The markets were mixed today as most were focused on the specifics of the tax reform bill which was released today. The Dow 30 was higher by 80, the S&P 500 was flat, and the Nasdaq 100 lost 1. Earnings will be a major focus again today as tech continues to report. Tomorrow as traders digest the earnings of names like Apple and Starbucks, they will also have to focus on the release of the latest unemployment rate which is always a market mover.
Tesla (TSLA ) shares sold off 6.80% today as they released earnings that disappointed Wall Street. The company showed a loss during the third quarter that was greater than the streets expectations. As was predicted, the major focus in the earnings report was production of the Model 3, after disappointing deliveries of it's Model 3's during the third quarter. Tesla did announced an update to its production targets for the Model 3, saying it now "expects to achieve a production rate of 5,000 Model 3 vehicles per week by the end of the first quarter of 2018." Investors seemed to lose some patience in the name as shares were lower immediately following the results. Shares have now fallen almost 25% since hitting a high back in September.
Apple (AAPL ) will be a big focus after the close today as the company is set to release their earnings. The major focus will be on demand for the tech giant's three new phones: iPhone 8, 8 Plus and iPhone X. Analysts seem optimistic though as it was reported that "iPhone X pre-orders started last Friday, and within a few hours, the phone's shipping date was delayed 5 to 6 weeks." Analysts will be looking for earnings to come in at $1.87 a share on revenue of $50.70 billion. iPhone sales are predicted to be at 46.1 million compared to $45.5 million a year ago. Shares were slightly higher today ahead of the announcement.
Starbucks (SBUX ) will also release it's earnings after the bell today. Analysts have been commenting that their major focus is store traffic. The lack of consistency in store traffic over the previous quarters is part of the reason cited for this. Chinese growth is always a focus as well as the company continues to claim China growth will surpass that of the U.S. Analysts consensus is a profit of 55 cents on revenue of $5.8 billion, up from $5.7 billion a year ago. Shares were mostly flat on the day.