The Dow Jones Industrial Average rose despite Apple (AAPL) falling. Palantir Technologies (PLTR) gained but the Nasdaq composite lagged as Nvidia (NVDA) lost a key level. Trump Media & Technology (DJT) tumbled after another assassination attempt on the company’s namesake and major shareholder.
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The Dow outperformed, rising more than 200 points as the index gained nearly 0.6%. It closed at record high levels. The S&P 500 climbed only 0.1% but closed near session highs.
The Nasdaq composite fared worst among the major indexes but was off lows as it ended 0.5% lower. It tested its 50-day moving average after retaking the benchmark late last week.
Chips stocks were broadly lower, with the PHLX Semiconductor Index down 1.4%. Arm (ARM) lost 6% and Micron Technology (MU) skidded more than 4% and saw its 50-day line fall under the 200-day moving average, a bearish technical signal called a “death cross.” However, Intel (INTC) outperformed as it rallied 6.4% amid reports it will qualify for up to $3.5 billion in grants to make chips for the U.S. military.
Stock Market Today: Financials Shine
The Invesco S&P 500 Equal Weight (RSP) exchange traded fund fared better with a 0.7% gain, climbing to a record high.
Advancers held the edge on decliners on both the New York Stock Exchange and the Nasdaq. Volume was lower on both major exchanges, according to early data.
One other plus for the stock market today was that the S&P 500 sectors were mostly positive. Financials and energy stocks fared best. Only consumer discretionary and technology fell.
The Russell 2000 closed up 0.3%. Growth stocks also were mostly higher, with the Innovator IBD 50 ETF (FFTY) up 0.5%. The fund managed to recapture its 50-day moving average.
Yields fell ahead of this week’s Fed meeting. The 10-year Treasury note slipped 3 basis points to 3.62% while the two-year yield dipped 1 basis point to 3.56%.
The Federal Open Market Committee meet Tuesday and Wednesday, with the decision on rates being announced Wednesday. Post-meeting comments from Fed Chair Jerome Powell are also prone to move the stock market.
Donald Trump Stock Dips After Assassination Attempt
Former President Donald Trump survived a second assassination attempt on Sunday, with Secret Service agents opening fire on a gunman at his West Palm Beach, Fla., golf club. The suspect, identified as Ryan Wesley Routh, was later arrested.
It emerged Monday that phone records showed the suspect had been in the wooded area near Trump’s golf course for about 12 hours. A SKS-style rifle found at the scene was not fired. The SKS was first produced in the Soviet Union. The Wall Street Journal reported the serial number was unreadable and that investigators are trying to restore it so ownership can be traced.
In addition, the car being driven by the suspect had a license plate registered to another stolen vehicle. These details suggest the suspect had planned out the attack in advance.
Shares in Trump Media & Technology, the parent of conservative social media website Truth Social, ended Monday’s session down nearly 4%. It remains stuck below its 50-day and 200-day moving averages. The stock has lost about a quarter of its value in the past four weeks and is now down for the year.
The stock jumped 11.8% Friday after Trump said he has “absolutely no intention of selling” his shares in the company. At the moment, Trump owns almost 59% of the company’s outstanding shares. The lockup period prohibiting the former president from selling his stake is scheduled to expire by Sept. 25, according to filings.
1:48 p.m. ET
Magnificent 7: Nvidia Lags, Amazon Gives Workers Order
It was a weak start to the week for the so-called Magnificent Seven group of stocks.
Outside of Apple, Nvidia lagged most as it fell more than 2%. It has slipped back under its 50-day line amid an attempt to decisively retake the benchmark.
Amazon.com (AMZN) and Tesla (TSLA) were both getting nibbled by the bears. EV maker Tesla fell more than 1%.
Amazon was down nearly 1%, but off lows for the day. CEO Andy Jassy has ordered corporate staff to spend five days a week in the office, a shift from previous instructions that three days per week was enough. He said in a memo that this will “further strengthen our culture and teams.”
Microsoft (MSFT) were down fractionally while Google parent Alphabet (GOOGL) squeezed out a nominal gain.
Meta Platforms (META) was faring best among the much-watched group of stocks heading into the close. The social media stock rose more than 1%. Meta is a member or the IBD Leaderboard list of top stocks.
1:48 p.m. ET
Growing Oak Tests Buy Point
Even if the overall picture was disappointing, there was a heavy number of breakouts on the stock market today.
