The Market Landscape
The day closed with U.S. stocks heading south, the Dow Jones index shedding around 350 points on Tuesday, while the NASDAQ and the S&P 500 also ended in the red, the former dropping 0.58% to 14,885.45, and the latter losing 0.66%, settling at 4,752.36.
Sectoral Performance
Amidst the downturn, information technology shares managed to inch up by 0.1% on Tuesday, whereas energy shares tumbled by 1.9%.
Corporate Highlights
PNC Financial Services Group Inc (PNC) reported a stellar display, delivering better-than-expected earnings for its fourth quarter, marking a revenue decline of 7% year-over-year (Y/Y) to $5.36 billion, outperforming the consensus of $5.29 billion. Adjusted EPS of $3.16 topped the consensus of $2.94.
Rising and Falling Equities
In the equities market, DatChat, Inc. (DATS) shares catapulted 53% to $3.2292 after unveiling plans for the proposed spin-off of its Habytat platform business. Conversely, Allakos Inc. (ALLK) shares plummeted 57% to $1.2801 following the company’s announcement regarding topline data from its phase 2 trial and Applied Digital Corporation (APLD) witnessed a 21% drop to $5.91 due to worse-than-expected second-quarter financial results.
Commodity Movement
In commodities, oil and gold dipped by 0.9% to $72.06 and 1.1% to $2,029.70, respectively, while silver traded down 1% to $23.095, and copper rose 0.8% to $3.7710 on Tuesday.
Global Market Synopsis
The day saw European shares finishing mostly lower, with notable reactions in key indices. In the Eurozone, the STOXX 600 dropped 0.24%, the UK’s FTSE 100 fell 0.48%, while Spain’s IBEX 35 Index dipped 0.82%. Meanwhile, the ZEW Indicator of Economic Sentiment for Germany surpassed market estimates, posting a reading of +15.2 in January. Italy’s annual inflation rate eased to 0.6% in December from 0.7% in November, while Germany experienced an uptick in consumer price inflation to 3.7% year-over-year in December.
Asian Pacific Markets
In Asia, stocks trended mostly lower, with Japan’s Nikkei 225, Hong Kong’s Hang Seng Index, and India’s S&P BSE Sensex all closing in the red, while China’s Shanghai Composite Index experienced a slight uplift. Additionally, Japan’s producer prices exhibited no growth year-over-year in December.
Macro Indicators
The NY Empire State Manufacturing Index dwindled to -43.7 in January, marking its lowest reading since May 2020.