Stock Market Today: Apple’s New iPhone; Abbott’s New Coronavirus Test

The headlines are being dominated by economic numbers, novel coronavirus updates and now earnings. That was the case in the stock market today, as the S&P 500 sank 2.2%.

On Wednesday morning, we received some disappointing retail and manufacturing data. In fact, the latter gave us its worst reading in its history. Those numbers initially spooked investors, particularly as they watched oil prices drop in early trading.

The commodity is still trying to recover from its painful decline last month. On Wednesday, U.S. crude oil futures settled at $19.87 a barrel, down just over 1% for the session. However, the bigger concern here is how short-lived the rally in oil has been. Oil prices remains near the lows, despite OPEC+ coming to a production cut agreement this weekend. That won’t be good for the energy sector in the coming days and weeks.

Don’t forget, jobless claims data will be reported before the open on Thursday.

Earnings Roundup

Aphria (NYSE:APHA) gave the cannabis sector something to smile about in the stock market today. The company reported earnings per share of 2 cents CAD, which came in 8 cents ahead of expectations. Revenue of 144.2 million CAD grew 96% year-over-year and beat expectations by 13.5 million CAD. However, management pulled guidance.

Citigroup (NYSE:C) shares slipped about 5.6% after reporting its first-quarter results. Profit of $1.05 per share missed expectations by 31 cents, as the company boosts its reserves. Revenue of $20.7 billion grew 11.6% year-over-year and easily topped analysts’ estimates.

However, the post-earnings rally in Goldman Sachs (NYSE:GS) remains the exception and not the rule. As a whole, bank stocks are struggling after reporting earnings this week.

UnitedHealth Group (NYSE:UNH) shares jumped on Wednesday, up 4.1%. Earnings of $3.72 per share beat expectations by 5 cents, while revenue of $64.4 billion grew 6.8% year-over-year and topped estimates by $170 million. Further, management stuck to its prior guidance.

Citigroup, Goldman and UNH were three of our Top Stock Trades on Wednesday.

Movers in the Stock Market Today

Gilead Sciences (NASDAQ:GILD) shares fell 4% on news that its second remdesivir study in China has been halted. Both this study for mild to moderately ill patients, as well as patients with severe symptoms of Covid-19, were halted due to low enrollment. According to RBC’s Brian Abrahams the results from the study were most likely inconclusive due to the high number of patients enrolled.

Abbott Labs (NYSE:ABT) just launched its third Covid-19 test. That adds to its molecular lab-based test and its rapid point-of-care test already in use. The new one will be a blood test, which is set to ship 1 million kits this week and 4 million this month. By June, the company expects to supply enough screening to produce 20 million samples.

Keep in mind, Abbott will report earnings on Thursday.

Molson Coors (NYSE:TAP) and Hexo (NYSE:HEXO) are joining forces to create a joint venture called Truss CBD USA. The two companies are working together to create a non-alcoholic, hemp-derived CBD drink based in Colorado. Even though Molson Coors will be the majority owner, none of the hemp-derived CBD products will be produced in its factories. All distribution along with production will be kept inside Colorado state lines.

Apple (NASDAQ:AAPL) just virtually released the scoop on its new budget iPhone. The new phone will be going back to the basics, so to say. The iPhone SE has some of the original designs of the iPhone, including the smaller screen, home button and single lens camera. The price point is coming in about 40% less than the current iPhone, at $399. Its set release date is April 24.

Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Kenwell is long AAPL and C.

Article printed from InvestorPlace Media,

©2023 InvestorPlace Media, LLC