The company blamed a tax dispute in Brazil for dragging down margins, but said the stage is set for big gains in its ad business.

Wall Street closed lower on Wednesday as a wave of mixed earnings, including Netflix's disappointing results, dampened risk sentiment as investors assessed reports that the Trump administration is considering curbs on exports to China made with U.

The streamer's third-quarter earnings fell short of Wall Street estimates after logging a one-time tax expense in Brazil. Even the "KPop Demon Hunters" were no match for the jump scares in Netflix's ( NFLX) latest earnings .

Live Updates Live Coverage Has Ended Get The Best Netflix Live Earnings Coverage Like This Every Quarter Get earnings reminders, our top analysis on Netflix, market updates, and brand-new stock recommendations delivered directly to your inbox.

The Dow touched an intraday record high while the Nasdaq slipped as investors focused on a wave of quarterly earnings while remaining vigilant about US-China trade tensions.

Netflix shares tumbled in premarket trading Wednesday after the streaming giant's third-quarter earnings came in short of Wall Street expectations. Monitor these key chart levels.

Netflix's $120 billion stock market rally this year faces a crucial test on Tuesday: proving that its costly investments into advertising and video gaming can support the growth that made the streaming pioneer a Wall Street darling.

Stocks are drifting near their record heights on Wall Street, while the price of gold falls again to trim more off its tremendous gain for the year.