The U.S. stock market added markedly in trading on Thursday, April 28, despite fears of slowing global growth, continued inflation and a potential tightening of monetary policy by the Federal Reserve.
U.S. GDP data unexpectedly showed a 1.4% decline in the first quarter. However, investors ignored the economic slowdown, citing rising prices and a trade deficit.
Dow Jones rose by 1.82%
. However, the key point of the trades was Nasdaq which added more than 3% against the report of Meta Platforms (FB) +17.59% and expectation of financial results of tech giants Amazon (AMZN) +4.65% and Apple (AAPL) +4.52% that were getting ready to publish their financial results after the main trading session. The S&P500 broad market index was able to climb 2.47%.
Amazon and Apple shares collapsed after the close
Hope dies last. Investors hoping for financial results from the tech giants were only able to watch their shares fall after the close. Jeff Bezos’s company was the first to report.
Amazon chairman Jeff Bezos. Photo: Yandex
Earnings per share were $7.38 versus the expected $8.36. With a clear slowdown in operating results, investors didn’t hear the positive outlook, after which AMZN’s stock was instantly down 10%.
Despite good quarterly data, Apple (AAPL) shares fell almost 4% after its chief financial officer Luca Maestri warned of several problems in the current quarter.
Standing out among them are pandemic-related supply constraints. They could slow sales by $4-8 billion, as well as a significant drop in demand in China. CEO Tim Cook added that the company is “not immune” from supply chain problems.
Apple Inc. CEO Tim Cook. Photo: Yandex
Futures on U.S. stock indices reacted with a decline. And while the main stock benchmark of the U.S. stock market loses 0.4%, the opening on the S&P500 index “stands” already in the negative 0.8% and the Nasdaq -1.5%.