The Dow Jones Industrial Average rebounded as other indexes struggled amid strong performance. sales force (CRM) income. tesla (TSLA) Despite CEO Elon Musk’s promotion of Cybertruck deliveries, business performance was weak.Friends of the Magnificent Seven Stocks Nvidia (NVDA), meta platform (Meta) and microsoft (MSFT) also fell.
X
Despite the mixed moves, many stocks attempted to breakout. Embraer (ERJ), Mongo DB (MDB) and cheniere energy (LNG) tested entry.
Inflation-promoting data emerges before Powell
On Thursday, there was some more positive data supporting the interest rate dovish trend. Headline inflation was flat month-on-month and rose 3% year-on-year. Economists had expected a 0.1% increase from the previous month and a 3.1% annualized rise. Core PCE, the Fed’s preferred measure of inflation, was in line with economists’ expectations. Core figures exclude volatile food and energy prices.
Additionally, the number of first-time unemployment claims rose to 218,000, compared to 211,000 the previous week. This was less than expected. However, the number of continuing applications reached 1.93 million, an increase of 86,000 from the previous week, the highest level since November 27, 2021. All of these indicators are positive for interest rate cuters, as they show that prices and the labor market are cooling.
Federal Reserve Chairman Jerome Powell is scheduled to participate in an economic debate in Atlanta on Friday. It remains to be seen whether Mr. Powell will choose to take a more dovish stance or strike a more hawkish tone as Treasury yields plummet.
Nasdaq falls, but small-cap stocks rise
The tech-heavy Nasdaq was the worst laggard, dropping 0.5%. EV stock clear (LCID) fell about 4%, making it one of the laggards.
The S&P 500 was nominally positive. phillips 66 (PSX) saw an eye-catching increase of nearly 6%. The stock broke above the cup base at a buy point of 125.19 on heavy volume.
Most S&P 500 sectors were positive. Medical and industrial products were the best performers on the stock market today. Consumer discretionary services and communications services were the slowest. Technology has also declined.
Small-cap stocks rose, with the Russell 2000 up 0.4%. However, the major stocks have clearly outperformed, with the Innovators IBD 50 ETF (FFTY) jumped more than 1%.
Dow Jones Today: Salesforce Revenues Soar
The Dow Jones Industrial Average outperformed today, thanks in large part to the performance of one superstar. It rose nearly 400 points, or just over 1%.
Salesforce soared more than 8% after reporting strong earnings and strong outlook. The stock has now risen above the 238.22 buy point and is near the top of the buy zone. According to MarketSmith analysis:.
And while many may have expected Microsoft to take the honors, Salesforce is actually the Dow Jones’ best performer year-to-date with an increase of about 85%.it is IBD Leaderboard Watchlist Member.
Several other stocks had notable gains. united health (UNH) popped more than 3%, but boeing (BA) rose nearly 3%.
chevron (CVX) was the furthest behind the Dow Jones today, falling nearly 1%. walmart (WMT) and Nike (NKE) was also late.
Elon Musk hypes Cybertruck, causing Tesla stock to fall
Tesla’s stock price was falling even though the Cybertruck event was scheduled to be held. The company’s CEO Elon Musk was certainly excited ahead of the event, promoting his products on social media.
“First Cybertruck delivery is within 2 hours!” he wrote to xformerly known as Twitter.
The event was scheduled to kick off at 3pm ET. Investors want to know more about issues such as pricing, range, and delivery growth.
Despite the excitement, Tesla shares fell more than 1%, albeit at a low point. Still a long way from the double bottom base entry at 278.98. However, although the rise in TSLA has slowed this year, it has continued to rise by more than 120% since the beginning of 2023.
The Magnificent Seven: Nvidia inventory delays
Tesla’s stock wasn’t the only one among the so-called “Magnificent Seven” to fall.
In fact, NVIDIA was the worst laggard of the group, down nearly 3%.
leaderboard stock prices It is currently below its 21-day exponential moving average. It also reversed below the buy zone from the 476.09 entry.
Google’s parent company alphabet (Google) and Metaplatform stock also lagged behind, falling more than 2% each.
Amazon.com (AMZN) fell almost 1%, but Microsoft and apple (AAPL) suffered a decline in nominal value.
Non-Dow Jones: Test entries for 3 stocks
While there may be signs of some market rotation, the current uptrend means investors should chase breakouts.
Brazilian aerospace stock Embraer rose above the buy point of the consolidation pattern at 17.14. This is the first stage pattern.
Overall performance is excellent, with an IBD overall rating of 99. In the most recent quarter profits he increased by 34%.
MongoDB briefly cleared the Cup’s weekly base entry of 439, but has now reversed and fallen below this level. On the daily chart, action remains available from the cup-with-handle entry at 412.57.
Database software stocks also receive a perfect overall rating. It’s also in the top 2% of stocks based on price performance over the past 12 months.
Cheniere Energy is in a buy zone after clearing a very long cup-based buy point at 182.35. This is the first stage base.
Both business results and stock price performance are solid. However, while EPS is expected to jump 512% this year, it is expected to decline 72% in 2024.
Follow Michael Larkin on X, formerly known as Twitter. @IBD_MLarkin For a detailed analysis of growth stocks.
You may also like:
The Fed broke the budget.Be prepared for what happens next
These are the 5 best stocks to buy and watch now
Join IBD Live every morning to get stock updates before the open
This is the ultimate Warren Buffett stock, but should you buy it?
This is the ultimate Donald Trump stock: Is DWAC a buy?