Stocks on Wall Street advanced after Goldman Sachs and Bank of America reported better than expected quarterly results. At least 135 companies are scheduled to release earnings this week.
Benchmark indexes advanced after a rise in retail sales despite the inflation surge lifted spirits on Wall Street. Better than expected earnings at banks contributed to the day's advance.
Benchmark indexes declined in volatile trading after JPMorgan profit fell 28% and suspended stock buybacks. Morgan Stanley earnings dropped 29%. The wholesale price index surged in June.
Benchmark index dropped after the latest elevated wholesale inflation report stoked the fears of faster and larger rate hikes at the next Fed's meetings. JPMorgan fell after the largest bank said it has temporarily suspended stock buybacks.
U.S. stocks turned lower and bond yields increased after inflation in June accelerated to a 400-year high driven by a surge in the cost of gasoline, housing, and food.
U.S. stocks, crude oil and bond yields fell on the worries that global economic slowdown is likely to be deeper and longer than previously anticipated.
European markets closed higher after investors shifted focus to upcoming earnings with the backdrop of uncertain natural gas supply in the region. The euro maintained a downward trend and briefly traded at parity with the U.S. dollar.
U.S. stocks traded sideways as the dollar extended gains against the worldwide currencies. Investors are dialing down the earnings growth expectations as corporations face macroeconomic headwinds and cost pressures.
The S&P 500 index closed down 1% and the Nasdaq fell 2% as focus shifts to earnings ahead. Dollar strength adds to a growing list of worries as investors look for clues of the future path of earnings.
Asian Markets closed down but the indexes in Japan gained more than 1% after the Bank of Japan revised higher its economic assessment for seven of the nine country's regions. The ruling Liberal Democratic Party won enough seats to revise its pacifist constitution.
