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Stock Market News for July 19, 2017

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Netflix shares hit a record high, which helped both the Nasdaq and the S&P 500 to end in the green on Tuesday. In fact, the Nasdaq closed at a record high, posting its longest 10-day winning streak since Feb 2015. Netflix shares, meanwhile, gained after the company reported solid growth in subscribers while reporting quarterly earnings. But, the Dow Jones finished in negative territory weighed down by Goldman Sachs. Shares of the banking behemoth slipped after reporting a staggering 40% drop in second-quarter bond trading revenue.

For a look at the issues currently facing the markets, make sure to read today’s Ahead of Wall Street article.

The Dow Jones Industrial Average (DJI) declined 0.3% to close at 21,574.73. The S&P 500 gained a meagre 0.06% to finish at 2,460.61. The tech-heavy Nasdaq Composite Index increased 0.5% to close at 6,344.31. A total of around 5.7 billion shares were traded on Tuesday, much lower than the last 20-session average of 6.48 billion shares. Advancing issues outnumbered decliners on the NYSE by a 1.10-to-1 ratio. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Netflix Posts Larger-than-Expected Growth in Subscribers

Shares of Netflix, Inc. (NFLX - Free Report) soared 13.5% after the company added 5.2 million subscribersin its second quarter, which is almost 2 million more than the company estimated. Netflix said that streaming membership grew more than expected due to its “amazing content”.

Separately, the company posted earnings of 15 cents per share, lagging behind the Zacks Consensus Estimate of 16 cents per share. The company saw revenue figures (including DVD) of $2.79 billion, just edging past the Zacks consensus estimate of $2.76 billion (read more: Netflix Misses Q2 Earnings But Crushes Subscriber Estimates, Shares Pop).

Goldman Sachs Stocks Slip as Trading Slumps

Shares of Goldman Sachs Group Inc (GS - Free Report) fell 2.6% after net revenues in the second quarter for the fixed income, currencies and commodities segment were 40% lower compared to a year ago. The segment was adversely affected by lower revenues from interest rate products, commodities, currencies and credit products, partially offset by high revenues in mortgage products.

Goldman’s net revenue edged down 1% year over year to $7.89 billion in the quarter under review. However, revenues outpaced the Zacks Consensus Estimate of $7.57 billion.

The company reported earnings per share of $3.95, beating the Zacks Consensus Estimate of $3.36. Further, the bottom line witnessed 6% year-over-year improvement (read more: Goldman’s Equities Revenue, Low Costs Drive Q2 Earnings).

Stocks that made Headlines

Crown Castle Q2 Earnings & Revenues Beat Estimates

Crown Castle International Corp. (CCI - Free Report) reported impressive financial results for the second quarter of 2017. (Read More)

CSX Corp’s Earnings and Revenues Surpass Estimates in Q2

CSX Corporation (CSX - Free Report) reported second-quarter 2017 earnings (excluding restructuring charge worth $122 million) which beat the Zacks Consensus Estimate. (Read More)

United Continental Declines Despite Q2 Earnings Beat

United Continental Holdings Inc.’s (UAL - Free Report) second-quarter 2017 adjusted earnings per share beat the Zacks Consensus Estimate. (Read More)

Visa's Alliance Aids PayPal to Offer Debit Cards in Europe

Visa Inc. (V - Free Report) and PayPal Holdings entered into a mutual agreement pursuant to which the latter will be able to issue PayPal-branded Visa debit cards in Europe. (Read More)

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