US STOCKS-Wall Street ends lower after US jobs report; Apple weighs

Tupperware Brands

04/08/2023 21:42

(New throughout, adds official closing prices and volume
figures, adds weekly declines and milestones and comment from
analyst, updated at 4:40 EDT (2040 GMT))

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      U.S. jobs growth slows in July
    

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      Apple drops 4.8%, dents S&P by 16.175 points
    

        * 
      Amazon.com up 8.3%; sees bright Q3
    

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      Indexes down: Dow 0.43%, S&P 500 0.53%, Nasdaq 0.32%
    

  
    By Echo Wang
       Aug 4 (Reuters) - 
    Wall Street closed lower on Friday after a report of slowing
U.S. labor market growth, and all three major indexes posted
weekly losses as investors braced for more possible downside
surprises a day after disappointing earnings from Apple.   
        
    Apple's shares  AAPL.O  fell 4.8%, its biggest daily
percentage decline since Sept. 29, 2022 that dented the S&P 500
by about 16 points the day after the iPhone maker forecast a
continued slide in sales.
    A partial counterweight to Apple for the S&P 500 and Nasdaq
was Amazon.com. Its shares  AMZN.O  rose 8.3% the day after the
online retailer issued an upbeat third-quarter outlook. Amazon's
rise were an 11-point positive for the S&P 500.
        "Those big bellwether companies really have the
potential to cause investor jitters even though overall the
trajectory and direction of both the economy and corporate
earnings seems to be positive moving into August." Said Greg
Bassuk, chief executive officer of AXS Investments in New York.
  
        The trading session was choppy, with the indexes rising
in the morning, then wavering before turning negative. 
  
    On the bond market, the yield on the 10-year U.S. Treasury
edged lower in afternoon trading.
    "There's still a lot of uncertainty around geopolitical
concerns, Ukraine war, (and) China issues”, said Bassuk. He said
Friday's decline was "more about investors resetting and
positioning for potential downside surprises."
    The Labor Department reported that U.S. employers added
187,000 jobs in July. Data for June additions was revised lower
to 185,000 jobs, from 209,000 reported previously.

    
    
    Average hourly earnings rose 0.4% in July, unchanged from
the previous month, exceeding expectations, taking the
year-on-year increase in wages to 4.4%. 
    The yield on the 10-year benchmark Treasury note  US10YT=RR 
dipped after the jobs data, partly boosting some megacap stocks.
    Shares of other big tech companies, Microsoft  MSFT.O  and
Snowflake  SNOW.N  rose 0.3% and 3.5% respectively after
Amazon's cloud business segment beat sales estimates.
        The Dow Jones Industrial Average  .DJI  fell 150.27
points, or 0.43%, to 35,065.62, the S&P 500  .SPX  lost 23.86
points, or 0.53%, to 4,478.03 and the Nasdaq Composite  .IXIC 
dropped 45.18 points, or 0.32%, to 13,914.54.
  
    The weekly percentage declines for the S&P and Nasdaq were
the biggest since March, with some investors taking profits
after five months of gains due to economic data, disappointing
earnings and rising Treasury yields.
    Of the 422 companies in the S&P 500 that have reported
quarterly earnings as of Friday, 79.1% have surpassed autonomous
expectations, according to Refinitiv data.
    Carl Icahn-owned investment firm Icahn Enterprises  IEP.O 
shed 23.3%. The company halved its quarterly payout, months
after short-seller Hindenburg Research accused it of operating a
"Ponzi-like" structure to pay dividends.
    Fortinet  FTNT.O  tumbled 25.1% after the cybersecurity firm
cut its annual revenue forecast as spending from enterprise
clients remained tight amid a turbulent economy.
    Shares of Tupperware  TUP.N , known for its plastic airtight
storage containers and bowls, rallied 35.5% after the company
finalized an agreement with its lenders to restructure its debt
obligations in an effort to turn around the business.
    Amgen  AMGN.O  added 5.5% after it reported a higher
quarterly profit on strong sales of its cholesterol,
osteoporosis and other drugs.
    DraftKings'  DKNG.O  shares rose 5.8% after the
sports-betting firm raised its fiscal year 2023 revenue outlook.
    Volume on U.S. exchanges was 11.39 billion shares, compared
with the 10.87 billion average for the full session over the
last 20 trading days.    
        Advancing issues outnumbered declining ones on the NYSE
by a 1.22-to-1 ratio; on Nasdaq, a 1.14-to-1 ratio favored
decliners.
  
        The S&P 500 posted 19 new 52-week highs and 11 new lows;
the Nasdaq Composite recorded 54 new highs and 91 new lows.
  

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Monthly change in U.S. jobs    https://tmsnrt.rs/3OFX0Zi
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 (Reporting by Echo Wang in New York, Shubham Batra and Bansari
Mayur Kamdar in Bengaluru; Editing by Savio D'Souza, Shounak
Dasgupta, Shinjini Ganguli, Louise Heavens and David Gregorio)
 ((Shubham.Batra@thomsonreuters.com))