Major stock indexes came off session lows in late trades but fell well short of positive ground at the close Wednesday. Tesla tried but failed to shed early losses on the stock market today, while chip player ASML plunged and stayed down on disappointing first-quarter sales.
Though it reclaimed some lost ground, the Dow Jones Industrial Average ended the day finished 0.1% lower. That marks the 11th session out of the last 13 that blue chips posted a deficit.
Meanwhile, after adding a distribution day on Tuesday, the S&P 500 was off an additional 0.6%. The Nasdaq lagged the other major indexes by dropping 1.2%. Both indexes posted their fourth straight trading days in the red.
Elsewhere, anecdotal evidence of current economic activity in the Federal Reserve's Beige Book showed slight fiscal expansion from late February to early April in 10 out of 12 Fed districts. That was higher than the economic expansion highlighted in eight districts by the Fed in its March 6 report.
The Beige Book is expected to be one of the data points the Fed will look at before its rate decision on May 1. The report observed that "on balance, contacts expected that inflation would hold steady at a slow pace moving forward."
Lower Volume And Fewer New Highs
Volume was lower on both the New York Stock Exchange and the Nasdaq compared with the same time on Tuesday. Breadth improved, with advancers slightly ahead of decliners on the NYSE. On the Nasdaq exchange, advancers lagged decliners.
Fewer stocks have made new highs and more stocks are hitting new lows on average, especially on the Nasdaq.
Also, small caps on the Russell 2000 gave up their early gains on the stock market today and fell 0.7%. And the Innovator IBD 50 exchange traded fund fell 1.1%.
The yield on the benchmark 10-year Treasury note plunged 7 basis points to 4.58%. Further, bitcoin held around $61,000 as its halving event draws near.
Dow Jones Stocks
Travelers triggered a sell signal by falling below its 50-day moving average after first-quarter results missed Wall Street expectations.
Apple reversed modestly lower amid news that the iPhone maker may start manufacturing in Indonesia. Other tech leaders in the Dow also fell, as Intel dropped 1.5% and Microsoft tested the 50-day line with a 0.7% loss.
Health care stocks fared better. UnitedHealth rose more than 2% as it tests potential resistance at the 50-day line. Shares are gaining after first-quarter results on Tuesday.
Stock Market Today: Trucking Stocks Suffer
Outside the Dow Jones index, trucking stocks fell broadly after J.B. Hunt Transport plunged on its first-quarter results — released late Tuesday — that missed expectations. The stock fell more than 8% to its lowest level since October 2022.
Saia skidded 2.7%, falling below its 50-day moving average and triggering a sell signal. Other trucking stocks fell, including ArcBest, which finished at the 50-day line.
United Airlines multiplied its earlier gains and soared more than 17% after the company announced first-quarter results. Losses came in lower than estimates.
Chip gear maker ASML sold off after first-quarter sales were lower than expected and its outlook for the current quarter disappointed. The company also shipped its second "High NA" lithography machine that can create chip design features at 10 nanometers. But the stock gapped below its 50-day moving average.
Chip Stocks Lead Latest Sell-Off With Key Earnings Due
Stock Market Today: Tesla Falls
Meanwhile, Tesla lost 1% as the company's board set a shareholder vote to reinstate Chief Executive Elon Musk's pay package of $56 billion. The package was set in 2018, but was voided by a Delaware court in January.
Shareholders will also vote on incorporating the electric-vehicle leader in Texas rather than Delaware. The stock pared earlier losses.
Shares of Eli Lilly trimmed gains to less than 1% after the company's weight-loss drug was found to help with sleep disorders. Lilly stock is in a flat base with a buy point of 800.78.
Children's Place soared more than 15% after the retailer landed a $90 million unsecured term loan. The stock has been in a downtrend since late 2021.
Magnificent Seven stock and artificial intelligence play Nvidia fell more than 3% to its 50-day moving average on the stock market today. Still, the stock remained within a flat base with a buy point of 974, according to IBD MarketSurge.
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