Business

Earning results leave Wall Street mixed

NYSE traders Image copyright Reuters

(Close): Wall Street markets were mixed after a series of disappointing earnings reports.

The Dow Jones Industrial Average fell 19.31 points to 18,473.75.

The broader S&P 500 added just 0.7 points to 2,169.18, while the Nasdaq climbed 12.42 to 5,110.05.

Shares in McDonald's slid 4.5% after the fast-food giant reported weaker-than-expected sales growth. Sales at US restaurants open at least 13 months rose 1.8%, below analysts' forecasts.

The burger giant also said it faced "a challenging environment in several key markets".

Commenting on McDonald's results, Neil Saunders, of retail research firm Conlumino, said: "There is no doubt that in the US the market as a whole was weak across the reporting period, with lower growth in consumer expenditure on fast food and casual dining."

However, he added: "Despite the slowdown the results are not disastrous: they remain in positive territory and show that the changes McDonald's has made continue to gain favour with customers."

Shares of US telecoms giant Version also fell, dropping 1.9%, after the company reported disappointing growth.

Verizon blamed a seven-week long strike by over 40,000 employees for the drop in revenue. The company announced Monday plans to buy Yahoo's core internet business for $4.8bn.

Heavy-equipment maker Caterpillar rose 5% after the company beat quarterly earnings expectations.

The Federal Reserve also began its latest two-day policy meeting. Investors will be looking for any clues as to the timing of interest rate changes when the Fed issues its statement on Wednesday.