The Dow Jones Industrial Average climbed steadily throughout today's market action and closed a solid 435 points higher, good for a 1.4% increase.
The S&P 500 closed 1.8% higher. The Nasdaq led with a surge of more than 2%. The Russell 2000 rose 2.2%. Volume on the Nasdaq and NYSE was lower compared with the same time yesterday, according to preliminary data.
Stocks rose as the yield on the benchmark 10-year Treasury fell 7 basis points to 3.27%.
Though the CME FedWatch Tool showed an 78% chance of a 75 basis point rate hike at the next Fed meeting, today's market action suggests that the more-aggressive stance may be priced in. Markets are likely looking beyond September's rate increase to a less aggressive rate hike later on.
The Fed's Beige Book showed strong indications of weakening demand over the next six to 12 months. Economic activity has been unchanged since early July, though manufacturing has grown. Housing slowed while auto sales were muted. Inflationary pressure was seen in food, rent, utilities and hospitality and is expected to continue at least until the end of the year. Labor markets remained tight with modest to moderate growth.
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U.S. Stock Market Today Overview |
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|---|---|---|---|---|
| Index | Symbol | Price | Gain/Loss | % Change |
| Dow Jones | (0DJIA) | 31624.19 | +478.89 | +1.54 |
| S&P 500 | (0S&P5) | 3985.10 | +76.91 | +1.97 |
| Nasdaq | (0NDQC ) | 11813.82 | +268.91 | +2.33 |
| Russell 2000 | 182.19 | +3.88 | +2.18 | |
| IBD 50 | 27.47 | +0.11 | +0.40 | |
Last Update: 4:00 PM ET 9/7/2022 |
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Apple unveiled a number of product updates. Its new Apple iPhone 14 will come with the long anticipated satellite emergency service and a more secure eSIM card that will support multiple phones. An upgraded H2 chip in the new AirPods will provide better sound clarity. The Apple Watch Ultra will have extended battery life capability. Apple shares rose modestly, under 1%.
Stocks Moving Today
The race to meet President Biden's target of 50% electric vehicle production by 2030 has accelerated. Piedmont Lithium announced a new plant in Etowah, Tenn. with a capacity of 30,000 metric tons of lithium hydroxide. Production is targeted for 2025. Shares rose 3% and are trading above their 50-day and 200 day moving averages. EV batteries are likely to drive up to 90% of lithium demand, according to the International Energy Agency.
Piedmont Lithium joined the Russell 2000 index in July. Shares surged 4% today and are approaching a buy point of 69.60 in a cup with handle.
Shares of Netflix rose nearly 5% after an analyst upgrade to neutral from underperform. Macquarie's Tim Nollen sees increased revenue from the company from its ad-supported streaming. He increased his price target to 230 from 170. Shares are getting support along their 50-day line but remain depressed.
IBD 50 Lags Dow Jones Index
Innovator IBD 50 lagged with a 0.4% increase, as energy stocks hit the index.
Bermuda-based oil company Flex LNG gapped down and fell more than 7% below a buy point of 33.46, which triggered a sell signal. The stock, which pared losses, went ex-dividend of $1.25 a share for the second quarter today. Texas-based oil company Matador Resources also hit a sell signal but has rebounded some.
Crude oil fell nearly 6% to $81.94 a barrel, the lowest in months.
But Cross Country Healthcare is forming a cup-with-handle and approaching a buy point of 27.87.
Waste Connections rose above the 144.56 buy point of a cup-with-handle base. Volume was mediocre, and the stock is barely above the entry. But the relative strength line is at new highs.
Shares of Tesla rival Nio rose despite missing views. The company's strong EV pipeline and higher expected deliveries drove the stock up over 2% in today's action.
HealthEquity announced revenue of $206.1 million and earnings of 33 cents a share after the market close Tuesday. Shares of the health saving account administrator pared gains to 0.6% as they work on a base.
