Netflix shed another 970,000 subscribers during the spring amid tougher competition and soaring inflation that’s squeezing household budgets, increasing the urgency behind the video streaming service’s effort to launch a cheaper option with commercial interruptions. The April-June contraction announced Tuesday as part of Netflix’s second-quarter earnings report is by far the largest quarterly subscriber loss in the company’s 25-year history. It could have been far worse, though, considering Netflix management released an April forecast calling for a a loss of 2 million subscribers during the second quarter.  The less severe loss in subscribers helped lift Netflix's battered stock by 7% in extended trading.

Wall Street rallied Tuesday to its best day in more than three weeks as more reports pour in on how much profit companies made during the spring. The S&P 500 rose 2.8% Tuesday after a powerful tide carried 99% of the stocks in the index upward. The Dow added 2.4% and the Nasdaq rose 3.1%. Small-company stocks rose even more, pushing the Russell 2000 index up 3.5%. More types of companies are reporting how much they earned during the spring, broadening out from the banks that dominated the earliest part of the reporting season. Hasbro and Halliburton rose after reporting stronger profits than analysts expected.

Stocks closed lower on Wall Street Monday after an early gain evaporated in the afternoon. The choppy trading came at the start of another busy week for profit reports from U.S. companies. The S&P 500 fell 0.8%. The Dow fell 0.7% and the Nasdaq lost 0.8%. Gains for energy producers, big retailers and other companies that rely on consumer spending were outweighed by a pullback in health care and technology stocks. Goldman Sachs rallied after reporting better profits than analysts expected. Dozens of big companies will give updates this week on how much profit they earned during the spring.