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US STOCKS-Mixed earnings, failed Brexit vote push down S&P 500

Published 22/10/2019, 20:32
© Reuters.  US STOCKS-Mixed earnings, failed Brexit vote push down S&P 500
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(For a live blog on the U.S. stock market, click LIVE/ or

type LIVE/ in a news window)

* P&G, UTC gain on raising full-year forecasts

* Facebook falls as probe into consumer data, advertising

expands

* Biogen surges on plans to seek FDA approval for

Alzheimer's drug

* Dow up 0.05%, S&P 500 down 0.18%, Nasdaq off 0.55%

(New throughout, updates to late afternoon, changes byline,

adds NEW YORK to dateline)

By April Joyner

NEW YORK, Oct 22 (Reuters) - The benchmark S&P 500 index

gave up modest gains on Tuesday from earlier in the session

after British lawmakers rejected the government's proposed

timetable for passing legislation to ratify its deal to exit the

European Union.

Earlier, U.S. stocks were mixed amid split corporate

earnings reports. Upbeat forecasts from Procter & Gamble Co

PG.N and United Technologies Corp UTX.N offset disappointing

results from McDonald's Corp MCD.N and Travelers Cos Inc

TRV.N .

Procter & Gamble shares rose gained 2.8% and United

Technologies advanced 2.4%, while McDonald's shares fell 4.6%

and Travelers shares declined 8.4%.

Of the 98 S&P 500 companies that have reported results so

far, more than 80% of them have beaten Wall Street estimates,

according to data from Refinitiv. Still, analysts project the

first earnings contraction since 2016.

"With a lower bar, earnings aren't really coming in that

great," said Matthew Miskin, co-chief market strategist at John

Hancock Investment Management in Boston. "They're not going to

cut it to get the market popping out of its trading range."

The Dow held on to slight gains, thanks to boosts from

Procter & Gamble, United Technologies and Boeing Co BA.N .

Boeing shares rose after United Technologies' chief

financial officer said that the company believed Boeing would

make 737 MAX planes at its current rate for the rest of the

year. They pared gains slightly after the New York Times

reported that the company's executive in charge of commercial

airplanes was expected to leave the company. Boeing shares were

last up 2.1%. The Nasdaq was pressured throughout Tuesday's session as

shares of technology .SPLRCT and communication services

.SPLRCL stocks lagged. Facebook shares, which dropped 3.5%,

weighed most heavily on the index as the social networking

company faced an expanding probe into allegations that it put

consumer data at risk and pushed up advertising rates.

Even with the afternoon's declines, the S&P remained above

3000 and was less than 1% from its record closing high in July.

"There's some disappointment from Brexit," said Tim

Ghriskey, chief investment strategist at Inverness Counsel in

New York. "But I don't think it has a huge impact on the U.S.

market."

The Dow Jones Industrial Average .DJI rose 13.9 points, or

0.05%, to 26,841.54, the S&P 500 .SPX lost 5.3 points, or

0.18%, to 3,001.42 and the Nasdaq Composite .IXIC dropped

44.52 points, or 0.55%, to 8,118.47.

Biogen Inc BIIB.O shares surged 29.0% after the drugmaker

revived plans to seek U.S. regulatory approval for its

Alzheimer's treatment. Harley-Davidson Inc HOG.N shares jumped 9.8% after the

motorcycle maker beat profit expectations and reaffirmed its

full-year shipment forecast. Conversely, Hasbro Inc HAS.O shares dived 16.5% as the

toymaker's profits, which have been pinched by U.S. tariffs on

Chinese imports, came in well below Wall Street estimates.

Advancing issues outnumbered declining ones on the NYSE by a

1.52-to-1 ratio; on Nasdaq, a 1.01-to-1 ratio favored decliners.

The S&P 500 posted 46 new 52-week highs and two new lows;

the Nasdaq Composite recorded 78 new highs and 68 new lows.

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