U.S. Stocks Waver Amid Mixed Earnings From UnitedHealth, GM, Others/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ U.S. stocks were choppy Tuesday morning as investors digested a wave of mixed earnings reports from major companies like UnitedHealth and General Motors. While the S&P 500 nudged closer to record highs, weak guidance from healthcare giants and concerns over Medicare Advantage rates dragged down key sectors. Meanwhile, Corning surged after announcing a multibillion-dollar deal with Meta.
Market Snapshot: Quick Look
- S&P 500: +0.3%
- Dow Jones Industrial Average: -447 points (-0.9%)
- Nasdaq Composite: +0.8%
U.S. Stocks Waver After Mixed Earnings From UnitedHealth, GM, Others: Deep Look
Key Movers and Market Highlights
UnitedHealth Group (UNH):
- Plunged 19.5%, despite better-than-expected Q4 earnings.
- Weak 2026 revenue outlook and concerns over low Medicare Advantage rate increases shook investor confidence.
Other Healthcare Stocks:
- Humana: -20.5%
- Elevance Health: -12.7%
- CVS Health: -10.5%
- The entire sector felt pressure from disappointing Medicare Advantage rate proposals.
Corning (GLW):
- Soared 13.1% after announcing a $6 billion optical fiber deal with Meta.
- Corning plans to expand its manufacturing facility in Hickory, North Carolina.
General Motors (GM):
- Gained 6.8% on strong Q4 earnings.
- Announced a new stock buyback program worth billions.
HCA Healthcare:
- Jumped 9.3% after reporting earnings above analyst expectations.
- Also initiated a significant stock buyback.
Broader Market Factors
Corporate Earnings Season:
- The market is in the thick of Q4 earnings season, with Meta, Microsoft, and Tesla set to report Wednesday and Apple on Thursday.
- Investors are watching closely to see if profit growth justifies recent market gains.
Federal Reserve Outlook:
- The Fed will announce its next interest rate decision Wednesday.
- No change is expected, though the market is looking for clues on future rate cuts.
- Inflation remains above the Fed’s 2% target.
Treasury Yields:
- 10-year yield dipped slightly to 4.21%, down from 4.22% on Monday.
- A weak consumer confidence report from the Conference Board pressured yields lower.
Global Markets
India:
- Sensex rose 0.4% after Prime Minister Modi announced a free trade deal with the European Union.
- The pact covers 2 billion people and marks a major bilateral agreement after two decades of talks.
South Korea:
- Kospi surged 2.7% on strong market sentiment.
Hong Kong:
- Hang Seng Index climbed 1.4% in a broader Asia rally.
Europe:
- Stock indexes saw modest gains amid global optimism and trade headlines.
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