Stock Market Reporting Midweek 10/28/20

October 28, 2020 22:28 NYDT – The DOW Jones Industrial composite index (image above) nose-dived 943 points (3.4%) to its lowest level in 3 months. The NASDAQ and Standard & Poor’s (S&P 500) sank to levels not seen since late September: more specifically, 426 points (3.7%) and 119 points (3.5%), respectively.

Apple (AAPL), Google (GOOG), and Facebook (FB) make up about one fifth of the S&P 500 stake and are expected to report third quarter earnings on Thursday. While 83% of companies represented by the S&P 500 composite index met or exceeded third quarter expectations. However, unfavorable outcomes still largely outnumbered favorable outcomes 10 to 1. More specifically, the S&P 500 posted one 52-week high and nine 52-week lows.

Expert analysts on Wednesday urged the G20 to work swiftly in reducing the financial obligations of heavily indebted countries or face up to a decade or more of developmental delays leading to lags in Gross Domestic Product (GDP).

Investors placed bets on credit continuing to deteriorate in the United States by orchestrating a #considerable sell off of corporate bonds. A corporate bond is a debt security that pays investors a portion of the interest on the debt owed in exchange for capital.

Investors foresee companies being incapable of satisfying their debt payments due to the impact Coronavirus is having on the economy in terms of business closures and/or lack of business that is driven by the increased potential for government mandated stay-at-home orders.

Oil prices also fell 4.4% as energy demands for travel #diminish amidst increasing Coronavirus restrictions globally.

@Boeing (BA) has realized the reality of a return on their 737 MAX jet flight approval was a #fantasy. The company announced Wednesday that they would reduce their workforce by 7,000 employees in an attempt to sustain budget #viability @nyse.