Netflix Up on Slightly Lower New York Stocks

Netflix Up on Slightly Lower New York Stocks

Stock markets in New York opened Thursday with small losses. Shares of video streaming service Netflix rose after news that the company has hired a former Facebook executive to head its video games division.

 

Investors on Wall Street also focused on quarterly results from investment bank Morgan Stanley and new data on the US labour market.

Netflix rose 0.9 percent. The company has named Mike Verdu as CEO of the games branch. He previously worked at computer game maker Electronic Arts (EA) and was responsible for video games at Facebook. Netflix would like to start offering video games through its streaming service next year.

Morgan Stanley fell 0.3 percent despite better-than-expected results. The banks’ Bank of New York Mellon, Truist Financial and US Bancorp also opened their books and showed a mixed picture. Health insurer UnitedHealth fell 0.9 percent after the publication of figures.

Shortly after opening, the Dow-Jones index recorded a minus of 0.3 percent at 34,846 points. The broad-based S&P 500 fell 0.3 percent to 4359 points, and the technology exchange Nasdaq lost 0.4 percent to 14,589 points.

The number of new jobless claims in the United States fell by 26,000 last week to 360,000. Economists had expected 350,000 applications. It is the lowest number of new unemployment claims since the outbreak of the corona pandemic in the US.

Insurer American International Group (AIG) was raised 2.7 percent. AIG sells nearly 10 percent of its life insurance and pensions business to investor Blackstone for $2.2 billion.

Investors also weighed in on new information about US industrial production. It increased further in June, but less strongly than a month earlier. The US industry is struggling with global chip shortages, especially in the auto sector. As a result, there was a decline in car production.

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