Daily Market Report – April 17, 2026

In the USA, the S&P 500 (SP:SPX) rose by 1.2 percent and the Nasdaq Composite (NASDAQ:IXIC) by 1.5 percent to new record levels; the Dow Jones Industrial Average (DJ:DJI) gained 1.8 percent. At the same time, oil prices plummeted significantly after the reopening of the Strait of Hormuz; US oil fell by 9.4 percent to $82.59 per barrel, Brent (TVC:UKOIL) by 9.1 percent to $90.38. In Europe, the STOXX Europe 600 (INDEX:STOXX600) increased by 1.6 percent, and the DAX (XETR:DAX) by 2.3 percent. Airlines and other companies with high fuel needs were particularly in demand, while oil stocks like Exxon Mobil (NYSE:XOM) and Chevron (NYSE:CVX) came under pressure. The environment for the current earnings season is thus friendly but very selective: for the S&P 500 (SP:SPX), a profit growth of around 14 percent is currently expected in the first quarter.

Among today's results, Netflix (NASDAQ:NFLX) clearly stood out. The company reported robust figures for the first quarter: revenue increased by 16.2 percent to $12.25 billion, operating income rose by 18 percent to $3.957 billion, and the operating margin reached 32.3 percent. Net income was $5.283 billion, and diluted earnings per share were $1.23; however, a significant portion of this profit jump comes from the explicitly mentioned severance payment of $2.8 billion from the collapsed Warner deal. Free cash flow amounted to $5.094 billion. For the second quarter, Netflix (NASDAQ:NFLX) projects $12.574 billion in revenue, an operating margin of 32.6 percent, and $0.78 in earnings per share; the forecast for the full year remained unchanged at $50.7 to $51.7 billion in revenue and 31.5 percent operating margin. This exact combination of a strong quarter but a more cautious outlook has disappointed the market: the stock fell by 9.7 percent. Additionally, the announced departure of Reed Hastings from the board added to the decline.

Alcoa (NYSE:AA) reported a net income of $425 million or $1.60 per share for the first quarter, as well as an adjusted profit of $373 million or $1.40 per share; the adjusted EBITDA was $595 million. At the same time, the company pointed to delayed shipments, burdens from the Middle East conflict, and weather-related disruptions in Australia. The stock plummeted by 6.8 percent. While the entire market is rising as participants expect a soon peace between the USA and Iran, individual stocks like Netflix and Alcoa are punished if they fail to exceed investors' expectations.