The Dow Jones Industrial Average rose more than 1% in the opening hour but pared back gains to close near session lows in the stock market today.
The blue chip index reacted to strong earnings from industry leaders combined with this morning's softer initial claims but ended lower by 0.3%. The S&P 500, which also rose over 1% earlier, also fell to close nearly 1% lower. The Nasdaq composite's fall after earlier gains was almost as steep as the tech heavy index closed 0.6% lower.
The small-cap Russell 2000 led declines with a 1.2% fall. Crude oil traded at $84.74 a barrel.
Volume on the NYSE was higher and trading was lower on the Nasdaq compared to the same time on Wednesday, according to preliminary data.
The yield on the 10-year Treasury note remains elevated, up another 8 basis points to 4.22%.
Initial jobless claims fell to 214,000 last week from 226,000 the week before. The data suggests that the U.S. economy was not in recession in October, according to Bill Adams, chief economist for Comerica.
Dow Jones Stock IBM Rallies On Earnings
Shares of AT&T popped more than 7% after beating views Thursday morning. Earnings of 68 cents a share and revenue of $30 billion topped estimates of 61 cents a share and $29.8 billion in revenue. The telecom bellwether also upped its earnings guidance to $2.50 a share from $2.42-$2.46 a share.
Shares of IBM were also up nearly 5% after Big Blue handily beat estimates and raised its outlook on Wednesday. Both stocks trade above their 50-day moving averages. Elsewhere, Lam Research also rose 6% after a strong quarter that topped estimates.
Steel Dynamics surged 6% after revenue of $5.6 billion rose from $5 billion last year. Shares are near an 88.72 buy point in a cup base. It's $5.03 EPS was up from $4.85 a year ago. The relative strength line for the stock is at a 52-week high. STLD is also on the growth IBD 50 list.
First Horizon is trying to break out of a long consolidation with a buy point of 24.34. Shares have been rising on strong volume for five sessions now. The stock has been quiet since it reported third-quarter earnings on Wednesday.
Blackstone fell more than 4% after earnings per share fell to $1.06 from $1.28 last year. Total revenue from its alternatives portfolio holdings in real estate, private equity and hedge funds fell to $1 billion from $6.2 billion last year.
American Express and fellow Dow Jones component Verizon are on deck with earnings on Friday.
Shares of Dow Jones leader Apple are in correction ahead of earnings next Thursday. A recent IDC report suggested a spike in Mac sales after the company forecast softer demand for its new iPhone 14.
Shares Near Buy Points
Neurocrine Biosciences is in a buy zone from a buy point of 109.36 after breaking out of a flat base earlier this month.
Elevance Health is surging within a consolidation with a buy point of 533.78. An alternative entry lies at 513.09. Its relative strength line is at a 52-week high. Dow Jones and health care leader Merck is also near a 95.82 buy point in a flat base.
Energy stocks are on the rise, with Canadian Natural Resources jumping nearly 3%. Shares rose above their 200-day moving average in today's action after jumping above their 50-day line on Wednesday.
CNQ is on the IBD 50. IBD 50 stocks CVR Energy and ConocoPhillips are also on the move. Both are up over 1%. ConocoPhillips is extended above a buy point of 115.57 despite a sell signal that triggered Sept. 23. Former Dow component Exxon Mobil is 1% below a buy point of 105.67. Its relative strength line is at a 52-week high.
