Finance Inquirer
No Result
View All Result
Sunday, May 22, 2022
  • Login
  • Home
  • Business
  • Technology
  • Finance
  • Stock Market
  • Submit a News Releases
Subscribe
Finance Inquirer
  • Home
  • Business
  • Technology
  • Finance
  • Stock Market
  • Submit a News Releases
No Result
View All Result
Finance Inquirer
No Result
View All Result
Home Stock Market

Dow Jones Dives As Bears Maul Stocks On These Fears; Health Stocks Hit As HCA Collapses; 3 Stocks Craft Bases

Tom Hagler by Tom Hagler
24.04.2022
in Stock Market
Dow Jones Dives As Bears Maul Stocks On These Fears; Health Stocks Hit As HCA Collapses; 3 Stocks Craft Bases
152
SHARES
1.9k
VIEWS
Share on FacebookShare on Twitter

The Dow Jones Industrial Average took a dive as fears over the economy caused stocks to swoon. Health was among the worst areas as HCA Healthcare (HCA) collapsed after earnings. Verizon Communications (VZ) saw a breakout attempt fail after it posted earnings.

X

A trio of stocks continued to form bullish bases despite the painful action. FactSet Research (FDS), Shockwave Medical (SWAV) and Eastgroup Properties (EGP) are names worth watching.

Volume fell on both the New York Stock Exchange and the Nasdaq. This is a good thing on a down day, but little help when indexes are off more than 2%.

Meanwhile, the yield on the benchmark 10-year Treasury note was virtually flat at 2.91%. Oil dipped, with West Texas Intermediate crude down 1.7% to around $102 per barrel.

Fears Hit The Stock Market

The reverberations continued to be felt Friday after Federal Reserve Chairman Jerome Powell indicated the central bank is ready to take a more assertive stance on fiscal tightening amid spiraling inflation. He all but confirmed a half-percentage-point interest rate hike is in the pipeline for May’s FOMC meeting.

Traders are increasingly worried the Fed’s more aggressive approach could lead to a recession as the all-powerful U.S. consumer becomes more wary about spending due to fears over the economy. Next week, investors will parse fresh figures from the University of Michigan on April consumer sentiment.

“Interest-rate futures are fully pricing a half-point move in the benchmark lending rate when U.S. central bankers meet May 3-4, and another half-point hike is fully priced for June,” National Securities chief market strategist Art Hogan said in a note to clients. “Investors are betting on a third half-point increase for July and Powell’s St. Louis Fed colleague James Bullard has opened a debate about doing a more aggressive 75 basis-point increase if needed.”

Nasdaq Reverses As Growth Stocks Are Crushed

The Nasdaq gave up 2.3%. Intuitive Surgical (ISRG) was faring worst here as health stocks got smashed, giving up more than 13%. It fell as cautious guidance overshadowed an earnings beat.

But the broader-based S&P 500 fared even worse, falling 2.5%. Health plays were dominating the downside while SVB Financial (SIVB) was a bright spot thanks to a strong earnings report. It earned EPS of $6.22, well clear of the consensus estimate of $5.60 according to FactSet.

U.S. Stock Market Today Overview

Index Symbol Price Gain/Loss % Change
Dow Jones (0DJIA) 33948.77 -843.99 -2.43
S&P 500 (0S&P5) 4285.70 -107.96 -2.46
Nasdaq (0NDQC ) 12867.94 -306.71 -2.33
Russell 2000 (IWM) 192.73 -5.07 -2.56
IBD 50 (FFTY) 34.29 -1.11 -3.14
Last Update: 2:58 PM ET 4/22/2022

The S&P sectors were all in negative territory. Consumer staples and utilities were faring best while health care, materials and communication services dropped the most.

The bears had small caps for lunch, with the Russell 2000 diving 2.6%.

But it was growth stocks that suffered the worst shellacking. The Innovator IBD 50 ETF (FFTY), a bellwether for growth stocks, plunged 3.1%.

Dow Jones Dives As Verizon Earnings Hobble Breakout

The Dow Jones Industrial Average was also given a beating by the bears. It fell 2.4%.

Verizon Communications reversed on earnings, underlining the danger of buying a stock ahead of results. It had broken past a 55.80 cup-with-handle buy point on Thursday, tempting investors. The relative strength line fell sharply, undoing its good work in recent sessions.

Verizon was the worst stock on the Dow Jones today, dropping nearly 6%. It was hit after net income fell 12.4% to $4.7 billion in the quarter. EPS also slipped 1% to $1.35.

It reported a loss of 36,000 monthly phone subscribers in Q1. This was better than feared.

HCA Healthcare Collapses On Guidance

HCA Healthcare led a rout among health care stocks. It was the worst performing stock on the S&P 500.

The hospital play was punished for a missing Q1 earnings views. Even worse was the fact it served up underwhelming full-year earnings and revenue guidance.

The stock, which had just broken out of a flat base with a 272.36 buy point, flashed multiple sell signals. It crashed through its 50-day and 200-day moving averages, according to MarketSmith analysis. It was down around 20%.

Universal Health Services (UHS) and DaVita (DVA) fell around 13% and 9%, respectively.

