Apple, Southwest Airlines stocks battered as traders look beyond earnings

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Stocks are in the red this Wednesday morning as the current earnings season—once thought to be the savior of the market, turns into just another bloody rout. In what is becoming a too-familiar story, Apple (AAPL) and Southwest Airlines (LUV) reported having earned more per share than the Street’s consensus estimate, but ultimately provided more negative than positive news. For AAPL, down 3.6%, the problem is a declining profit margin, while for LUV, down 11.7%, the problem is weak guidance.

West Texas Intermediate crude is trading at $49.08. At present, the S&P 500 is down 0.3%, the DJIA is down 0.29%, and the NASDAQ is down 0.51%.

Here are your Wednesday morning market metrics. Industries doing well today include communications equipment, biotechnology, and electronic equipment. Industries showing weakness include airlines, equity REITs, and technology hardware. The VIX is up 6%% to 14.29, after closing on Tuesday at 13.46. The most heavily traded options this morning are for Apple (AAPL), with 12,507 December 120 calls and 10,769 December 125 calls on the board. The total put/call ratio as of 10:00 AM was 1.07 (260,537/278,027). NYSE Adv/Dec 792/2,022. Nasdaq Adv/Dec 932/1,435.

Symbols: AAPL LUV
Julian Close

Julian Close

Julian Close became a stockbroker in 1995. In his 20 years of market experience, he has seen all market conditions and written about every aspect of investing. Julian has also written extensively on corporate best practices and even written reports for the United Nations. He graduated from Davidson College in 1993 and received a Master of Arts in Teaching from Mary Baldwin College in 2011. You can see closing trades for all Julian's long and short positions and track his long term performance via twitter: @JulianClose_MIC.

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