Dow Jones futures rose modestly on Wednesday ahead of the Federal Reserve’s latest policy meeting minutes. Tesla shares edged higher after Citigroup upgraded the EV giant.
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Before the Fed Minutes are released at 2pm ET, consumer sentiment, durable goods orders, initial jobless claims, purchasing managers index and new home sales will be announced in the morning. The stock market will be closed on Thursday for the Thanksgiving holiday, followed by a shortened trading session on Friday.
Initial jobless claims, published at 8:30 a.m. ET, rose to 240,000 from 222,000 in the previous week. Meanwhile, durable goods rose 1% in October, higher than Econoday’s estimate of 0.4%.
Autodesk (ADSK), HP (HPQ) and northern (JWN) reported earnings late Tuesday, while Deere (DE) earnings are announced Wednesday morning.
Autodesk stock is down 10%, while HPQ stock is up about 2% in early trading this morning. Nordstrom shares fell 8.6%. And Deere stock was up 4% in premarket trading.
electric car giant Tesla (TSLA) was trading up nearly 3% on Wednesday morning. Dow Jones Technology Leader Apple (AAPL) and Microsoft (MSFT) is premixed stock market today open.
IBD Rankings share Network Arista (NET), KLA (KLAC), Shoals . Technology (SHLS) and Great beauty (ULTA) — as well as the name Dow Jones caterpillars (CAT) — among the top stocks to buy and watch.
The Arista Network is a IBD Rankings stock and is a recent IBD Stocks of the Day. Great beauty featured in this week’s Stocks Near Buy Zone column. Shoals are Pick of 50 IBD 50 stocks to watch on Thursday.
Dow Jones today: Oil prices, Treasury yields
Before Wednesday’s opening bell, Dow Jones futures were down, down 0.15% from fair value, while S&P 500 futures were down 0.1%. Tech-heavy Nasdaq 100 futures traded up 0.1% in morning trading.
China-related stocks soon showed strength, after news reports said the State Council had announced pending stimulus measures, including a cut in the reserve reserve ratio. binding on Chinese banks.
Between exchange-traded fundsNasdaq 100 Invesco QQQ Trust tracker (National Assembly member) rose 0.15% early Wednesday and the SPDR S&P 500 ETF (spy) increased by 0.1%.
The yield on the 10-year Treasury note edged higher to 3.77% Wednesday morning.
Oil stocks came under some pressure as oil prices bounced back from Tuesday’s rally. West Texas Intermediate futures fell more than 3%, to below $79 a barrel even after industry data showed US crude stockpiles fell more than expected last week.
Natural gas reserves receive a boost as gas prices continue to move higher. U.S. natural gas futures rose nearly 7% after Russia warned after Russia accused Ukraine of stealing gas from a pipeline and threatened to cut deliveries on the last remaining supply line. Russia to Europe.
Stock market recovers
On Tuesday, the stock market posted solid gains. The S&P 500 and Nasdaq composite index were both up 1.4%. The Dow Jones Industrial Average rose 1.2%.
Tuesday’s Big Picture commented: “While it’s good to put money in the stock market right now, keep your exposure conservative with small positions to start with. Just because the stock market is in a stalemate. A confirmed uptrend doesn’t mean you have to invest 100%.. And don’t be afraid to accept a 10% return if you have it, given the tough nature of the market.”
Now is a great time to read IBD . Big Picture Column in the context of stock market volatility.
Five Dow Jones stocks to buy and watch now
Dow Jones stocks to buy and watch: Caterpillar
Dow Jones member Caterpillar is about to regain its cup base of 238 buy points, based on IBD MarketSmith . Pattern Recognitionand 1% lower than the entry. CAT is up 0.7% on Wednesday, trading higher alongside Deere. Shares are set to regain entry when the market opens if early morning strength persists.
CAT stock boasts an impressive score of 95 out of 99 perfect IBD Composite Ratings, according to Check out IBD stock.
Top 4 growth stocks to watch in the near futurerand the stock market recovered
Top stocks to buy and watch: Arista, KLA, Shoals, Ulta
IBD Rankings Arista Networks stock has moved further above a hard base level of 132.97 buy points after rising 1.1% on Tuesday. ANET stock fell 0.4% on Wednesday.
KLA is approaching a 392.60 buy point of cup with handle amid a 2.7% gain on Tuesday. Happily, the stock’s relative strength line hit a new high last week, a sign of its outperformance against the S&P 500. KLAC stock was flat on Wednesday.
Shoals Technologies remains out of a buy range past a 28.57 buy point after a third straight drop on Tuesday. The 5% buy zone peaks at 30. Wait for an orderly pullback into the buy range before considering buying the stock. SHLS stock was flat early Wednesday.
Ulta Beauty exited a buy range on Tuesday, up nearly 2%. 5% buy zone crosses 426.99 buy point in one cup with handle runs up to 448.34. Ulta reports third-quarter results on December 1. Shares were trading unchanged on Wednesday.
Join IBD experts as they analyze the top stocks in the current stock market rally on IBD Live
Tesla shares
Tesla shares up 1.2% on Tuesday, breaking a 4-day losing streak that sent the stock hitting its lowest level since Nov. 23, 2020. Shares hit a new 52-week low on Monday at 167.54 . Tesla stock is about 57% below its 52-week high and far below its 50- and 200-day moving averages.
Shares in the EV giant traded up 2.6% Wednesday morning after Citigroup upgraded the stock from sell to neutral, raising its price target from 141.33 to 176.
Leading Dow Jones: Apple, Microsoft
Between Dow Jones stock, Apple stock rebounded 1.5% on Tuesday and is still holding above its recently reclaimed 50-day moving average. Shares are down about 20% from their 52-week high. Shares traded down 0.3% on Wednesday, when Foxconn workers clash with police. Foxconn is the largest iPhone assembly plant in China.
Microsoft rose 1.2% on Tuesday, adding to Monday’s gains. The stock continues to hold above the 50-day line. The software giant is still down more than 30% from a 52-week high. Shares of Microsoft were up 0.2% Wednesday 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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