In the final hour of the session, the major stock market indexes found a little strength, as the Dow Jones Industrial Average closed slightly higher amid choppy trading Wednesday.
The S&P 500 shed 0.5%. The Nasdaq got hit the hardest, falling 0.7%. The small-cap Russell 2000 edged up 0.1%.
NYSE and Nasdaq volume was higher than Tuesday at the same time, in preliminary numbers.
The S&P 500 found resistance at the 50-day moving average but is holding above the 200-day line. The Dow Jones remained below the 50-day line, while the Nasdaq dipped below its 200-day moving average.
The tech-heavy Nasdaq 100-tracking Invesco QQQ Trust ETF fell 0.8%.
Crude Up As Energy ETF Finds Support
Crude oil regained 0.8% to $77.69 per barrel. The Energy Select Sector SPDR ETF inched up 2%, finding support near the 200-day line.
Bitcoin futures ticked up 0.5% to $23,530.
The 10-year U.S. Treasury yield added 7 basis points to just under the 4.0% level. That's a psychological level for the benchmark yield, and one the stock market is watching closely.
Stock Market Movers: Pharmas Post Opposite Results
Duolingo gapped up 22.2% in heavy volume, after posting a beat on Q4 sales and smaller-than-expected loss, Tuesday after market close.
Shares of the online language-learning platform climbed above the 105.56 buy point of a handle in the formation. The stock made its largest one-day gain since May.
Reata Pharma skyrocketed in huge volume, as it gained Food and Drug Administration approval for its neurological disease treatment, Skyclarys. The stock tripled in price to close at 93.17.
Sarepta Therapeutics gapped up 19.2% in heavy volume after better-than-expected Q4 results and news of possible early FDA approval of its gene therapy for muscular dystrophy.
IBD 50 Stocks Have A Good Day
The Innovator IBD 50 ETF outperformed the market, up 0.4%.
IBD 50 stock Shift4 Payments popped 7.6% on top of Tuesdays 13% gain, following its Q4 earnings report on Tuesday. The company is today's selection for IBD 50 Stocks to Watch.
IBD 50 stock LPL Financial rose 1.7% and climbed back above the 250.10 buy point of a cup-with-handle base. But volume was light. Shares of the provider of services to financial advisors are in a buy zone reaching to 262.61.
But Revance Therapeutics tanked 7.1% after posting a larger-than-expected Q4 loss, despite a beat on sales numbers. The IBD 50 stock posted an annualized $3.94 loss per share, while analysts expected a $2.74 loss per share.
Stun gun maker and law enforcement services provider Axon Enterprise popped 10.4% in heavy volume, after reporting a beat on Q4 top and bottom lines. The move sent the IBD 50 stock above the 5% buy zone as it hit an all-time high.
First Solar gapped up 15.7%, after reporting better-than-expected Q4 sales and a smaller loss than forecast. It also gave positive full-year 2023 net sales guidance Tuesday after market close. Shares of the solar panel manufacturer broke out of a flat base in heavy volume, topping the 185.38 buy point. Shares closed above the 5% buy zone.
The relative strength line hit a 52-week high, according to MarketSmith.
Rivian tanked 18.3% after reporting a miss on Q4 sales and a smaller-than-expected loss for the electric-power pickup truck company.
Monster Beverage gapped down 2.5% in heavy volume in Wednesday stock market trading, after a miss on Q4 earnings per share and sales. Shares of the energy drink maker are 3% below the 50-day line, but are above the 200-day line.
Manufacturing Metrics Below Estimates
February's final manufacturing purchasing managers index (PMI) came in at 47.3 vs. the 47.8 estimate, according to Econoday. The metric measures month-to-month activity in production, new orders, stock levels, employment and prices in the private sector.
The February Institute of Supply Management (ISM) manufacturing index of 47.7 was weaker than the 48.0 consensus. A reading below 50 is a contraction level for the manufacturing sector.
The Mortgage Bankers Association (MBA) report on mortgage applications for the week ended Feb. 24 dropped 5.7%, following the 13.3% decline in the prior week. It was the third consecutive weekly drop as mortgage rates crept up to levels not seen since November.
Follow Kimberley Koenig for more stock news on Twitter @IBD_KKoenig.
