After a weak start and strong finish for stocks yesterday, equities are flattish in the early going today. The same goes for gold, silver, and the dollar. Treasuries are up a bit, while crude oil is falling.
More “Big Finance” names are reporting earnings – and the news is mostly good. Goldman Sachs Group Inc. (GS) said profit jumped 45% to $2.99 billion, or $8.40 per share, in the third quarter. Stronger equity trading and investment banking revenue bolstered the bottom line. Meanwhile, Bank of America Corp. (BAC) also beat analyst estimates thanks to an 18% surge in investment banking fees. Revenue in BAC’s wealth and investment management unit rose 8%, too.
GS, BAC, BA, WBA (YTD % Change)
Beleaguered Boeing Co. (BA) may be going to the market well to raise needed funds. The airline manufacturer filed a shelf registration that would allow it to raise up to $25 billion in debt and equity. Its move comes amid a union strike that has shut down production in Seattle for a few weeks, and after regulatory scrutiny, quality issues, and product delays impacted its 737 Max and 777X jets. BA shares have lost more than 40% this year.
Crude oil prices slid after reports Israel told US officials the country wouldn’t attack Iran’s oil or nuclear facilities. The world has been awaiting Israel’s response to Iran’s missile attack Oct. 1. It reportedly will take place before the US election, and target various intelligence and military sites. Even with today’s selloff, US oil futures remain about $5 above their mid-September lows.
Finally, Walgreens Boots Alliance Inc. (WBA) is going to shutter 1,200 stores over the next three years. The drug store chain has been losing money amid stricter reimbursements for prescriptions. The company operates roughly 8,500 US stores, plus a couple thousand more in foreign markets. Its shares are down 64% in 2024.
