The Dow Jones Industrial Average continued strongly higher for another day Thursday while the major indexes all closed near session highs. Indexes clawed their way out of a negative market in early morning trading.
The S&P sectors were all green, while market conditions continue to improve. On Wednesday, the S&P 500 notched a follow-through day, which means the market is now in an uptrend. After a multimonth decline and multiple failed rally attempts, the market is once again indicating the strong possibility of further gains. It's now a good time to be buying stocks and increase exposure.
Among the S&P sectors, energy and materials made the best gains. Defensive sectors like consumer staples and utilities were the laggards. Energy stocks were boosted by a jump in U.S. crude futures, up over 9% to once again top $100 per barrel. Brent crude spiked well over 8% Thursday.
A day after the Federal Reserve announced the first of what's expected to be a series of interest-rate hikes, Treasury yields dipped slightly. The 10-year U.S. Treasury yield ticked down to 2.16% by early afternoon, after ending Wednesday at 2.18%, its highest point since July 2019.
The Financial Select SPDR ETF closed 1.2% higher but was dwarfed by gains of over 3.5% in the Energy Select SDPR ETF.
Dow Jones In The Stock Market Today
At the close, the Dow Jones industrials held a gain of 1.2%, and an increase of around 4.4% for the week. The Nasdaq gained 1.3% after a powerful gain of nearly 4% on Wednesday. The S&P 500 advanced 1.2% Thursday, and the Russell 2000 traded 1.6% higher.
Early data showed volume was lower on the Nasdaq and on the NYSE vs. the close on Wednesday. Despite today's lower volume, stocks have been rising in higher volume in recent sessions, a bullish sign.
After retaking its 21-day line on Wednesday, the Nasdaq came within striking distance of the 50-day line, a key area to watch as the index advances. The S&P 500 and Dow Jones industrials also neared this key line.
U.S. Stock Market Today Overview |
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|---|---|---|---|---|
| Index | Symbol | Price | Gain/Loss | % Change |
| Dow Jones | (0DJIA) | 34479.97 | +416.87 | +1.22 |
| S&P 500 | (0S&P5) | 4411.36 | +53.50 | +1.23 |
| Nasdaq | (0NDQC ) | 13614.78 | +178.23 | +1.33 |
| Russell 2000 | 205.16 | +3.22 | +1.59 | |
| IBD 50 | 38.36 | +0.83 | +2.21 | |
Last Update: 4:12 PM ET 3/17/2022 |
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Dow Jones stocks outperforming on Thursday included chemicals company Dow Inc. and credit card stock American Express, up over 5% and 3%, respectively. Shares of American Express moved higher above the recently-reclaimed 50-day line after four straight days of gains. Nike also outperformed, rallying nearly 2% ahead of next week's earnings report.
On the downside, Walmart, Verizon Communications and McDonald's lagged.
IBD 50 Stocks: Metals Makers Move On Earnings
The Innovator IBD 50 ETF rose 2.2%, outperforming the major indexes. The growth-focused index remains a great place to look for new breakouts and potential stock ideas. LSB Industries and Steel Dynamics helped boost the index with gains of over 8% each.
Metal stocks made notable moves as earnings reports on several metals makers also came in Thursday with mixed results. Steel Dynamics guided Q1 EPS of $5.55-$5.59, above Wall Street's estimates. Nucor forecast Q1 EPS of $7.20-$7.30, below expectations. Nucor shares closed down 0.1%.
Finally, Commercial Metals declined 1.1% after the company reported better-than-expected February-quarter earnings and revenue. The stock is extended after breaking out of a base with a 38.82 buy point on Feb. 28.
Stocks staging fresh breakouts Thursday included AstraZeneca, GlobalFoundries and Eli Lilly.
GlobalFoundries faded from a 73.35 buy point but held a gain of over 2% in afternoon trading, although it had already topped a handle buy point at 65.09. Eli Lilly broke out above a 284 cup-base buy point. Shares closed inside the buy zone and near intraday highs. AstraZeneca moved above a 62.74 cup-with-handle entry and also closed near the day's highs, up nearly 3%.
Follow Rachel Fox on Twitter at @IBD_RFox for more Dow Jones and stock market commentary.
