The additional revenue stemming from the price increases will help Netflix’s investment in creating original shows and films. In addition, the additional income should help finance the debt it took on in order to compete with streaming services from the likes of Amazon, Disney and Apple.
Markets Move Slightly Higher
The other major indexes, the Dow Jones Industrial Average and S&P 500, were both slightly up on Tuesday. The Dow Jones Industrial Average fell over 100 points before climbing back to gain 60 points, while the S&P 500 was up 0.66 percent.
Headwinds for the markets include the ongoing trade negotiations as well as the government shutdown that could be drawn out to a point where it affects the economy.
“We estimate (the shutdown) will reduce first quarter real GDP growth by approximately 0.5 percentage points,” Zandi wrote in a research report. “Of this, about half will be due to the lost hours of government workers, and the other half to the hit to the rest of the economy,” said Mark Zandi, chief economist at Moody’s Analytics.
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