Dow Jones futures were lower, with the overall market lower Thursday following two straight days of sharp stock market sell-offs. Investors eyed the early release of weekly jobless claims data, after hawkish Fed minutes sparked heavy losses on Wednesday. The 10-year Treasury yield rallied again, on pace to extend a win streak to five sessions.
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Among the Dow Jones leaders, Apple (AAPL) inched higher, and Microsoft (MSFT) traded essentially unchanged in today’s stock market.
PC maker HP (HPQ) jumped more than 12% Thursday morning after Warren Buffett’s Berkshire Hathaway disclosed an 11% stake. Electric vehicle giant Tesla (TSLA) rallied nearly 2% early Thursday, on pace to rebound from Wednesday’s sharp losses, ahead of the company’s Cyber Rodeo event.
As the stock market’s uptrend falters, Dow Jones financial leader American Express (AXP) — along with Alphabet (GOOGL), Broadcom (AVGO), IBD Leaderboard watchlist stock SolarEdge Technologies (SEDG), Regeneron Pharmaceuticals (REGN) and Shell (SHEL) — are among Thursday’s top stocks to buy and watch.
Arista, Microsoft and Tesla are IBD Leaderboard stocks. Darling Ingredients and Tesla stock were featured in this week’s Stocks Near A Buy Zone column.
Dow Jones Today: Treasury Yields, Oil Prices
Before Thursday’s open, Dow Jones futures lost 0.3% vs. fair value, and S&P 500 futures moved down 0.2%. Nasdaq 100 futures declined 0.2% vs. fair value in early morning trade.
Among exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ) fell 0.2%, and the SPDR S&P 500 ETF (SPY) was down 0.2% ahead of Thursday’s open.
On Wednesday, the 10-year U.S. Treasury yield extended this week’s gains to 2.60%, hitting a new 52-week high. The 10-year yield continued higher Thursday morning, rising to 2.62%, its highest level since March 2019.
Meanwhile, U.S. oil prices rebounded more than 2% Thursday morning with West Texas Intermediate crude moving back above $98 a barrel. WTI had toppled almost 6% on Wednesday, settling just above $96.
First-time unemployment claims dropped to 166,000 vs. 202,000 in the prior week, below consensus forecasts that called for jobless claims to hold steady at 202,000.
Stock Market Rally
On Wednesday, stock market posted a disappointing performance, as the Nasdaq composite sold off another 2.2%.
The Big Picture column commented, “The Nasdaq composite fared worst as tech stocks and high price-earnings ratio stocks in general took a beating. The Nasdaq ended the day down 2.2%. However, the fact it found support at its 50-day moving average is a positive.”
If you’re new to IBD, consider taking a look at its stock trading system and CAN SLIM basics. Recognizing chart patterns is one key to the investment guidelines. IBD offers a broad range of growth stock lists, such as Leaderboard and SwingTrader.
Investors also can create watchlists, find companies nearing a buy point, or develop custom screens at IBD MarketSmith.
Four Dow Jones Stocks To Watch Now
Dow Jones Stocks To Buy And Watch: American Express
Dow Jones financial stock American Express is tracing a cup with handle with a 194.45 buy point. Shares declined 0.9% Tuesday, closing just below the 50-day moving average line. AXP shares edged up 0.3% Thursday morning.
Keep an eye on the stock’s relative strength line. Amid its recent ascent, the RS line is nearing its old highs, but does have some work cut out for it ahead of a potential breakout. The RS line measures a stock’s price performance vs. the S&P 500. The RS line should hit a new high on the breakout day or shortly thereafter to confirm the strength of stock’s breakout.
Four Top Growth Stocks To Buy And Watch In The Current Stock Market Rally
Stocks To Buy And Watch: Alphabet, Broadcom, Darling, Regeneron, Shell
Tuesday’s IBD 50 Stocks To Watch pick, Alphabet, shows a 2,875.97 buy point in a cup with handle, according to IBD MarketSmith chart analysis. GOOGL shares are about 5% away from the entry after Wednesday’s 2.9% slide. The FANG stock rose 0.4% Thursday morning.
Broadcom slid 2% Tuesday, as the chip stock gave up an early entry at 614.74. Shares have put in another buy point, a handle entry at 645.41. AVGO shares gained 0.3% Thursday morning.
IBD Leaderboard watchlist stock SolarEdge Technologies finished Wednesday about 5% below a 340.10 cup-with-handle buy point. Shares jumped 1.2% Thursday morning.
Biotech leader Regeneron Pharmaceuticals ended out of buy range above a 673.96 flat-base entry after Wednesday’s 2.4% advance. The 5% buy zone topped out at 707.66. The stock was flat Thursday.
Oil-and-gas producer and Friday’s IBD Stock Of The Day, Shell, is within striking distance of a flat base’s 56.23 buy point after Wednesday’s 0.7% rise. The company warned of up to a $5 billion hit from its decision to cut ties with Russia. Shares inched higher Thursday morning.
Join IBD experts as they analyze leading stocks in the current stock market rally on IBD Live
Tesla Stock
Tesla stock advanced 1.2% early Thursday, looking to rebound from Wednesday’s 4.2% decline. Shares of the EV giant are falling further away from a cup base’s 1,208.10 buy point and are now about 13% away from the latest entry after two straight days of sharp losses. Meanwhile, Tuesday’s weakness could be the start of a proper handle that would offer a more risk-optimal entry.
The company’s Cyber Rodeo event is scheduled for Thursday morning. Investors anticipate the company could deliver the first Model Y produced at its Austin, Texas factory.
The stock traded as high as 1,243.49 on Nov. 4. and ended Wednesday about 16% away from that all-time high.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks, Apple shares slid 1.85% Wednesday, falling further below a double bottom’s 176.75 buy point. AAPL stock inched higher early Thursday.
Software leader Microsoft declined 3.7% Wednesday, as shares continue to build the right side of a new base formation. Microsoft shares traded unchanged Thursday morning.
Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.
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