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Stock Market Today: Dow Rides Stronger Earnings to Close Higher

Published 10/19/2022, 05:02 AM
© Reuters.
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By Yasin Ebrahim

Investing.com -- The Dow closed higher Tuesday, as better-than-expected quarterly results continued to support sentiment on stocks for the second-straight day, though Apple's move from session highs kept gains in check. 

The Dow Jones Industrial Average gained 1.1% or 337 points, the Nasdaq was up 0.90%, and the S&P 500 rose 1.1%.

Industrials led the broader-market climb after upbeat quarterly results from Lockheed Martin sparked a rally in other defense companies.

Lockheed Martin (NYSE:LMT) rallied more than 8% after its third-quarter earnings topped Wall Street estimates and the defense contractor boosted stock buyback plans.

Northrop Grumman (NYSE:NOC), L3Harris Technologies (NYSE:LHX), and Huntington Ingalls Industries (NYSE:HII) were more than 4% higher.

Goldman Sachs (NYSE:GS), meanwhile, climbed more than 2% after reporting blowout third-quarter earnings, underpinned by strong performance in its fixed-income trading division.

The Wall Street bank also confirmed plans to reorganize its business into three segments: asset and wealth management, global banking and markets, and platform solutions.

Hasbro (NASDAQ:HAS), however, fell nearly 3% after the toymaker reported third-quarter earnings that fell short of estimates as bloated inventory and softer consumer demand weighed on performance.

Tech stocks continued to advance for the second day in a row. Apple (NASDAQ:AAPL), which closed about 1% higher, had been up more than up 3% intraday on reports that the company is cutting production of the iPhone 14 plus less than two weeks after its debut. The tech giant announced Tuesday the launch of new products including an Apple TV 4K and iPad Pro.

Salesforce (NYSE:CRM) rose 4% on reports that the activist investor Starboard Value took “significant” stake in the software maker.

Netflix (NASDAQ:NFLX) fell nearly 2% ahead of its quarterly results due after the market closes.

Energy stocks were up more than 1% even as oil prices stumbled amid ongoing concerns about demand just as the U.S. is expected to ramp up the release of emergency oil supplies.

Marathon Petroleum (NYSE:MPC), Valero Energy (NYSE:VLO), and EOG Resources (NYSE:EOG) were up around 2%.

“Biden is expected this week to announce the release of the remaining 14 million barrels of the 180 million barrels that have been earmarked so far,” Commerzbank said in a note.

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