Stock market losses grew midday Wednesday in a session that, so far at least, has seen several directional changes. Earnings reports and a spate of EV-industry news highlighted the first half.
The Nasdaq composite was down 0.3% and is barely holding above the 200-day moving average. Earlier in the day, the index dipped below the line.
The S&P 500 lost 0.2% and also has little room above its 200-day average.
The Dow Jones Industrial Average outperformed with a 0.2% increase. The index is testing December lows. The Russell 2000 reversed 0.3% lower.
Volume rose on the NYSE and Nasdaq compared with the same time on Tuesday.
The Innovator IBD 50 ETF was down only 0.1%. Shift4 Payments rallied 7%, adding to Tuesday's 13% rise after a well-received earnings report.
LPL Financial is trying to break out of a cup-with-handle base. But the 1.3% price gain and sluggish volume mean the stock has to try harder.
A good-looking breakout for Myers Industries has already collapsed. The packaging company's Q4 sales sharply missed estimates, according to FactSet. Myers' tumble triggered a 7% sell signal from the 25.21 buy point of Monday's breakout.
Stock Market Gets More Earnings Reports
A handful of earnings reports drew the most attention in Wednesday's stock market.
Axon, another IBD 50 stock, blew past its buy zone with a 7% increase in heavy volume. The maker of Taser stun guns, body cameras and cloud software for law enforcement smashed Q4 earnings estimates and gave upbeat guidance.
Earnings reports from the retail sector were mixed.
U.S. Stock Market Today Overview |
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|---|---|---|---|---|
| Index | Symbol | Price | Gain/Loss | % Change |
| Dow Jones | (0DJIA) | 32622.83 | -33.87 | -0.10 |
| S&P 500 | (0S&P5) | 3949.76 | -20.39 | -0.51 |
| Nasdaq | (0NDQC ) | 11421.58 | -33.96 | -0.30 |
| Russell 2000 | 188.57 | +0.39 | +0.21 | |
| IBD 50 | 23.22 | +0.03 | +0.13 | |
Last Update: 11:58 AM ET 3/1/2023 |
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Lowe's deepened its loss to more than 6% in big volume. The stock got turned back at the 50-day moving average and is now falling below the 200-day line at midday.
The home improvement chain's earnings grew 28% in the January-ended quarter to $2.28 per share, above views. But $22.445 billion in sales missed the consensus estimate of $22.7 billion. Comparable sales fell 1.5% for the quarter and U.S. comps fell 0.7%. Both were below estimates.
Kohl's reversed nearly 3.5% higher. The department store opened lower after reporting a fiscal Q4 loss and weak guidance. But shares turned around after new CEO Tom Kingsbury, in the earnings conference call, detailed plans to revive the struggling retailer.
Dollar Tree reduced opening gains to about 1%, reclaiming its 50-day line. But shares met resistance at the 200-day average. Dollar Tree's earnings topped expectations, but its forecast was soft.
Tesla, Rivian Highlight Big Day For EV Stocks
It's a busy day for EV stocks, with all eyes on Tesla's investor day at the Texas gigafactory. Rumors are flying that CEO Elon Musk will discuss the long-delayed Cybertruck pickup and in-house battery cell plans. Tesla shares fell nearly 3% and held in a three-week range.
Rivian Automotive sold off nearly 18%, booking five times average volume. The Q4 loss was smaller than expected but sales missed the consensus target. And Rivian's production forecast disappointed investors.
Li Auto pared gains to 1%. But XPeng reversed modestly lower and Nio fell nearly 5%. The slump came even though the Chinese EV maker reported February sales that delivered a hoped-for rebound.
Health Care Movers In Stock Market
Sarepta Therapeutics gapped above a flat base, soaring past a 134.18 buy point. The biotech reported a pair of bullish news items. It beat fourth-quarter expectations while the FDA granted priority review for a potential treatment for muscular dystrophy.
Eli Lilly is slashing insulin prices by 70%. LLY shares rose 1.4% and remained below the 200-day line.
In economic data, the S&P Global U.S. manufacturing purchasing managers' index was 47.3 in February, up slightly from 46.9 in January, but down from the initial "flash" estimate of 47.8.
"The latest data indicated a solid deterioration in the health of the goods-producing sector, despite the pace of decline softening to the slowest for three months," S&P Global noted.
Later in the morning, the ISM Manufacturing Index came in at 47.7 in February from 47.4 the prior month. Economists has forecast a 48.0 reading.
