The Dow Jones Industrial Average traded lower on Tuesday while tech stocks led the upside, holding small gains. A few stocks also scored breakouts that are worth noting in today's stock market action.
Dow Jones Higher
Stocks slid off intraday highs in afternoon trading after Fed President Charles Evans warned that the economy needs rate setting that slows economic growth. About an hour before the close, the Dow Jones was down 0.8%. The S&P 500 was down 0.3% after erasing early gains, while the Nasdaq was up 0.2%. Small caps fared better, with the Russell 2000 up 0.5%.
U.S. Stock Market Today Overview |
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|---|---|---|---|---|
| Index | Symbol | Price | Gain/Loss | % Change |
| Dow Jones | (0DJIA) | 32500.80 | -297.60 | -0.91 |
| S&P 500 | (0S&P5) | 4106.12 | -12.51 | -0.30 |
| Nasdaq | (0NDQC ) | 12393.06 | +24.08 | +0.19 |
| Russell 2000 | 187.76 | +0.58 | +0.31 | |
| IBD 50 | 28.81 | +0.32 | +1.12 | |
Last Update: 3:18 PM ET 8/2/2022 |
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Volume was running higher on the Nasdaq and on the NYSE vs. the same time on Monday.
The defensive utilities sector led the upside among the 11 S&P 500 sectors, while consumer staples and real estate led the downside. The Energy Select Sector SPDR rose 0.3% while crude oil prices gained 0.6% after falling below $94 per barrel on Monday.
As for Dow Jones components, Travelers, Salesforce.com and Walmart led the upside while Visa, Boeing and Caterpillar led the downside.
Caterpillar fell roughly 5% after reporting earnings on Aug. 2. The construction machinery manufacturer beat earnings expectations while missing revenue views slightly.
These Builders Beat Earnings Estimates
Both Atkore and TopBuild reported earnings early Tuesday that triggered sell-offs. Atkore fell over 6% despite beating analyst expectations, posting a massive 54% leap in year-over-year earnings to $6.07 per share. Revenue rose by 24% to $1.06 billion. Wall Street anticipated 31% earnings growth to $5.22 per share and $1 billion of revenue for the period.
Meanwhile, TopBuild fell more than 3% after announcing that earnings grew to $4.43 per share, rising 60.5% year-over-year. Revenue rose 52.7% to $1.27 billion during that period. The company easily surpassed analysts' expectations for earnings of $3.72 per share on $834 million of revenue.
Atkore found resistance at its 200-day line and further undercut its 50-day moving average, a concerning sign. But shares held support at their 21-day line. Meanwhile, TopBuild also found resistance at its 200-day line.
Another building firm Beacon Roofing is set to report after Tuesday's closing bell.
Outside Dow Jones: IBD 50 Energy Drink Company Soars
A handful of stocks broke out above buy points on Tuesday including Aris Water Solutions, which rose 10% and broke out above a 22.10 entry. The stock's RS line notched a new high and shares became extended above their 5% buy zone.
Additionally, chocolate products manufacturer Hershey broke out above a 231.69 flat base entry. But shares pulled back in afternoon trading and fell below the entry.
Follow Rachel Fox on Twitter at @IBD_RFox for more Dow Jones and stock market commentary.
