- Tech earnings are rolling in.
- Forty-two attorneys general sue Meta.
- UAW expands its strikes again.
Here are the most important news items that investors need to start their trading day:
1. Earnings focus
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Marketsturned positive Tuesday, with the Dow snapping a four-day losing streak and rising 200 points. The S&P 500 and Nasdaq Composite were also up for the day. Investors were focusing on the latest earnings reports, which are coming in fast. Around 150 S&P 500 companies are slated to report this week. They also continue to watch the Treasury yields closely. Meanwhile, there were some standouts. Verizon stock closed up more than 9%, marking the company's best day in almost 15 years, while Spotify popped 10%. Follow live market updates.
2. Tech talk
Tech companies are in full earnings mode. Alphabet reported an 11% revenue rise in the third quarter, but its cloud business missed analysts' estimates by more than $20 million. That sent its stock nearly 7% lower in after-hours trading. Microsoft, meanwhile, saw its shares jump 6% in extended trading after the company said its net income grew 27%. Microsoft's revenue rose almost 13% year over year in the quarter and it beat analysts' estimates for both revenue and earnings per share. And Snap stock did its thing, leaping as much as 20% after hours, but the sentiment reversed and turned negative as investors digested news that some advertisers are pausing spending after the outbreak of the Israel-Hamas war.
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3. Meta sued
Maybe there's a reason we can't stop doomscrolling. A bipartisan group of 42 attorneys general is suing Meta, alleging its social media platforms are addictive — and that they're aimed at kids and teens. The attorneys say Facebook and Instagram are designed to keep young users hooked. They also say the company was aware of the negative effect things like notifications and the so-called infinite scroll could have on young people. The states are seeking an end to what they see as Meta's harmful practices, as well as penalties and restitution. Such widespread support for the legislation could be a threat to the business.
4. More UAW strikes
The United Auto Workers union responded swiftly to GM's third-quarter earnings report Tuesday morning. Just hours after the automaker said it had healthy profits and record third-quarter revenue, the UAW announced that roughly 5,000 of its members would walk out of a highly profitable full-size SUV plant in Texas. "Another record quarter, another record year. As we've said for months: record profits equal record contracts," UAW President Shawn Fain said in a statement. "It's time GM workers, and the whole working class, get their fair share." GM also said Tuesday that UAW strikes have already cost it $800 million in lost production.
5. Fuel concerns
Fuel is running out in Gaza and hospitals have warned they might have to shut down without more. Water, medicine, food and other supplies are also running low. U.N. Secretary-General Antonio Guterres warned overnight that the situation is "growing more dire by the hour." The United Nations Relief and Works Agency for Palestine Refugees said it would be unable to carry out aid operations after Wednesday night if it does not receive the fuel supplies it needs for running transportation, desalinating water necessary and operating medical equipment. The Israel Defense Forces said fuel is present in Gaza but monopolized by Hamas. Meanwhile, Israel's U.N. representative has called for Guterres's resignation after his remarks on the Israel-Hamas conflict.
6. And ... still no updates
Here's a bonus sixth thing, which is that basically nothing has changed: There's still no speaker of the House of Representatives. Majority Whip Tom Emmer of Minnesota had a memorable few hours. He prevailed over a crowded field of eight GOP candidates to secure the nomination for speaker after several rounds of closed-door voting Tuesday morning. But, in a now-familiar cycle, he dropped his bid for speaker just hours later when it became clear that he didn't have enough votes to clinch the spot. In late-night voting hours later, Republicans nominated Mike Johnson, a relatively little-known Louisiana congressman, for the spot. His path to victory seems no more certain.
— CNBC's Alex Harring, Jennifer Elias, Jordan Novet, Jonathan Vanian, Lauren Feiner, Michael Wayland, Ruxandra Iordache, Matt Clinch, Spencer Kimball and NBC News contributed to this report.
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