European stock markets closed mixed Tuesday as investors around the world watched corporate earnings and awaited key U.S. inflation data due later in the week. The pan-European Stoxx 600 index provisionally closed a hair above the flat line, with technology stocks down 0.9% while basic materials gained 2.2%. Oil and gas giant BP reported a massive rise in full-year net profit, the highest in eight years, helped by rising commodity prices.
U.S. stocks rose Tuesday as investors digested another batch of corporate earnings and awaited key inflation data later this week. Harley-Davidson jumped more than 15% after the company reported a surprise fourth-quarter profit. Treasury bond yields hit new highs Monday and rose again Tuesday. At its peak, the yield on the 10-year government bond was 1.97% on Tuesday, the highest since November 2019.
Stocks in the Asia-Pacific region rose this morning, with Hong Kong stocks leading the region’s gains. Hong Kong’s Hang Seng Index rose about 2% as Chinese tech stocks rebounded from Tuesday’s losses. Shares of Alibaba rose 6.12%, while Tencent gained 2.09% and Netease added 5.59%. Elsewhere, Australia’s S&P/ASX 200 climbed 0.34% as bank stocks advanced.
Lyft tops revenue but falls short on ridership numbers
Lyft reported fourth-quarter results after the bell on Tuesday. The company beat estimates for adjusted earnings per share and revenue, but reported fewer active riders than in the previous quarter. Lyft reported 18.73 million active riders in the final quarter of 2021, up nearly 50% year-over-year, but falling short of StreetAccount analysts’ expectations of 20.2 million riders for the quarter. That’s down from the third quarter, when Lyft reported 18.94 million active riders, and not quite back to pre-pandemic levels. In the fourth quarter of 2019, for example, Lyft reported 22.9 million active riders. Lyft expects the omicron increase in the Covid 19 pandemic to lower its first-quarter 2022 results. The company expects first-quarter revenue to be between $800 million and $850 million.
Pfizer expects 2022 sales of $54 billion from Covid vaccine and treatment pill
Pfizer expects record sales in 2022, saying Tuesday that it will sell $32 billion of its Covid-19 vaccine and $22 billion of its Paxlovid antiviral coronavirus treatment pill this year. Fourth-quarter results, however, were mixed: Pfizer increased profits but missed on sales. The reason for Pfizer’s revenue decline was weak sales in its internal medicine and hospital divisions. Internal medicine sales fell 3% year-over-year to $2.24 billion in the fourth quarter, while hospital sales were largely flat at $1.88 billion. Pfizer’s oncology sales increased 7% year-over-year to $3.24 billion. On an unadjusted basis, Pfizer’s fourth-quarter profit rose more than fourfold to $3.39 billion, compared with $847 million in the same three months of 2020. Pfizer expects 2022 sales to reach $98 billion to $102 billion.