US stocks snapped a two-day losing streak amid further anticipation that the Fed will lower borrowing costs in July.
John Williams, the president of the New York Federal Reserve, said the central bank should "act quickly and forcefully"as the economy starts slowing down and rates remain low. Lower rates are generally positive for stock prices because they reduce the comparative appeal of bonds.
"It's better to take preventative measures than to wait for disaster to unfold," Williams said during a speech to the Central Bank Research Association.
Jerome Powell and the Fed are widely expected to lower its benchmark rate this month amid rising trade uncertainty and discouraging global economic growth.
Here's a look at today's closing numbers:
Shares of Netflix sank as much as 12% after the streaming giant reported its first loss in US subscribers in eight years. The company second quarter earnings report disappointed investors as subscriber growth also fell short of forcasts. Netflix added 2.7 million members during the period compared to analysts estimates of around 5 million.
Chief Executive Officer Reed Hastings attributed the shortfall to price increases and its content lineup bringing in less subscribers than the company expected.
Ebay jumped 7% to its highest intraday price in 15 months after reporting "better than feared" earnings. Both Morgan Stanley and Bank of America placed a buy rating on the stock and increased their price targets after the results.
Morgan Stanley was the last of the major US banks to report second quarter earnings on Thursday. Profits came in above expectations despite the bank posting the worst decline in its stock-trading on Wall Street.
Within the S&P 500, these were the largest gainers:
And the largest decliners:
Consumer staples, technology, and financials were the best performing sectors in the S&P 500. The communications-services sector — which contains Netflix — fell by 0.9%.
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