Tesla helps drive stocks mostly higher
- Tesla shares surged nearly 22% after the company reported higher earnings, ending a trend of underwhelming results.
- The Dow declined, affected by disappointing earnings from IBM and Honeywell, while Boeing faced challenges due to an extended strike.
- Overall, despite Tesla's strong performance lifting parts of the market, uncertainty remains amid upcoming political events and economic conditions.
On October 24, 2024, Wall Street experienced a mixed outcome as stocks mostly rose, buoyed by Tesla's strong performance, which saw a 22 percent increase in shares following the announcement of higher earnings. This followed several quarters of disappointing results that had previously weighed on investor sentiment. Analysts recognized Tesla’s profit margins as 'impressive', and optimistic forecasts for 2025 sales further contributed to the positive market reaction. Yet, not all was positive. The Dow Jones Industrial Average dipped due to lackluster earnings reported by IBM and Honeywell, leading to a broader concern over the tech sector's performance. The downturn was compounded by Boeing's stock falling by 1.2 percent as a machinist union voted against the company’s new contract proposal, prolonging a strike and complicating the company’s recovery plans under new leadership. Internationally, European stock indices demonstrated gains as investors speculated about potential interest rate cuts, particularly in the eurozone and the UK, where inflation rates showed signs of decline. Meanwhile, crude oil prices exhibited volatility, swinging from gains to losses amid ongoing market uncertainties. With the US presidential election looming and expectations shifting regarding fiscal policies, including potential tax cuts favoring inflation, the atmosphere around the markets appeared tense. The fluctuation of US Treasury yields reflects this uncertainty as investors remain cautious, weighing the implications of economic data against the upcoming political events.