Stocks Closed Mixed, Dow Dragged by IBM

Stocks closed mixed on Wednesday, with the Dow being dragged down by a roughly 5% loss in shares of IBM after it reported a double-digit drop in profit. The Dow Jones Industrial Average shed 118.79 points, or 0.58%, to 20,404.49. The S&P 500 fell 4.02 points, or 0.17%, to 2,338.17. The Nasdaq Composite rose 13.56 points, or 0.23%, to 5,863.03.

Oil prices suffered their largest one-day loss in six weeks as a steep drop ahead Wednesday’s settlement pushed prices to their lowest finish in 2½ weeks. May West Texas Intermediate crude lost $1.97, or 3.8%, to settle at $50.44 a barrel. Brent crude shed $1.96, or 3.6%, to $52.93 a barrel.

The U.S. economy expanded at a modest-to-moderate pace between mid-February and the end of March, but inflation pressures remained in check despite more difficulties in attracting and retaining workers, the Federal Reserve said on Wednesday.

Qualcomm reported earnings for the second fiscal quarter that beat analyst expectations on Wednesday. Net income attributable to the company fell to $749 million, or 50 cents per share, in the second quarter ended March 26, from $1.16 billion, or 78 cents per share, a year earlier. Revenue fell to $5.02 billion from $5.55 billion.

American Express Co (AXP.N) on Wednesday posted a better-than-expected first-quarter profit. mEx’s net income attributable to shareholders fell to $1.21 billion, or $1.34 per share, in quarter ended March 31 from $1.39 billion, or $1.45 per share, a year earlier.