In the wake of a rough session for tech stocks, the Dow Jones Industrial Average rose Friday after another critical inflation report. An early mover on the stock market today was Tesla, which was branded with a downgrade to sell from one Wall Street firm.
After the opening bell, the Dow Jones Industrial Average rose 0.2%, while the S&P 500 climbed 0.4%. The tech-heavy Nasdaq composite advanced 0.7% in morning action.
Early Friday, the 10-year Treasury yield ticked higher to 4.2%. Oil prices climbed after recent losses, with West Texas Intermediate futures trading around $83.40 a barrel.
Among exchange traded funds, the Invesco QQQ Trust was up 0.7%, as the SPDR S&P 500 ETF rose 0.4% after the open.
Tesla stock reversed from early losses to rally 1.8% Friday morning after UBS downgraded shares to sell from neutral, but raised its price target to 197, up from 147. On Thursday, Tesla stock plunged more than 8%, snapping an 11-day win streak.
Stock Market Today: PPI Report
The Labor Department released its producer price index, a day after the department's Consumer Price Index showed inflation cooling off.
Wholesale inflation on the PPI rose 0.2% for June, with a year-over-year increase of 2.6%, both hotter than estimates. Monthly PPI was expected to rise 0.1% for June, with a year-over-year increase of 2.3%, per Econoday estimates.
Core wholesale prices, excluding food and energy, rose 0.4% on the month, with an annual increase of 3%. Core monthly prices were expected to rise 0.2%, with an annual increase of 2.3%.
Elsewhere, Citibank, JPMorgan Chase and Wells Fargo were key earnings movers.
Citigroup shares tumbled nearly 3% in morning trading, as JPMorgan stock declined 2.2%. Wells Fargo shares dived more than 7% in early action.
Adjust To Changing Market Conditions, With IBD's New Exposure Levels
Dow Jones Inches Up; Nasdaq Plunges
On Thursday, the Dow Jones Industrial Average gained 0.1%, bouncing even higher above the 50-day moving average. The S&P 500 lost 0.9%, while the tech-heavy Nasdaq composite sold off nearly 2%, its largest one-day percentage decline since April 30, per Dow Jones market data. The small-cap Russell 2000 index outperformed with a 3.6% advance, just shy of a new high.
Investor's Business Daily's Big Picture column commented, "Despite Thursday's losses, IBD is keeping its recommended stock market exposure at 80% to 100%. But with the Nasdaq still sharply extended, it makes more sense to be closer to the 80% threshold. Keep an eye out for potential sell signals and don't hesitate to lock in partial profits among your holdings."
During Thursday's IBD Live show, the IBD Live team discussed the current trading conditions and how investors should handle the stock market today.
Now is an important time to read The Big Picture column amid the ongoing stock market action. Also, be sure to read how to adjust to changing market conditions, with IBD's new exposure levels.
Learn How To Time The Stock Market With IBD's ETF Market Strategy
Stock Market Today: Best Stocks To Watch
Among the best companies to watch on the stock market today are Carvana, Meta Platforms, Monday.com and Palantir Technologies.
Also on the list are Dow Jones components Amazon, American Express, Apple, JPMorgan and Microsoft.
New names on IBD MarketSurge's "Breaking Out Today" list include Urban Outfitters. The stock is breaking out past a 45.56 handle buy point.
Check out the MarketSurge "Near Pivot" list for stocks nearing buy points in bases. To find more stock ideas, check IBD Stock Lists like IBD 50, Big Cap 20 and Stocks Near A Buy Zone.
Get Real-Time Buy And Sell Alerts On Stock Market Leaders With IBD Leaderboard
Dow Jones: American Express Nears Entry
Among Dow components, payments giant American Express is approaching a flat base's 244.41 entry, according to MarketSurge pattern recognition. Shares lost 0.6% Friday.
Outside the Dow Jones index, Carvana held above its 129 buy point in a cup base despite Thursday's modest fall. Carvana stock climbed 4% Friday morning.
Meta stock gave up its 514.01 buy point in a cup-with-handle base, as shares tumbled more than 4% Thursday. The Facebook and Instagram parent is an IBD Leaderboard stock. Meta shares lost 2.3% Friday.
Monday.com closed further below a 249 buy point in a flat base, with a 1.4% drop Thursday. Shares rose 0.3% Friday.
And Palantir Technologies held above its 27.50 entry during Thursday's 2.7% decline. Last week, the stock broke out past a 26.57 handle buy trigger. Palantir moved up 1.2% early Friday.
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Stock Market Today: Companies To Watch
These are four stocks in or near buy zones in today's stock market.
| Company Name | Symbol | Correct Buy Point | Type Of Buy Point |
|---|---|---|---|
| Carvana | 129 | Cup base | |
| Domino's | 542.75 | Flat base | |
| Meta Platforms | 514.01 | Flat base | |
| Amazon | 191.70 | Flat base |
Source: IBD Data As Of July 8, 2024
Join IBD Experts As They Analyze Leading Stocks In The Stock Market Today On IBD Live
Magnificent Seven Stocks: Nvidia
Among Magnificent Seven stocks, Nvidia rallied 1.8% on the stock market today in morning trading.
Nvidia tumbled 5.6% Thursday, nearly erasing the entirety of this week's gains. Nvidia stock is sharply above a split-adjusted alternative buy point at 97.40. The artificial intelligence leader also is an IBD Leaderboard stock.
Dow Jones Leaders: Amazon, Apple, Microsoft
Among Dow Jones components in the Magnificent Seven, Amazon, Apple and Microsoft were mixed after Friday's stock market open.
Amazon is in buy range above a 191.70 buy point in a flat base following a recent breakout move. Amazon stock inched lower Friday.
Apple stock fell 2.3% Thursday, falling from record highs. Shares are extended above a cup base's 199.62 buy point. Apple was up 1.5% early Friday.
Microsoft shares sold off 2.5% Thursday, closing further off last week's record highs. Shares are extended above a flat base's 430.82 buy point. And early Friday the stock was down 0.3%.
Be sure to follow Scott Lehtonen on X, formerly known as Twitter, at @IBD_SLehtonen for more on growth stocks, the Dow Jones Industrial Average and the stock market today.
