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US-STOCKS-MARKETS
US stocks end mixed as airlines soar
NEW YORK, April 3, 2019 (BSS/AFP) – Wall Street stocks finished mixed on
Tuesday, with an upbeat forecast from Delta lifting airlines, while
disappointing Walgreens results weighed on the Dow.
After surging more than one percent on Monday, major indices cooled off in
the second session of the new year. Downcast commentary from IMF Chief
Christine Lagarde also weighed on sentiment.
The Dow Jones Industrial Average dropped 0.3 percent to 26,179.13.
The broad-based S&P 500 was flat at 2,867.24, while the tech-rich Nasdaq
Composite Index gained 0.3 percent to 7,848.69.
Lagarde, in a speech ahead of next week’s spring meetings at the
International Monetary Fund, signaled the fund would further trim its global
growth forecast in light of Brexit, trade tensions and other issues.
“The expected rebound in global growth this year is precarious,” she said
in an address at the US Chamber of Commerce. “This is a delicate moment that
requires us to handle with care.”
Dow companies were mixed, with Walgreens Boots Alliance plunging 12.8
percent after reporting second-quarter profits below expectations and
slashing its 2019 earnings forecast.
The pharmacy chain cited cost pressures and consumer market challenges in
the US and Britain. The outlook also weighed on rival CVS Health, which shed
3.8 percent.
But airlines were lifted after Delta Air Lines its first-quarter profit
forecast, citing “record-setting” operational performance in March. Delta
surged 6.1 percent, while American Airlines and United Continental both
gained around two percent.
Facebook jumped 3.3 percent following a positive note from Deutsche Bank,
which said a plan to add a “checkout feature” to Instagram that allows users
to place orders for goods could add $10 billion in revenue in 2021.
BSS/AFP/HR/0937