Live Oak Bancshares (LOB) briefly eclipsed a cup-with-handle entry of 46.65. This is an early-stage base for the thinly traded stock.
Overall tiptop performance has earned the stock a near-perfect IBD Composite Rating of 98. Earnings performance is key to this, with its EPS Rating also sitting at 98. Earnings are expected to continue to outperform, with 30% growth this year before accelerating to 33% in 2025.
The holding company for Live Oak Bank, the firm specializes in serving small businesses in all 50 states.
Palantir Rallies Again Amid Powerful Run
One stock that is continuing to outperform with aplomb is Palantir Technologies.
The AI stock, which is slated to join the S&P 500 on Sep. 23, powered higher yet again, rising nearly 3%.
Palntir stock has rallied more than 71% for its Aug. 5 low and is up a remarkable 113% so far in 2024. It has surged clear of its 20% profit goal from a 27.50 entry.
But the S&P 500 is not the only exclusive group which Palantir is associated with. Palantir is a member of the exclusive IBD Sector Leaders list.
The company has been boosted by its Artificial Intelligence Platform, which initially rolled out in early 2023. Palantir is aiming to harness generative AI to spur growth in the commercial market. It has already mined the AI opportunity with government customers for intelligence gathering, counterterrorism and military purposes.
12:16 p.m. ET
Stock Market Today: More Stocks Test Buy Points
It was proving to be a busy session on the breakout front. American Electric Power (AEP) is in a buy zone after clearing a flat base entry of 104.41, according to MarketSurge analysis. This is a first-stage base, a bonus. The relative strength line is just off recent highs but is turning higher.
Both earnings and stock market performance are strong for the utility play. This has netted it an excellent IBD Composite Rating of 91 out of 99.
The Columbus, Ohio, firm is one of the biggest utility firms in the U.S. It expects almost 50% of its generation will come from renewable sources like wind and solar by 2033. At the moment it accounts for about 21%.
Encompass Health (EHC) briefly moved above a cup-with-handle entry of 94.22. This is also an early stage pattern.
EHC stock has rallied an impressive 41% so far in 2024. Analysts see earnings growing 15% this year before slowing to 12% growth in 2025. The company specializes in inpatient rehabilitative health care services. It operates in 37 states and Puerto Rico.
10:39 a.m. ET
Apple Stock Falls On iPhone Worries
Apple stock fell more than 3% after analysts flagged worries that early demand for the iPhone 16 is lagging behind levels for last year’s iPhone 15.
Citi noted that “delivery times for the iPhone 16 are, on average, a week shorter” compared to demand for the iPhone 15 when it launched last year.
Demand times were longest for the Pro Max and Pro models, with consumers choosing models with larger storage capacities.
And noted Apple analyst Ming-Chi Kuo said iPhone 16 family sales were down an estimated 12.7% on the first weekend compared to those for the iPhone 15 series. However, it is still early, so there is room for iPhone demand to come in better than these initial reports.
Apple stock is forming a cup with handle with an ideal buy point of 232.92. But it has fallen back below the important 50-day moving average.
Stock Market Today: 3 Stocks Clear Entries
With the more encouraging action of late it is a good idea to keep track of stocks clearing buy points.
A number of issues made bullish moves on the stock market today, including Evergy (EVRG), KKR (KKR) and Mr. Cooper (COOP).
Evergy has moved above a flat-base buy point of 61.14, according to MarketSurge analysis. This is a first-stage base. Such early patterns are more likely to net good gains for investors.
All-around performance is strong, but not ideal, for the utility stock, which is reflected in the stock’s IBD Composite Rating of 91 out of 99.
Investment management play KKR cleared a cup-with-handle entry of 124.20. The stock has an Earnings Per Share Rating of 91 out of 99.
Strong performance is expected going forward, with analysts seeing EPS jumping 36% this year and rising a further 31% in 2025.
Big Money has been standing pat on shares lately, with its Accumulation/Distribution Rating coming in at C. Overall, 42% of shares are currently held by funds.
Mr. Cooper Flirts With Buy Point
Finally, Mr. Cooper is flirting with a cup-with-handle buy point of 302.75. The relative strength line is near highs on its weekly chart, MarketSurge analysis shows.
The mortgage stock has an IBD Composite Rating of 94. It has an EPS Rating of 94 and is among the top 8% of stocks in terms of stock market performance over the last 12 months.
Please follow Michael Larkin on X, formerly known as Twitter, at @IBD_MLarkin for more analysis of growth stocks.
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