Stocks climbed into the close Friday afternoon as the Nasdaq and small caps outperformed. The IBD 50 also had a good day.
The Nasdaq climbed 1.2% and closed back above the 18,000 level. The S&P 500 rose 0.9% and the Dow Jones Industrial Average added 0.8%. It moved further above the 42,000 level.
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Small caps led as the Russell 2000 popped 1.5% after retaking its 21-day exponential moving average.
Volume fell on the New York Stock Exchange and the Nasdaq from Thursday’s totals, according to early data. Gainers beat losers by around 3-to-2 on the NYSE and by nearly 2-to-1 on the Nasdaq.
The 10-year Treasury yield added 13 basis points to 3.98% and its 23-point weekly gain was the most since October 2023, according to Dow Jones Market Data. After a strong jobs report, the CME FedWatch Tool shows a nearly 99% chance of a quarter-point cut at the November meeting.
The growth-stock focused Innovator IBD 50 ETF (FFTY) jumped 2.2%.
3:23 p.m. ET
Stock Market Today: Retail Stock Gets A Boost
Abercrombie & Fitch (ANF) bolted 8.7% higher after JPMorgan placed it on its Positive Catalyst Watch list. The apparel retailer retook its 200-day moving average and tested its 50-day line. JPMorgan maintained its overweight rating on the stock and inched up its price target to 195 from 194.
JPMorgan Chase (JPM) led the Dow Jones with a 3.3% gain on the stock market today. The stock has found a ceiling at its 50-day line. JPMorgan Chase took a 5.47% interest in Australian casino operator Star Entertainment, according to a Reuters report. The bank reports its third-quarter results next Friday before the market opens.
EVgo (EVGO) rocketed more than 14% on top of Thursday’s 60.8% jump. On Thursday, the electric vehicle charging company announced it received a conditional loan commitment of up to $1.1 billion from the Energy Department, according to Barron’s. This led to analyst upgrades to buy ratings by JPMorgan and TD Cowen. The stock remains low priced, trading around 7.23.
Collegium Pharmaceutical (COLL) rose 4.4% and broke out of a cuplike base with an official 40.95 buy point and is in the buy zone up to 43. Collegium makes drugs for severe and consistent pain and ADHD.
1:53 p.m. ET
Airline Stocks Rise As One Sinks
JetBlue Airways (JBLU) soared more than 14% in heavy volume on competitor Spirit Airlines‘ (SAVE) bad news. JetBlue shares topped the 7.30 buy point of a base resembling a double bottom. The airline stock has a resistance level around 7.55.
Spirit Airlines plunged more than 26% in huge volume on news the airline is considering filing for Chapter 11 bankruptcy protection, according to The Wall Street Journal. Shares are on pace for an all-time low, according to Dow Jones Market Data.
Other airline stocks, including United Airlines (UAL), American Airlines (AAL) and Delta Air Lines (DAL) all jumped between 2.5% and 5% or even more on the Spirit news.
Delta is one of the first companies to report third-quarter earnings next week, with its report due Thursday before the market opens.
IBD 50 stock American Superconductor (AMSC) spiked more than 10% and is back above its 50-day line. The stock is forming a base.
IPO stock Viking Holdings (VIK) jumped 3.4% in heavy volume and bumped up to the 37.25 buy point of a choppy and undefined base. This is the stock’s first proper base since it started trading on May 1 with an IPO price of 24 per share.
12:24 p.m. ET
Reddit Breaks Out
Seaborne transportation shipper Euroseas (ESEA) sank 11% in heavy trading following the news the East Coast port strike ended. Shares stopped short of their 50-day line. The drop comes after the stock reached a 52-week high Thursday.
Reddit (RDDT) surged 4.7%, breaking out of a deep cup-with-handle base with a 69.11 buy point. Shares are in a 5% buy zone up to 72.57. The social news and content sharing platform operator announced it will report its third-quarter financial results on Oct. 29. Reddit started trading March 21 at an initial public offering at 34.
Data infrastructure developer Vertiv Holdings (VRT) also broke out of a cup-with-handle and passed a 103.69 entry. Its buy zone extends to 108.88.
Powell Industries (POWL) gained another 5.7% on the stock market today. Shares have risen for 20 out of the last 21 sessions and reached the 20% profit zone of a cup-with-handle with a 198.49 buy point.
The stock’s continuous climb earned it a Power from Pivot flag on its chart. The green flag appears after a stock advances 20% from its buy point in 15 sessions. The electrical energy equipment manufacturer has gained around 177% so far this year.
10:49 a.m. ET
Economic News: Job Growth Crushes Expectations
The Labor Department reported September nonfarm payrolls increased a whopping 254,000 vs. the 132,500 estimate, and nearly 60% ahead of the revised 159,000 in August.
The private payrolls grew 223,0000, well ahead of the 125,000 projected and nearly double August’s revised 114,000.
Lastly, manufacturing jobs fell 7,000 vs. the revised 27,000 drop in August. The unemployment rate dipped to 4.1%, below the 4.2% expected.
The East Coast port dockworkers’ strike ended with International Longshoremen’s Association agreeing to a 62% wage increase over six years, according to The Wall Street Journal.
Despite the settlement, container shipping firm ZIM Integrated Shipping (ZIM) plunged another 13% in heavy volume following three days of selling. Shares broke out of a consolidation pattern with a 23.82 buy point last Friday. They hit a 52-week high Monday before the stock reversed the next day. Shares undercut their 50-day moving average on the stock market today.
Market Rally Resilient; Tesla Robotaxi Due
Stock Market Action: Tesla Tries To Recover
Magnificent Seven stock Tesla (TSLA) rose more than 3% in an attempt to break its three-day losing streak. Shares are in a cup base with a 271 buy point, but a handle was trying to form at 264.86. The stock reclaimed its 21-day line on the stock market today.
Tesla rival Rivian (RIVN) tumbled more than 6% after the electric-vehicle maker reported third-quarter production and delivery numbers that lagged the prior year’s figures. It also lowered its full-year 2024 production outlook. The stock has acted poorly with a dismal 10 IBD Relative Strength Rating and a 59% decline so far this year.
Palantir Technologies (PLTR) gained another 1% on top of Thursday’s 4.7% increase and reached a 52-week high. The IBD 50 stock is extended from its latest base and a bounce off its 10-week moving average. Shares have climbed 128% so far this year.
IBD 50 and SwingTrader name Nvidia (NVDA) was up substantially in premarket action, but trimmed those gains to a slim 0.4% during recent trades.
Other Stock Movers: Window Maker Soars After Earnings
Apogee Enterprises (APOG) popped more than 23% in heavy volume after the window manufacturer topped fiscal second-quarter adjusted earnings and sales expectations. It also raised its fiscal 2025 adjusted profit outlook. Shares jumped above the buy point of an irregular base with a 70.65 buy point. The stock reached a new high on the stock market today.
Dow Jones stock Amazon.com (AMZN) posted a 1.5% gain. The company announced it will hire 250,000 transportation and warehouse workers for the holiday season, the same as last year, according to Reuters.
Follow Kimberley Koenig for more stock market news on X/Twitter @IBD_KKoenig.
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Read More: Stock Market Today: Dow Jones, Nasdaq Bolster Gains Friday Afternoon; Palantir, Tesla