Stock Market Recap: Netflix's Subscriber Data Change and Israel's Retaliatory Strike Impact Global Markets

Hello readers,

It's been an eventful day in the stock market, with significant developments impacting various sectors. Netflix's decision to no longer report subscriber data starting next year has caused a stir, leading to a 9% drop in the company's shares. The streaming giant's move reflects a shift in focus towards revenue growth as a more stable performance metric.

Meanwhile, Israel's retaliatory strike on Iran initially unsettled global markets, particularly in the energy sector amid concerns about potential disruptions to oil supplies. The Nasdaq declined by 2.1%, while the S&P 500 was down 0.9%. However, the Dow Jones Industrial Average managed to gain 0.6%, driven in part by American Express's better-than-expected profits and increased card signups.

Furthermore, the week saw pressure on stock and bond prices due to indications that the Fed may hold off on rate cuts to address inflation concerns. This has particularly impacted tech shares, with the so-called Magnificent 7 stocks collectively losing a substantial $950 billion in market cap.

On a different note, the cigarette market in the U.S. is undergoing a significant shift, with Philip Morris International (PMI) set to compete domestically following the expiration of a distribution rights contract with Altria. PMI's foray into the U.S. market is expected to reshape the tobacco industry landscape.

Looking ahead: we have upcoming corporate earnings reports and economic indicators, including first-quarter GDP and initial jobless claims.

Thank you for staying updated with me.

Daniel Silva