Key takes away
The S&P 500 rose 1.1% on Monday, October 16, 2023, posting strong gains as markets begin a week of noteworthy earnings reports.
Shares of Charles Schwab jumped as profits at the discount brokerage beat estimates and the company said it would cut expenses.
Moderna shares fell as the drugmaker warned it could not yet determine demand for COVID-19 vaccines in the United States this year.
US stocks started the week on a strong note, with the S&P 500 rising 1.1% in Monday’s session, with key earnings reports due over the next few days. The Dow Jones and Nasdaq also rose about 1%.
In the financial sector, better-than-expected earnings and a major cost-cutting plan lifted shares of discount brokerage firm Charles Schwab (SCHW) by 4.7%. Shares of Raymond James Financial (RJF) rose 2.5% as the company struck a deal to use tax management technology provided by JPMorgan Chase (JPM) for its managed accounts.
Shares of News Corp (NWSA) rose 4.7% after reports that activist investor Starboard Value increased its stake in Rupert Murdoch’s media company, seeking strategic and governance changes. Among the proposed changes is ending the dual-class share structure that allowed the Murdoch family to control a voting bloc of roughly 40%.
Shares of Moderna ( MRNA ) fell 6.5% as the drugmaker said it was comfortable with its full-year COVID-19 vaccine sales outlook but cautioned that it was too early to know what vaccine rates are in the United States.
Moderna made the announcement after rival Pfizer (PFE) cut its full-year guidance, with the forecast lower “solely due to COVID products.” However, Pfizer shares rose 3.6% as Jefferies upgraded the stock, calling it attractive following the change in outlook.
Shares of Henry Schein (HSIC) fell 2.1% after it was reported that the healthcare equipment company’s manufacturing and distribution business was the victim of a cyberattack.
Shares of Organon (OGN) lost 2.7% after Daré Bioscience (DARE) said the health care company will pay $1.8 billion as part of a partnership deal following the first commercial sale of Daré Bioscience vaginal gel. Daré shares rose 14.3%.