The Dow Jones Industrial Average and other major indexes closed nearly flat Wednesday, holding some significant chart levels in the stock market today.
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From Artificial Intelligence To Interest Rate Cuts, Here’s How Investors Can Win Big In 2024
The Dow and Nasdaq closed less than 0.1% higher, while the S&P 500 was up less than a point as indexes closed off session lows. The Dow held above its 42,000 level. The Nasdaq found support at its 21-day exponential moving average for a second-straight day.
Volume fell on the New York Stock Exchange and the Nasdaq from Tuesday, according to unconfirmed data. Decliners outnumbered advancers on the NYSE and the Nasdaq by moderate amounts.
The small-cap Russell 2000 fell a fraction as it seeks support at the 21-day line. The Innovator IBD 50 (FFTY) exchange traded fund reversed higher and closed with a 0.2% increase in the stock market today.
The yield on the benchmark 10-year Treasury note rose four basis points to 3.78%.
In the IBD MarketSurge Growth 250, Vertex (VERX) has risen past a flat base’s buy point of 40.05. The tax software provider is in a buy zone to 42.05. Volume was heavy, and the relative strength line is also at a new high. Those are bullish signs for the breakout.
Elsewhere, Harmony Biosciences (HRMY) is round-tripping back to a buy point of 35.40 after gaining 15% from that entry.
2:28 p.m. ET
China stocks continued to soar. PDD (PDD), JD.com (JD) and Baidu (BIDU) gained over 3%. Baidu and JD.com were on track for their fifth day of gains. JD.com has reached its 25% profit target from a 35.69 buy point. PDD is arguably breaking out past a double-bottom entry at 152.22.
Investors are watching what happens next in the Middle East conflict. Israel has vowed to hit back at Iran for its missile strike on Tuesday, and Israeli troops are engaging Hezbollah fighters in southern Lebanon.
1:18 p.m. ET
Crude Oil Gains Fade After OPEC+ Meeting
Crude oil pared gains but still was higher, near $70.10 a barrel, after OPEC+ maintained their production policy of increasing output starting in December.
Elsewhere, at the Wilmington Biz Conference & Expo, Federal Reserve Richmond President Tom Barkin said that rates were “out of sync” and indicated the a 50-basis-point cut in September is necessary. He added, though, the fight against inflation is not yet over.
12:10 p.m. ET
Private Payrolls Beat Views
In economic news, ADP reported that private payrolls rose to 143,000 in September, beating views of 121,500, according to Econoday. The stronger hiring did not result in “strong pay growth,” according to a Barron’s report.
Traders are betting on a 65.8% chance of a 25-basis-point cut at the next Fed meeting on Nov. 7.
Stock Market Today: Tesla Misses ‘Whisper Number’
Tesla (TSLA) sank 4% after it reported third-quarter deliveries on Wednesday. The electric-vehicle giant announced 469,796 vehicles were produced while 462,890 vehicles were delivered, a gain of 6.4%.
While Tesla’s deliveries beat estimates, it fell short of a so-called “whisper number.” Wedbush analyst Dan Ives said Tesla stock rallied ahead of its deliveries, so an exceptionally strong report was required to keep it moving higher.
The whisper number was “closer to 470,000,” reports said. The company plans to report third-quarter results on Oct. 23 after the market close, and after its robotaxi event scheduled on Oct. 10. Shares fell in a cup base with a buy point at 271.
11:07 a.m. ET
Nvidia Rebounds, Dow Jones Stock Nike Drops
Elsewhere, Nvidia (NVDA) gained over 1% and rebounded from the 50-day moving average on the stock market today. The stock is a holding on the IBD 50, and IBD Leaderboard.
Among Dow Jones components, Nike (NKE) was an earnings mover. Shares rallied ahead of its report, but dropped more than 5% on Wednesday after sales disappointed. The company also withdrew its full-year outlook.
Nike shares are approaching the 50-day moving average. Nike’s chart is also bearish with the 200-day moving average above the 50-day line. It was the worst performer on the Dow.
Among other Dow stocks, Apple (AAPL) and Salesforce (CRM) gained ground.
Futures: Nvidia CEO Sees ‘Insane’ Demand
Stock Market Today
Lamb Weston (LW) gained 2% after it reported earnings. The company reported sales declined 1% while earnings fell 55%.
Cal-Maine (CALM) reported first-quarter sales growth of 71% after four quarters of declines. Shares were down slightly but still well above a flat base’s buy point of 72.70.
And Conagra (CAG) triggered a sell signal and fell below the 50 and 200-day moving averages after its first-quarter results on the stock market today.
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