Dow Jones Falls 150 Points After Stock Market Sell-Off; Tesla Stock Continues To Skid


The Dow Jones Industrial Average fell 150 points Tuesday morning, as the major stock indexes threatened to add to losses from Monday’s stock market sell-off. Dow Jones financial giant JPMorgan jumped after being double upgraded ahead of the market open.




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AutoZone (AZO) and GitLab (GTLB) were key earnings reporters Tuesday morning. AZO shares declined 3% despite better-than-expected results for its fiscal first quarter, while GitLab shares soared more than 12% in morning trade.

Chipmaker Taiwan Semiconductor Manufacturing (TSM) announced the opening of a second chip plant in Arizona, upping its investment there from $12 billion to $40 billion. TSM shares lost 1% in early action.

Electric-vehicle giant Tesla (TSLA) traded down 2.8% Tuesday. Dow Jones tech leaders Apple (AAPL) and Microsoft (MSFT) were mixed after today’s stock market open. Meanwhile, JPMorgan Chase (JPM) was upgraded from underweight to overweight at Morgan Stanley, a so-called double upgrade, sparking an advance of more than 1% in morning trade.

Celsius (CELH), Chubb (CB), IBD Leaderboard stock Dexcom (DXCM) and KLA (KLAC) — as well as Dow Jones names Caterpillar (CAT) and Chevron (CVX) and Home Depot (HD) — are among the top stocks to buy and watch.

Dexcom is an IBD Leaderboard stock. Caterpillar and Home Depot were featured in this week’s Stocks Near A Buy Zone column. Celsius was a recent IBD 50 Stocks To Watch pick and a New America stock. Caterpillar was Thursday’s Stock Of The Day.


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Dow Jones Today: Oil Prices, Treasury Yields

After Tuesday’s opening bell, the Dow Jones Industrial Average fell 0.5%, while the S&P 500 lost 0.9%. The tech-heavy Nasdaq composite moved down 1.4% in morning action, with China-based JD.com (JD), Baidu (BIDU) and Trip.com (TCOM) posting the index’s biggest early gains.

Among exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ) fell 1.1%, and the SPDR S&P 500 ETF (SPY) lost 0.6%.

The 10-year Treasury yield ticked lower to 3.57% Tuesday morning, threatening to give up Monday’s gains. Meanwhile, U.S. oil prices extended Monday’s losses, falling more than 1% Tuesday. West Texas Intermediate futures traded back below $76 a barrel.


Redrawing the World Oil Map; Russia Discounts Embargoed Oil


Stock Market Rally

On Monday, the stock market posted heavy losses, as the tech-heavy Nasdaq composite dropped 1.9%. The Dow Jones Industrial Average sold off 1.4%, while the S&P 500 tumbled 1.8%.

Monday’s The Big Picture commented, “While defense is still better than offense at this point, the stock market is still in confirmed uptrend. That means it’s OK to look for stocks to buy, but keep positions small to start, while keeping your overall exposure light. IBD Leaderboard, for example, is less than 60% invested at this point.”

Now is an important time to read IBD’s The Big Picture column amid the ongoing stock market volatility.


Five Dow Jones Stocks To Buy And Watch Now


Dow Jones Stocks To Buy And Watch: Caterpillar, Home Depot, Chevron

Dow Jones member Caterpillar ended just shy of its cup base’s 238 buy point, according to IBD MarketSmith pattern recognition, in the wake of Monday’s 1.5% loss. CAT stock dropped 0.3% Tuesday. 

CAT stock boasts a solid 94 out of a perfect 99 IBD Composite Rating, per the IBD Stock Checkup.

Energy giant Chevron slipped 2.5% Monday, ending further below a 182.50 buy point in a consolidation base. CVX shares fell 0.2% Tuesday morning, as oil prices continued this week’s drop.

Home improvement retailer Home Depot ended Monday below a cup base’s 333.08 buy point. HD stock traded down 0.4% Tuesday.


4 Top Growth Stocks To Watch In The Current Stock Market Rally


Top Stocks To Buy And Watch: Celsius, Chubb, Dexcom, KLA

Energy-drink maker Celsius snapped a three-day win streak Monday, sliding 3.5%. Shares are now about 4% below a cup base’s 118.29 buy point. The stock was up 1% Tuesday.

Chubb moved further above a cup-with-handle’s 216.10 buy point Monday after the session’s 0.4% rise. The 5% buy area tops out at 226.91. The insurance giant traded flat Tuesday morning.

IBD Leaderboard stock Dexcom is approaching an alternate entry at 123.46 amid a three-day win streak. Shares are about 5% away from their latest buy point. Dexcom stock rose 1.3% early Tuesday.

Chip leader KLA finished Monday just below a 392.60 buy point, according to IBD MarketSmith chart analysis. A key technical strength is the stock’s strong RS line. It hit a new high during Monday’s stock market sell-off. KLA stock was up 0.3% Tuesday.


Join IBD experts as they analyze leading stocks in the current stock market rally on IBD Live


Tesla Stock

Tesla stock skidded 6.4% Monday, ending a three-day win streak and giving up the entirety of last week’s gains. Despite the recent gains, shares remain around 55% off their 52-week high. Meanwhile, the stock appears to be seeing some resistance around the 200 price level, which is a key area to watch.

Shares fell nearly 3% Tuesday morning.

Dow Jones Leaders: Apple, Microsoft

Among Dow Jones stocks, Apple shares declined 0.8% Monday, but are still clinging to their 50-day line. The stock is more than 20% off its 52-week high. Apple stock traded up 0.1% Tuesday.

Microsoft faltered 1.2% Monday, as shares continue to hold above the 50-day line. The software giant remains about 27% off its 52-week high. Microsoft shares rose 0.5% Tuesday morning.

Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.

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