claims fell for the first time last week, potentially allaying fears of a significant deterioration in the labor market.
The markets were operating in anticipation of the first presidential debate of the year scheduled for Thursday night, between the candidates Joe Biden (democrat) and Donald Trump (republican).
Crude oil recovers after US inventories rise
Crude oil prices rebounded on Thursday, recovering from early losses following a surprise increase in US stockpiles.
The U.S. Energy Information Administration last week announced a 3.6 million barrel increase in the country’s crude oil inventories, according to data released late Wednesday, disappointing the market that had expected a 2.6 million barrel drop. million barrels.
More alarming was a 2.7 million-barrel increase in gasoline inventories, indicating fuel consumption remained weak even with the start of the busy summer travel season.
