Stocks retreat from record highs as Tesla weighs on Wall Street and oil jumps on Iran uncertainty |
Stocks retreat from record highs as Tesla weighs on Wall Street and oil jumps on Iran uncertainty
The U.S. stock market is falling below its all-time high Thursday following mixed profit reports from Tesla and other big companies. Oil prices, meanwhile, are rising on continued uncertainty about what will happen next in the war with Iran.
The S&P 500 fell 0.7%. The Dow Jones Industrial Average was down 377 points, or 0.8%, as of 1:36 p.m. Eastern, and the Nasdaq composite was 1.2% lower after setting its own record. It’s a stumble for Wall Street following a weekslong rally that erased all its losses because of the war and then carried it to records.
Tesla dragged on the market and fell 3.4% even though it reported better results for the latest quarter than analysts expected. Investors may be focusing instead on Tesla’s increased forecast for spending this year, as it builds factories to make robots and other products.
“You should expect to see a very significant increase in capital expenditures,” Elon Musk told investors late Wednesday, “but I think well justified for a substantially increased future revenue stream.”
ServiceNow dropped even more, 17.9%, even though its results for the latest quarter matched analysts’ expectations. The company has been under pressure, along with much of the broad software industry, because of worries that rivals powered by........