Meanwhile, Eli Lilly (LLY) was jettisoned from Leaderboard after it triggered a round-trip sell signal. It saw gains from a cup-base breakout evaporate.

These Stocks Build Bullish Bases

With stocks struggling it is a good idea to beef up one’s watchlist.

FactSet Research is a good candidate as it forms a cup-base with a 495.49 buy point. The relative strength line is gradually moving higher, a good sign amid broader wild action.

FactSet has been gaining since it posted earnings last month. The financial data and software company reported EPS of $3.27 on sales of $431.1 million, which represent year-over-year growth of 20% and 10%, respectively.

Shockwave Medical is forming the handle on a cup-with-handle base. It is shooting for a 223.25 entry in a deep base.

Shares have been pulling back over the past two weeks as the handle formed and are now testing the 50-day line. The RS line is also slipping.

Eastgroup Properties saw its relative strength line hit a new high Friday. This is an encouraging sign. The real estate investment trust operates industrial properties in states including California, Texas and Arizona.

It is forming a cup base with an ideal buy point of 229.94. Big money has been a buyer of late. And the company also offers investors a dividend yield of 2.1%, which beats the S&P 500 average.

Please follow Michael Larkin on Twitter at @IBD_MLarkin for more on growth stocks and analysis.

YOU MIGHT ALSO LIKE:

MarketSmith: Research, Charts, Data And Coaching All In One Place

These Are The 5 Best Stocks To Buy And Watch Now

This Is The Ultimate Warren Buffett Stock, But Should You Buy It?

Software Growth Stocks To Buy, Watch Or Sell

This Is The Ultimate Donald Trump Stock: Is DWAC A Buy?

The post Dow Jones Dives As Bears Maul Stocks On These Fears; Health Stocks Hit As HCA Collapses; 3 Stocks Craft Bases appeared first on Investor’s Business Daily.

  • Trending
  • Comments
  • Latest
Boeing and Pfizer are among the companies and trade groups to have donated $8 million to Republicans who voted against certifying Biden’s election victory, a report says

Boeing and Pfizer are among the companies and trade groups to have donated $8 million to Republicans who voted against certifying Biden’s election victory, a report says

04.01.2022
Twitter Suspends mRNA Inventor Dr. Robert Malone

Twitter Suspends mRNA Inventor Dr. Robert Malone

29.12.2021
Anesthesiologist Salary in the USA.

Anesthesiologist Salary in the USA

24.01.2022
3 planes are flying potatoes into Japan to help tackle the country’s shortage of fries, which has caused McDonald’s to ration servings

3 planes are flying potatoes into Japan to help tackle the country’s shortage of fries, which has caused McDonald’s to ration servings

29.12.2021
Take the best photos of your life with the new vivo Y76 5G now available

Take the best photos of your life with the new vivo Y76 5G now available

Complete your Christmas shopping with up to 75% off on devices at vivo’s Big Christmas Sale on Shopee

Complete your Christmas shopping with up to 75% off on devices at vivo’s Big Christmas Sale on Shopee

AirPods 3 vs AirPods 2 – What’s the Difference?

AirPods 3 vs AirPods 2 – What’s the Difference?

Want to be a content creator? Here are 5 valuable tips from today’s top Pinoy online celebrities

Want to be a content creator? Here are 5 valuable tips from today’s top Pinoy online celebrities

Crypto Pirates launches NFT sale that provides early access to the P2E game

Crypto Pirates launches NFT sale that provides early access to the P2E game

19.05.2022
The Dow Jones is down for the sixth week in a row. The Nasdaq has lost 25% of its highs. Which stocks to buy?

The Dow Jones is down for the sixth week in a row. The Nasdaq has lost 25% of its highs. Which stocks to buy?

19.05.2022
The Dow Jones is down for the sixth week in a row. The Nasdaq has lost 25% of its highs. Which stocks to buy?

The Dow Jones is down for the sixth week in a row. The Nasdaq has lost 25% of its highs. Which stocks to buy?

19.05.2022
Poland also wants a little bit of Ukraine. How a little? A couple or three regions.

Poland also wants a little bit of Ukraine. How a little? A couple or three regions.

19.05.2022

Recent News

Crypto Pirates launches NFT sale that provides early access to the P2E game

Crypto Pirates launches NFT sale that provides early access to the P2E game

19.05.2022
The Dow Jones is down for the sixth week in a row. The Nasdaq has lost 25% of its highs. Which stocks to buy?

The Dow Jones is down for the sixth week in a row. The Nasdaq has lost 25% of its highs. Which stocks to buy?

19.05.2022

Categories

  • Business
  • Finance
  • Stock Market
  • Technology
  • Без рубрики

Site Navigation

  • Home
  • Contact Us
  • Submit a News Releases
Finance Inquirer

We offer multimedia features, easy channel navigation, strong social media presence and numerous engagement platforms that allow the readers to experience content anytime, anywhere, always.

No Result
View All Result
  • Home
  • Business
  • Technology
  • Finance
  • Stock Market
  • Submit a News Releases

© 2021 financeinquirer.com

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In