The Dow Jones Industrial Average dropped Monday, as the ongoing stock market correction worsened. The 10-year Treasury yield spiked to new highs Monday.
Key inflation data takes the spotlight this week, with Friday's personal income and outlays report due from the Commerce Department.
Meanwhile, August housing starts hit a three-year low and the Federal Reserve readied a longer season of high rates, sending homebuilding stocks sprawling. That puts August new home sales data and pending home sales numbers — expected Wednesday and Friday, respectively — squarely on investors' radar.
Finally, Dow Jones member Nike reports fiscal first-quarter 2024 results late Thursday. Analysts expect a 19% drop in profits, and a third consecutive quarter of Nike earnings declines. Revenue growth also is seen slowing for the third quarter in a row, to a 2.6% increase.
Stock Market Today
Electric-vehicle giant Tesla traded down 0.2% Monday morning, while Nvidia rose 2.1%. Dow Jones tech icons Apple and Microsoft were mixed, after today's stock market open.
Stock market leaders Alphabet and Meta Platforms were little changed in early action.
Airbnb, IBD Leaderboard watch list stock DraftKings, Meta Platforms and Uber Technologies — as well as Dow Jones stocks Amgen and Caterpillar — are among the stocks to watch in the ongoing stock market correction.
DraftKings is an IBD Leaderboard watch list stock, while Airbnb was featured in this Stocks Near A Buy Zone column. Airbnb also was a recent IBD Stock of the Day.
Dow Jones Today: Oil Prices, Treasury Yields
After Monday's opening bell, the Dow Jones Industrial Average fell 0.2%, while the S&P 500 lost 0.1%. The tech-heavy Nasdaq composite turned up 0.1% in morning action.
Among U.S. exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust gained less than 0.1%, while the SPDR S&P 500 ETF dropped 0.1% early Monday.
Early action Monday also showed the 10-year U.S. Treasury yield rising to 4.51%, hitting a new long-term high.
Oil prices paused Monday morning, as they continue to hold near their 2023 highs. West Texas Intermediate futures traded at $90 a barrel.
Five Best Dow Jones Stocks To Buy And Watch Now
Stock Market Correction
On Friday, the Dow Jones Industrial Average dropped 0.3%, extending a losing streak to four sessions. The S&P 500 declined 0.2%, while the tech-heavy Nasdaq composite lost 0.1%.
Friday's Big Picture column commented, "With the stock market now in the grip of a correction, investors need to concentrate on reducing market exposure to the 0%-20% range while building up a robust watchlist of strong stocks that could emerge as leaders when the next uptrend kicks off."
Now is an important time to read IBD's The Big Picture column as the stock market extends its losses and hits recent lows. Be sure to read how to handle the ongoing stock market weakness and prepare for a new uptrend.
Dow Jones Stocks: Amgen, Caterpillar
Drug giant Amgen finished Friday just below a 268.24 buy point in a cup with handle, per IBD MarketSmith pattern recognition. Shares dipped Monday morning.
Dow Jones leader Caterpillar continues to form a flat base with a 293.88 buy point after strong gains since early June. CAT stock rose 0.4% Friday, closing just below the 50-day line. Shares lost 0.7% Monday morning.
4 Top Growth Stocks To Buy And Watch In The Stock Market Correction
Stocks To Watch: Airbnb, DraftKings, Meta, Uber
Recent IBD Stock Of The Day, Airbnb, continues to build a cup-with-handle base with a buy point of 151.16. But ABNB stock tumbled further below its 50-day line during Friday's 3.8% drop. Airbnb shares rose 0.4% Monday morning.
IBD Leaderboard watch list stock DraftKings is building a cup with handle that has a 32.65 buy point, per IBD MarketSmith pattern recognition. Shares are consolidating below their 50-day moving average, a key level to watch. DKNG stock was up 1.6% Monday morning.
Social media giant Meta Platforms is tracing a cup with handle that has a 312.87 buy point. META stock dipped 0.1% early Monday.
Uber Technologies continues to consolidate below its key 50-day line, dipping 0.4% Friday. UBER is forming a flat base with a 49.49 entry. Shares ticked down 0.1% Monday.
Learn How To Time The Market With IBD's ETF Market Strategy
Best Stocks In Today's Stock Market Action
These are four best stocks to buy and watch in today's stock market, including a Dow Jones leader.
| Company Name | Symbol | Correct Buy Point | Type Of Buy Point |
|---|---|---|---|
| Uber Technologies | 143.63 | Flat base | |
| Caterpillar | 293.88 | Flat base | |
| Airbnb | 154.95 | Cup base | |
| DraftKings | 32.65 | Cup with handle |
Source: IBD Data As Of Sept. 25, 2023
Join IBD experts as they analyze leading stocks in the current stock market correction on IBD Live
Tesla Stock
Tesla stock dived 4.2% Friday, closing sharply below its 50-day line. TSLA stock has an official cup-with-handle base with a buy point at 278.98, but shares are about 12% away from that entry.
On Monday morning, TSLA stock slashes losses, still threatening to extend a losing streak to four sessions.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks, Apple stock rose 0.5% Friday, still below its 50-day line after sharp losses in recent weeks. AAPL stock continues to build a flat base with a 198.23 buy point. Shares edged higher Monday morning.
Microsoft shares are moving further below their 50-day line, with a 0.8% fall Friday. And on Monday morning, the stock fell 0.1% even after Guggenheim upgraded MSFT stock from sell to neutral.
Be sure to follow Scott Lehtonen on X/Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.
