Stock futures were sharply lower after disappointing quarterly results from J.P. Morgan Chase (JPM) and a surprising jump in wholesale inflation in March. J.P. Morgan said revenue fell 8% year over year and earnings missed Wall Street estimates by $0.12 a share. Wells Fargo (WFC) beat earnings estimates by $0.08 a share. Revenue declined, but came in just ahead of analysts’ estimates.
Meanwhile, the government reported the producer price index jumped 0.5% March. Economists were expecting a more tepid 0.1% increase. Stocks sold off on Thursday, with the Nasdaq down more than 3%. But the selling was not contained to tech stocks this time around. Bank stocks joined biotech and other momentum names that were sharply lower in Thursday’s selloff.
In the associated video, Yahoo Finance Editor-in-Chief Aaron Task, Senior Columnist Michael Santoli and Host of Breakout Jeff Macke break down what is behind the selling and offer their views on where the markets go from here.
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