Magnificent News: Stocks fall on Thursday | Elon Musk's bid to buy Twitter | Goldman Sachs, Morgan Stanley post earnings

THU, APR 14, 2022

EVENING BRIEF

AS OF THU, APR 14, 2022 • 05:15 ET

DJIA		34451.23
		-0.33%	-113.36

S&P 500		4392.59
		-1.21%	-54.00

NASDAQ		13351.08
		-2.14%	-292.51

Most Active

DOW
NAME	LAST	CHG	%CHG
AAPL	165.29	-5.11	-3.00%
INTC	45.67	-1.34	-2.85%
MSFT	279.83	-7.79	-2.71%

S&P 500
NAME	LAST	CHG	%CHG
TWTR	45.08	-0.77	-1.68%
BAC	37.57	-1.25	-3.22%
AAPL	165.29	-5.11	-3.00%

NASDAQ
NAME	LAST	CHG	%CHG
AAPL	165.29	-5.11	-3.00%
AMD	93.06	-4.68	-4.79%
NVDA	212.58	-9.45	-4.26%

EDITOR'S NOTE

Investors digested rising inflation and mixed major bank earnings on Thursday, as the major averages capped a losing week heading into the holiday weekend.

The S&P 500 dropped 1.2% on Thursday, losing 2.1% at the end of a four-day week. The tech-heavy Nasdaq Composite dropped 2.1%, notching a weekly 2.6% loss. Meanwhile, the Dow Jones Industrial Average fell 113 points, or 0.3%, and ended the week down nearly 0.8%. Trading is closed at the NYSE on Friday.

Those moves came as inflation took center stage in investors' minds this week after two back-to-back reports showed surging prices. On Thursday, the benchmark 10-year U.S. Treasury yield rose back to multi-year highs as traders continued to assess rising inflation. The yield on the 10-year Treasury topped 2.8%.

"What's happening with yields directly impacts stocks at this stage of the game, because it's just one more of so many other negative data points, or bearish data points, that investors have to deal with," said Adam Sarhan, founder and CEO of 50 Park Investments.

Meanwhile, Elon Musk offered to buy Twitter for $54.20 a share, saying the social media platform needs to be transformed privately in order to thrive. Shares of Twitter lost nearly 1.7% in Thursday trading. Tesla shares dropped 3.6%.

In March, the consumer price index rose by 8.5% from a year ago, the fastest annual gain since December 1981. Supplier prices also jumped 11.2% in March from a year-ago period, marking the highest gain going back to 2010.

Even so, the latest retail sales report showed that consumers continued to spend last month. Retail sales climbed 0.5% from the previous month, a little less than the 0.6% estimate from Dow Jones.

On Thursday, major banks including Goldman Sachs, Morgan Stanley and Wells Fargo reported first-quarter earnings. Investors are watching how the banks navigated surging inflation and a recession warning from the bond market in the form of a flattening yield curve, as earnings season goes into full swing this month.

Next week, several blue-chip companies on the Dow are reporting quarterly earnings. IBM, Procter & Gamble, Travelers, Dow Inc, Johnson & Johnson, American Express and Verizon are posting results. Netflix and Tesla will report after the bell Tuesday and Wednesday, respectively.