Wall Street rebounds before Microsoft and Google results

The New York Stock Exchange enjoyed a rebound session on Tuesday, thanks to a flood of results from healthy companies, just before those of Alphabet (Google) and Microsoft at the close.

Wall Street indices came out of a negative series, with the Dow Jones gaining 0.62% to 33,141.38 points, the technology-dominated Nasdaq climbing 0.93% to 13,139.88 points and the broader S&P 500 index advancing 0.73% to 4,247.68 points.

“We saw a nice bullish return today. There were many company results and most large caps did better than expected,” summarized analyst Peter Cardillo of Spartan Capital.

So far three-quarters of the companies that have published their quarterly accounts “have done better than expected,” said Art Hogan of B. Riley Wealth Management.

Patrick O’Hare of Briefing noted that Coca-Cola, General Electric, Verizon, Kimberly Clark, General Motors and Halliburton in particular, had “all exceeded expectations”.

After the closing bell, Google’s parent company, Alphabet, announced a 42% jump in its third quarter profits in one year. The Californian group recorded double-digit growth in its quarterly turnover (+11% year-on-year), at $76.7 billion.

However, the title which had closed up 1.69%, lost 5.48% in electronic trading after closing. Investors seemed disappointed by its cloud business (remote computing), whose turnover fell below expectations at $8.4 billion.

Microsoft did better than expected with an acceleration of its activity in the cloud. Quarterly net profit stood at $22.3 billion, up 27% year-on-year.

The stock soared by more than 5% in post-closing trading, after concluding with a cautious increase of 0.37% to $330.53.

Elsewhere on the stock market, the music platform Spotify, based in Stockholm but listed in New York, created a pleasant surprise by generating a rare operating profit in the 3rd quarter. The stock soared on the Nasdaq (+10.36%) to $170.63, its second highest level of the year.

General Motors was battered, however, ending down 2.31% at $28.55, the lowest since the start of the year for Mary Barra’s group.

First, and despite better than expected results, the market mainly remembered the fact that GM decided not to give forecasts for the entire financial year due to the impact that the strike led by the union would have. United Auto Workers.

UAW further extended it on Tuesday, calling for a work stoppage at the GM plant in Arlington (Texas), described by the union as the group’s “largest and most lucrative”.

And in the second part of the session, California announced that it was suspending the driving license of Cruise, GM’s autonomous vehicle subsidiary, after several accidents in San Francisco.