S&P 500 off lows as Treasury yields retreat, but mixed corporate earnings weigh

Investing.com -- The S&P 500 moved off session lows Friday as Treasury yields took a breather from their recent melt up, but stocks remained on course to snap a two-week week win streak amid mixed quarterly corporate earnings.

The Nasdaq gained 1.2%, and the Dow Jones Industrial Average fell 0.7% or 243 points, the S&P 500 fell 1%.

Treasury yields take breather after sharp jump

The 10-year Treasury yield retreated after hitting the a more than 16-year high a day earlier as Federal Reserve Jerome Powell reiterated that rates would be higher for longer, and teed up the idea of a further hike should the economy continue to surprise to the upside.   

Energy stocks dragged lower by Schlumberger, falling oil prices

Energy stocks including EQT Corporation (NYSE:EQT), Halliburton Company (NYSE:HAL) and APA Corporation (NASDAQ:APA) were pressured by a fall in oil prices despite ongoing tensions in the Middle East that threatened to disrupt oil production in the region.

Schlumberger NV (NYSE:SLB), down 2%, also weighed on the sector after the oil field services company reported mixed quarterly results as revenue missed analysts’ estimates.

{{0|American Express, regional banks leads financials lowers 

American Express Company (NYSE:AXP) reported quarterly results that beat on both the top and bottom lines, but its shares fall more than 4% amid concerns about tougher comps ahead.

Regions Financial Corporation (NYSE:RF)'s Q3 results fell short of Wall Street estimates, sending its shares down 13%.  

The regional bank’s outlook was also a concern for investors, with Evercore ISI saying the negative outlook was likely pressured by weaker net interest margin, funding costs and rising credit pressure.   

Knight-Swift rallies as Wall Street praises earnings beat  

Knight-Swift Transportation (NYSE:KNX) narrowed its full-year earnings guidance that topped estimates after reporting better-than-expected Q2 results.

The earnings beat points to signs of a bottom nearing in the freight industry, Goldman Sachs said as it lifted its price target on the company to $55 from $53.

Hewlett Packard Enterprise falls on disappointing guidance as investment spend to weigh

Hewlett Packard Enterprise Co (NYSE:HPE) fell more than 6% after the company said it now expects adjusted EPS in 2024 of $1.82 to $2.02 a share, well short of analysts of $2.15.

The hardware and software services company also cut EBIT growth outlook for 2023 to about 4% growth from 6% to 7% prior, Goldman Sachs said, as the company “makes targeted investments in F4Q to accelerate its growth businesses.”