Stock Market Today: UPS, First Republic Earnings Drag on Stocks
Dismal guidance from logistics giant UPS and dreary deposit data from regional lender First Republic kept a lid on the major indexes Tuesday.

Stocks opened in negative territory Tuesday, with losses accelerating as the session wore on. In focus today were corporate earnings; specifically, results from logistics giant United Parcel Service (UPS, -10.0%) and embattled regional bank First Republic (FRC, -49.4%). Investors also took in the latest economic reports, including concerning consumer confidence data.
Ahead of the open, UPS said first-quarter earnings slumped 28% year-over-year, while revenue was down 6%. Additionally, the company, whose financial results are often seen as a bellwether for the broader economy, said in a press release that due to "challenging macro conditions and changes in consumer behavior," its full-year revenue and adjusted operating margin will likely arrive at the low end of guidance.
Elsewhere, quarterly results from First Republic gave a glimpse into just how brutal the regional banking crisis got in March. The financial firm said deposits fell nearly 41% to $104.5 billion in Q1, much more than analysts were expecting. However, the company added that deposit activity has since stabilized, with total deposits of $102.7 billion as of April 21, down just 1.7% from the end of March. FRC added that it is cutting costs by reducing executive compensation, lowering non-essential projects and activities, and laying off around 20% of its workforce.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
On the economic front, the S&P CoreLogic Case-Shiller National Home Price Index was up 0.2% from January to February, marking its first gain in seven months. Miami, Tampa and Atlanta saw the biggest annual increases in home prices among the 20 cities surveyed, while Las Vegas, Phoenix and Los Angeles saw the biggest decreases.
Meanwhile, the Conference Board said its consumer confidence index fell to 101.3 in April from 104.0 in March, though consumers' outlook for business conditions and the labor market improved. "While consumers' relatively favorable assessment of the current business environment improved somewhat in April, their expectations fell and remain below the level which often signals a recession looming in the short-term," said Ataman Ozyildirim, senior director of economics at the Conference Board, in a press release.
Today's price action was "controlled by risk-off investors, who are concerned about future earnings at a time of slowing consumption, sticky inflation, and a stubborn Federal Reserve," says José Torres, senior economist at Interactive Brokers.
Indeed, the Dow Jones Industrial Average closed down 1.0% at 33,530, the S&P 500 was 1.6% lower at 4,071, and the Nasdaq Composite was off 2.0% at 11,799.
Spotify, KMB among Tuesday's earnings winners
Not all of today's earnings reactions were negative. Music-streaming service Spotify Technology (SPOT) said it had 515 million total subscribers in the first quarter, more than analysts were expecting, sending the communication services stock up more than 5%. Consumer staples stock Kimberly-Clark (KMB, +1.6%) closed higher after the maker of Cottonelle toilet paper and Huggies diapers reported higher-than-expected first-quarter earnings and lifted its full-year guidance. Additionally, fintech stock Fiserv (FISV, +2.4%) popped after the global payments processor reported top- and bottom-line beats for its Q1 results and increased its outlook for fiscal 2023.
This week's earnings calendar will continue to be a main driver of price action, with blue chip stocks Microsoft (MSFT) and Alphabet (GOOGL) releasing their results after tonight's close, and Facebook parent Meta Platforms (META) set to report tomorrow evening.
With over a decade of experience writing about the stock market, Karee Venema is an investing editor and options expert at Kiplinger.com. She joined the publication in April 2021 after 10 years of working as an investing writer and columnist at Schaeffer's Investment Research. In her previous role, Karee focused primarily on options trading, as well as technical, fundamental and sentiment analysis.
-
-
Kiplinger Readers' Choice Awards 2023 Results
The results are in for the Kiplinger Readers’ Choice Awards — celebrating the best products and services in personal finance.
By the editors of Kiplinger's Personal Finance • Published
-
Is Chevron Stock Set for a Rebound?
Chevron stock received its second analyst upgrade in as many days, boosting hopes for a recovery in the lagging energy major.
By Dan Burrows • Published
-
Is Chevron Stock Set for a Rebound?
Chevron stock received its second analyst upgrade in as many days, boosting hopes for a recovery in the lagging energy major.
By Dan Burrows • Published
-
Stock Market Today: Stocks Close Lower Ahead of Key Debt Ceiling Vote
The major benchmarks spent most of Wednesday in the red as the House prepares to vote on the debt ceiling deal this evening.
By Karee Venema • Published
-
Stock Market Today: Stocks Give Back Big Debt Ceiling Deal Gains
The major benchmarks opened solidly higher Tuesday after lawmakers announced a debt ceiling deal, but optimism faded into the close.
By Karee Venema • Published
-
9 Momentum Stocks to Buy Now
Want to ride the hot hand of the market? Consider these nine momentum stocks that are climbing the charts this year.
By Jeff Reeves • Published
-
Stock Market Today: Stocks Jump on Debt Ceiling Progress
The major benchmarks rallied into the long weekend after lawmakers said they're making strides in debt ceiling negotiations.
By Karee Venema • Published
-
Stock Market Today: Stocks Rise After AI Outlook Sparks Explosive Nvidia Rally
The Nasdaq and S&P 500 made impressive advances today after chipmaker Nvidia forecast record quarterly revenue on AI growth.
By Karee Venema • Published
-
Is Nvidia Stock Just Getting Started?
Nvidia stock has more than doubled this year already, but analysts say explosive growth in AI gives NVDA plenty more upside ahead.
By Dan Burrows • Last updated
-
Stock Market Today: Stocks Sink on Debt Ceiling Impasse
While the major benchmarks finished in the red, retail stocks Abercrombie & Fitch and Kohl's popped after earnings.
By Karee Venema • Published