The Dow Jones Industrial Average, S&P 500 and Nasdaq composite showed modest losses near midday Friday but were still on pace for their third straight week of strong gains. Top gainers in the Dow Jones today include Caterpillar, American Express and Chevron.
Since the Nov. 1 follow-through day for the Nasdaq, the index is up around 7.9%. The S&P 500 followed through on Nov. 2 and also confirmed a new uptrend. It's up 4.4% since then.
Goldman Sachs is holding gains well after gapping above its 200-day moving average earlier in the week. But AXP stock is still below its 200-day line, which means that line could still be a wall like it was when AXP fell sharply below it on Sept. 19. American Express advanced about 1.3% and it's up 4.4% for the week.
Caterpillar climbed nearly 2% as it extends a rebound from its Nov. 1 low. Boeing was another gainer in the stock market today. The Dow Jones stock is still waging a battle near its 200-day line.
Small caps outperformed amid some volatile price action for the iShares Russell 2000 ETF in recent days. The ETF soared 5.5% on Tuesday, then gave back a big intraday gain Wednesday and then fell 1.6% Thursday. IWM was up more than 1% near midday.
Inside the IBD 50, First Citizens BancShares gained 1.4% as the stock holds in a buy zone after clearing a cup-with-handle base.
The 10-year Treasury yield edged higher to 4.45%, while West Texas intermediate crude oil futures jumped 3% to near $75 a barrel. Technicals have weakened dramatically for the U.S. Oil Fund, which plunged below its 200-day line Thursday. It's a classic example of an ETF that's under heavy distribution as investors worry about large supply and waning demand.
Outside the Dow Jones
The Nasdaq composite edged lower, but Applied Materials sold off sharply after reporting earnings. The company says it's also the target of a Department of Justice probe regarding its business dealings with Chinese chipmaker Semiconductor Manufacturing International.
Nasdaq breadth was solid, with winners beating losers by about 2-to-1.
Join IBD experts as they analyze leading stocks in the current stock market rally on IBD Live
The S&P 500 edged lower although several oil and gas stocks outperformed. Top gainers in the index included Marathon Oil, Marathon Petroleum, Valero Energy and Targa Resources.
NYSE advancers beat decliner by more than 2-to-1.
Similar to the Dow Jones industrials, the S&P 500 has been stubborn about giving back recent gains. That's giving stock market bulls more confidence that a bullish year-end rally could have more legs.
In the retail sector, buyers pushed Gap and Ross Stores sharply higher. Revenue declined for the fourth straight quarter at Gap, but the results beat expectations. Investors also looked past tepid holiday guidance.
Meanwhile, one day after an earnings sell-off despite pretty good guidance, Ross Stores rebounded more than 8%. Telsey Advisory Group raised ROST's price target to 135 from 130, while maintaining a market perform rating. Morgan Stanley lifted its price target to 137 from 131.
The stock market uptrend is still showing signs of strength after three weeks of strong gains. The majority of the Magnificent Seven stocks traded lower Friday, but losses were contained. The worst performer was Google parent Alphabet, down around 2%. Volume was heavy as GOOGL holds just above its 50-day line.
Abercrombie & Fitch soared 7% to another high ahead of next week's earnings report. Urban Outfitters, which is still in buy range after a breakout from a cup-with-handle base, also reports earnings next week.
Futures: 6 AI Stocks Near Buy Points
Growth Stocks On The Move
Inside the MarketSmith Growth 250, Li Auto gapped above Wednesday's high. The Chinese EV maker is on pace for its fourth straight weekly gain. As LI approaches its August high, watch for a handle to form on the daily and weekly charts.
Warrior Met Coal, known for its volatile price swings, rose to the top of a seven-week consolidation. The coal producer is just below a 52.99 entry.
Oil transporter Teekay Tankers looked poised to halt a four-session slide after finding support at its 21-day exponential moving average. Shares were up 3% in light volume.
Woodward sold off sharply early Friday, but the stock bounced off its 50-day line. The energy control systems company late Thursday reported a 58% rise in adjusted profit, with revenue up 21% to $777 million.
Super Micro Computer is still in a good chart setup as it sits just below the 300 level. Shares of the provider of high-performance server and storage solutions will most likely move with Nvidia when the latter reports earnings next week. NVDA stock is holding near highs after 10 up weeks in a row.
Midday laggards in the Dow Jones included Amgen, Microsoft and Nike.
Follow Ken Shreve on X/Twitter @IBD_KShreve for more stock market analysis and insight.
