Gold, stocks slide on weak earnings, trade fears
Gold declined another 1.4 percent to roughly $4,060 per ounce on Wednesday after tumbling 6 percent the previous day from record levels above $4,381. American stock indexes retreated as Netflix shares dropped more than 10 percent following earnings that missed forecasts, raising concerns about other technology companies ahead of their reports. Tesla posted a 37 percent profit decline to $1.4 billion after markets closed, blaming tariffs and restructuring expenses for results that fell short of analyst expectations.
The Dow Jones Industrial Average fell 0.7 percent, while the S&P 500 lost 0.5 percent amid concerns that investments in artificial intelligence may have pushed valuations beyond reasonable levels. European markets mostly declined, except London’s FTSE 100, which gained 0.9 percent as sterling weakened after lower inflation data suggested potential Bank of England rate cuts. L’Oreal shares sank 6.7 percent in Paris after American tariffs hurt sales and quarterly results disappointed investors.
