Markets Right Now: A mixed start for US stocks as tech drags

AP News
Posted: Apr 22, 2016 9:45 AM
Markets Right Now: A mixed start for US stocks as tech drags

NEW YORK (AP) — The Latest on financial markets (all times local):

9:35 a.m. Eastern

U.S. stocks are off to a mixed start as gains in banks and energy companies are being offset by weakness in the technology sector.

Oil and gas companies benefited from increases in energy prices, but Microsoft dropped 7 percent after reporting disappointing earnings. Google parent Alphabet also fell 4 percent after its results fell short of forecasts.

Several other companies were also moving on earnings news. Visa fell 2 percent after cutting its revenue forecast for the year, while railroad operator Norfolk Southern jumped 8 percent rose as it slashed costs.

The Dow Jones industrial average edged up eight points, or 0.1 percent, to 17,991.

The Standard & Poor's 500 index was little changed at 2,092. The technology-heavy Nasdaq composite fell 34 points, or 0.7 percent, to 4,911.

11:35 a.m.

Disappointing earnings statements out of the U.S. from the likes of Microsoft and Alphabet, the corporate parent of Google, are weighing on European stock markets.

Germany's DAX is down 0.2 percent at 10,417 while the CAC-40 in France has fallen 0.1 percent at 4,579. The FTSE 100 index of leading British shares is down 0.7 percent at 6,339.

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Despite the falls, it's been a good week for stock markets around the world.

Chris Beauchamp, market analyst at IG, says "the dip is nothing more than a bit of extended profit-taking" at the moment.

However, he is warning that "the current optimistic atmosphere could turn sour very quickly" should more bad numbers come out of the U.S. Top of the agenda Friday are McDonald's and General Electric.