NEW YORK: Wall Street stocks dipped early Wednesday following mixed corporate earnings as market expectations rise for another Federal Reserve interest rate hike.
Netflix and Morgan Stanley were among the companies that declined in early trading following financial releases, while United Airlines pushed higher.
But earnings from banks have reassured investors following the sector’s troubles, leading to less panic, but also shifting expectations on monetary policy, analysts said.
Dow leads Wall St losses as Goldman, J&J results disappoint
The yield on the 10-year US Treasury note rose above 3.6 percent.
About 30 minutes into trading, the Dow Jones Industrial Average was down 0.4 percent at 33,846.12.
The broad-based S&P 500 also shed 0.4 percent to 4,137.26, while the tech-rich Nasdaq Composite Index shed 0.6 percent to 12,084.42.
Among individual companies, Netflix fell 4.2 percent as it reported a quarterly profit of $1.3 billion, in line with expectations as it said it had delayed a broad crackdown on sharing of account passwords.
Morgan Stanley declined 1.0 percent after reporting a 20 percent drop in quarterly profits to $2.8 billion in results that showed the hit from a slowdown in mergers and acquisition advising.
But United Airlines jumped 3.5 percent as it offered a bullish forecast for the summer travel season even as it reported a first-quarter loss.
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