Stocks dropped significantly today after several disappointing quarterly earnings reports and continuing fears for global economies. It was announced that Spain’s economy contracted at 1.7% during the third quarter, faster than the previous quarter at 1.3%. The Dow Jones was down 250 points, and the S&P 500 and Nasdaq ended lower as well. After hours both Facebook (FB) and Netflix (NFLX) posted results – Facebook reported a loss while Netflix matched investor expectations for its quarterly profits. UPS (UPS) gained on Tuesday after posting estimates and shifting their forecast for 2012. Commodities fell on Tuesday due to economic worries and the poor earnings, with gold dropping more than 1% to $1,700 an ounce. Many await the latest policy statement from the Fed to be released on Wednesday, but don’t expect any additional easing ahead of the US presidential elections.
Word on the Street
- US stocks head towards their worst decline in four months as worries heighten.
- Apple (AAPL) sets its price for the iPad mini higher than expected as the holiday season nears.
- Oil drops below $87 a barrel to hit a three-month low as economic growth concerns continue.
- Facebook (FB) reports earnings after hours, shares up after Q3 loss.
- The Fed’s Bernanke announces he plans to leave his chairman post by 2014.
- Netflix (NFLX) meets performance expectations with a revenue of $905 million.
- United Parcel Service Inc (UPS) announces drop in profit but shares rise on revised forecast.
- The presidential debates are over, but these key economic topics were passed over.
- Why the mobile capabilities of Apple’s (AAPL) new iPad Mini will influence advertisers and publishers.