S&P 500, Nasdaq Eyeing Rare Back-to-Back Losses

Even though bond yields are elevated, the odds of a rate cut are high for next month

Patrick Martin

Managing Editor

Oct 22, 2024 at 12:10 PM

Stocks are once again slumping, with the Dow Jones Industrial Average (DJI) down nearly triple digits, as investors weigh rising bond yields with the latest batch of earnings reports. Both the S&P 500 Index (SPX) and Nasdaq Composite (IXIC) are also lower, and if today's losses hold, it would be the first back-to-back losses for the indexes since the first week of September. As Wall Street unpacks Fed commentary about rate cuts, CME's FedWatch tool shows a 89% chance of a 25 basis-point cut at the Fed’s meeting next month.

Continue reading for more on today's market, including:

Newly upgraded solar stock leads the pack.
2 earnings reports you should know about.
Plus, LOGI bulls swoop in; logistics stock rallies; and Lockheed Martin cools off.

MMC Stats Oct 22

Logitech International SA (NASDAQ:LOGI) is seeing an uptick in its usually quiet options pits today. At last check, over 7,500 contracts have changed hands, volume that's 8 times the average intraday amount. The November 87.50 call is the most popular, as is the 90-strike call in the same series, with new positions sold to open at the latter. LOGI is down 9.5% to trade at $83.12, even though the tech hardware specialist reported a second-quarter earnings beat and hiked its fiscal year guidance. The stock is now down 13% in 2024 and heading for its lowest close since May 7.

Norfolk Southern Corp (NSE:NSC) stock is one of the better names on the SPX today, last seen up 3% to trade at $255.63. The railroad giant reported third-quarter earnings that topped estimates, which is helping shrug off a revenue miss. NSC is back within striking distance of its March 13 annual highs of $263.66, and is now up 8% in 2024, continuing its V-shaped rally from its June 25 lows at $206.

MMC Stock Chart NSC

Lockheed Martin Corp (NYSE:LMT) stock is dragging the SPX today, last seen down 5.2% to trade at $582.43. The defense contractor whiffed on third-quarter revenue estimates, even though earnings topped forecasts and fiscal-year guidance was raised. Lockheed Martin stock hit a record high of $608.34 yesterday, and today's gap lower is testing its 50-day moving average.

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