The trading day started with an end to the Kuwaiti oil workers’ strike and a tumble in the Chinese stock market.
The Chinese stock market plunged as much as 4 percent at one point before recovering and finishing the day down 2.3 percent. The stock slide was attributed to the People’s Bank of China saying that easing economic measure would be on hold for now. The other Asian markets closed lower in sympathy.
Oil is lower by 2 percent to $41 a barrel as the Kuwaiti oil workers’ strike came to an end. Europe was mostly flat even as Turkey announced a rate cut. That helped push the euro a bit higher.
The S&P 500 is up by 1 point to 2,102, the Dow Jones Industrial Average is higher by 9 points to 18,062 and the Nasdaq has added 2 points to trade at 4,942. The S&P Retail ETF is losing 3 cents to trade at $45.34.
Discover Financial Services reported its earnings after the market close on Tuesday. The credit card company delivered first-quarter profits that beat analyst’s estimates and sent the stock higher by over 6 percent to trade at $55.90. Credit card processing increased 4 percent and Discover card sales volumes also rose by 4 percent. When asked about the consumer, chief executive officer David Nelms said, “I think it continues to be steady, but slow, growth. And we’re seeing sales continue to kind of bump along, increasing from last year. But the consumers are continuing to be cautious, and that makes it tough on the sales line, but is certainly benefiting the credit line, where the caution is showing up in continuing great credit results.”
Yahoo Inc. reported its earnings following the market close Tuesday and during the conference call, the company reiterated its commitment to the lifestyles vertical. The company talked about the launch of men’s wear on Polyvore to reach a broader base of fashion lovers. Chief executive officer Marissa Mayer said that Yahoo held a commanding position in the lifestyle vertical and noted that the company exited food, health, parenting, makers and travel digital magazines in order to focus on news, sports, finance and lifestyle.
Amplify ETF’s launched a new Online Retail ETF with the ticker IBUY. The fund holds a basket of companies that generate a majority of revenue from online and virtual sales. Some of the top-10 holdings include Lands’ End, Amazon.com Inc. and Overstock.com Inc.