The Dow Jones Industrial Average came off session lows in afternoon trades Tuesday but still lagged with a 0.6% drop. Other indexes trimmed losses also.
The S&P 500 cut in half its early 0.5% loss and was down 0.2% in the stock market today, while the Nasdaq took back all of its early losses and was flat.
Volume on the NYSE and on the Nasdaq was lighter compared with the same time on Monday.
The small-cap Russell 2000 fell 1% but also pared losses.
But the Innovator IBD 50 ETF outperformed with a 0.8% increase.
CrowdStrike and GigaCloud Technology gained over 5%, giving the IBD 50 a boost. DoorDash was also a big IBD 50 mover and rose 3%. Super Micro Computer cleared a handle entry at 327.55 with a more-than 5% gain. Monday.com and Zscaler also helped the IBD 50 as both climbed nearly 4%. ZS is a holding in IBD Leaderboard.
The yield on the benchmark 10-year Treasury note rose 1 basis point to 4.01%.
Bitcoin jumped and cleared the $47,000 level but pulled back to $46,600 in the afternoon. Investors are waiting for a regulatory approval for a spot-cryptocurrency ETF. The Securities and Exchange Commission is expected to make a decision on Wednesday.
Dow Jones Stocks
Apple fell 0.7% after rising Monday on news that the Vision Pro mixed reality headset launch date is Feb. 2. Microsoft was unchanged as it forms a flat base with a buy point of 384.30.
Boeing fell further but is trying to hold the 50-day moving average. The stock plunged Monday after the Federal Aviation Administration grounded all 737 Max 9 aircraft after a piece of fuselage blew out in midair in one of those planes. Inspections revealed loose bolts in some Max 9 aircraft.
Stocks Moving Today
Juniper Networks surged over 20% on news that Hewlett Packard Enterprise is nearing a $13 billion deal to acquire the networking products and services company. According to reports, HPE is seeing sluggish demand for its server business. Juniper's cloud-based AI platform is a key target acquisition in the deal. HPE fell nearly 8%, to the 50-day line.
Shares of Netflix trimmed losses to 0.1% in the afternoon. Analysts at Citigroup downgraded the stock to neutral from buy and kept the price target at 500.
Microchip Technology erased morning losses and climbed 0.6%. The company lowered its third-quarter revenue outlook following lower shipments to customers in the quarter ended Dec. 31. The company will report its December-ended quarter's results on Feb. 1.
In retail, Urban Outfitters rose over 7% on hefty holiday sales that jumped 10% in the last two months of 2023 compared with the two final months of 2022.
Also outside the Dow Jones, Nvidia gained 2.5% as the CES consumer electronics conference gets underway. The company disclosed new GeForce graphic processors for AI-enabled laptops and PCs and stated that EVs are using its automated driving system. Tesla rival Li Auto is a key win for the chip titan. TSLA dipped over 2% and is trying to hold its 50-day line.
Cardinal Health fell after the drug wholesaler gave its fiscal 2024 outlook. The company expects earnings per share in the $6.75-$7 range and will report its fiscal second-quarter results on Feb. 1.
Indexes Pause As Nvidia Asserts Leadership; 5 Stocks In Buy Areas
Earnings Watch This Week
Among earnings movers, Neogen gapped down but managed to retake the 50-day moving average. Second-quarter revenue of $229.6 million fell slightly from the prior year while earnings of 11 cents per share declined as well. The stock was forming a cup with handle, but today's sell-off wrecks the base.
Bank earnings loom this week. Dow Jones leader JPMorgan Chase, Wells Fargo, Bank of America and Citigroup will report on Friday.
Among economic events, the consumer price index for December is due on Thursday.
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