Dow Jones Rebounds, Tesla Continues to Drop
Market Rebounds after Recent Decline
Dow Jones futures led an early market rebound Tuesday morning, as investors hoped to reverse a downward trend that has besieged stocks in recent days. But the rebound di▯action. It sits well below its 50-day moving average.”
Latest Market Trends
Early Tuesday, 10-year Treasury yield ticked higher to 4.65%. Further, oil prices dipped, as West Texas Intermediate futures traded around $84.90 a barrel.
Tesla Shares Sink Amidst Layoffs
Tesla stock sold off another 2.3% Tuesday morning, threatening to extend Monday’s losses. Tesla confirmed that it will cut more than 10% of its global workforce, according to an Elon Musk email to staff. The move cuts more than 14,000 jobs, and comes as the electric-vehicle maker faces slowing demand and overcapacity at its plants. Tesla shares nearly hit new multi-month lows Monday and shares are more than 45% off their 52-week high.
Stock Market Today: Powell, Earnings
In economic news, Federal Reserve Chairman Jerome Powell will participate in a moderated discussion Tuesday afternoon with Tiff Macklem, Governor of the Bank of Canada. The talk will be held at the Washington, D.C. Forum on the Canadian economy and is scheduled to start at 1:15 p.m. ET.
Meanwhile, key earnings movers Tuesday included Bank of America (BAC), Johnson & Johnson (JNJ), Morgan Stanley (MS), and UnitedHealth (UNH). Bank of America shares gained 2% in premarket trades, while J&J stock dropped 0.9%. Morgan Stanley stock rallied nearly 4%. And UnitedHealth shares surged nearly 8% in early trading.
Best Stocks To Watch On Stock Market Today
Broadcom (AVGO), DraftKings (DKNG), and ServiceNow (NOW) — plus Dow Jones components American Express (AXP) and Verizon Communications (VZ) — are among the best companies to watch on the stock market today. ServiceNow is featured in this Stocks Near A Buy Zone column.
Stock Market Today: Broadcom Eyes Buy Point
Artificial intelligence player Broadcom continues to build a short consolidation with a 1,438.17 buy point. Broadcom stock rose 0.7% Tuesday.
DraftKings moved back below its 46.52 buy point in a short consolidation following recent losses. And the sports-betting giant was up 0.6% Tuesday morning.
ServiceNow decisively gave up its 50-day line during Monday’s 4.3% decline. Shares continue to build a flat base with a 815.32 entry. The stock gained 0.2% early Tuesday.
Stock Market Today: Magnificent Seven Stocks
Among Magnificent Seven stocks, Nvidia (NVDA) rose 0.5% in Tuesday’s early trading. Nvidia stock is trying to find support around its 50-day line, as it builds a flat base with a 974 buy point. The AI giant is an IBD Leaderboard stock.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks in the Magnificent Seven, Apple (AAPL) and Microsoft (MSFT) traded mixed ahead of Tuesday’s stock market open. Apple stock moved down 2.2% Monday, ending a two-day rally and seeing stout resistance at the 50-day line. Microsoft shares skidded 1.9% Monday, giving up its 50-day line for the first time since a Jan. 11 breakout past a 384.30 buy point.
