Financial stocks held the markets back yet again today. The (NYSE: XLF) was lower almost all day and never really showed any signs of life. The Dow 30 was off by 36, the S&P 500 was able to gain 1, and the Nasdaq 100 added 8. With no real scheduled news on the books stocks are continuing to respond to earnings and stock specific news.
Disney (NYSE: DIS) had a wild day of trade after reporting earnings that beat Wall Street expectations. The negative was that revenue fell short of the streets expectations so the stock was unable to hold on to the days gains (0.00%). Once again, declining viewership at ESPN was a major focus as that division of Disney continues to struggle. Disney's only business to grow in the quarter was parks and resorts. Despite the mixed news, shares remain near their 2017 highs.
Time Warner (NYSE: TWX) enjoyed a small up day today (+0.41%) as the media giant reported earnings and revenue that topped Street forecasts. The report showed that all of its major business segments saw revenue growth year over year. Time Warner, which is in the process of being bought by AT&T, said "the acquisition deal is on track to close later this year."
Morgan Stanley (NYSE: MS) was one of the banking stocks to suffer a down day today (-2.14%) as the financial sector continues to show weakness. Even yesterday the markets tried to mount a small rally but without the strength of the financial sector was unable to get anything going. Shares are still just off 2017 highs so investors aren't too concerned at this point but for now it should be noted that financials are not participating in any bullish move.