Dow Jones futures fell on strong retail sales; Tesla races higher in buy rating
Dow Jones futures pared losses on Wednesday morning after much stronger-than-expected US retail sales data. Tesla (TSLA) stock rallied more than 2% after Barclays started the news with an overrated rating and 275 price target.
X
The Commerce Department’s January retail sales rose 3% on the month, higher than estimates calling for a 1.7% increase after December’s 1.1% decline. Used cars, retail sales rose 2.3% for the month versus 0.7% estimate. And Ex-autos and gas, retail sales rose 2.6% month-on-month versus an estimate of 0.6%.
Elsewhere on the economic front, the New York Fed’s Empire State Manufacturing Index came in better than expected, though still in contraction territory at -5.8 versus -18.5 projected. expected, up from January’s drop to -32.9. Finally, the February housing market index released by the National Association of Builders at 10 a.m. is expected to show homebuilder sentiment rising from 35 to 37 in February.
Airbnb (ABNB), Devonian energy (DVN) And Tripadvisor (TRIP) reports earnings after Tuesday’s close.
ABNB stock is up about 10%, while Devon stock is down more than 6%. TRIP stock is up nearly 10%.
Meanwhile, Analog Devices (ADI), biology (BIIB), Kraft Heinz (DIFFERENT), Roblox (RBLX) And Trading desk (TTD) reported on Wednesday morning.
Analog shares rallied more than 3% after strong rally beat first-quarter sales and fiscal earnings. Biogen increased by nearly 2%. Shares of Kraft lost 1.5% as Trade Desk gained 11%. Roblox spiked more than 16% shortly after its report.
Stock market today
Electric vehicle leader Tesla trades up 2.3% on Wednesday morning, while tech giant Dow Jones Apple (AAPL) And Microsoft (MSFT) is modestly lower than before stock market today open.
Dexcom (DXCM), IBD Rankings Share Snowflakes (SNOW), Inspiring the health system (INSP) And stop wings (WING) — as well as Dow Jones stock caterpillars (CAT), JPMorgan Chase (JPM) And Sales force (CRM) — among the top stocks to buy and watch, amid the recent market rally.
Snowflake is a IBD Rankings Share. Recent Inspire and Dexcom IBD shares of the day object. Sales force has been featured in this week’s Stocks Near Buy Zone column.
Dow Jones today: Oil prices, Treasury yields
Before Wednesday’s opening bell, Dow Jones futures were down 0.3% from fair value, while S&P 500 futures were down 0.35%. The tech-heavy Nasdaq 100 futures contract lost 0.35% in morning trading.
Between us exchange-traded fundsNasdaq 100 Invesco QQQ Trust tracker (National Assembly member) traded down 0.35% and the SPDR S&P 500 ETF (spy) fell 0.3% early Wednesday.
The yield on the 10-year US Treasury note rose to 3.76% on Tuesday, recovering from Monday’s decline. The 10-year yield rose to 3.78% Wednesday morning following retail sales figures.
Oil prices risk extending a three-session losing streak, falling slightly on Wednesday morning. West Texas Intermediate futures were trading below $79 a barrel ahead of the Energy Information Administration’s weekly gasoline inventory release.
Stock market recovers
On Tuesday, the Dow Jones Industrial Average lost 0.5% and the S&P 500 fell slightly. Meanwhile, the Nasdaq composite rose 0.6 percent after recovering from a sharp morning drop.
Tuesday’s The Big Picture Category commented: “The prospect of more rate hikes – and rates staying higher for longer – rattled stock markets for a while on Tuesday as Wall Street weighed the new report. But the market’s uptrend is showing strength once again as the major stock indexes drop early to losses or reverse higher and close near session highs.”
Five Dow Jones stocks to buy and watch now
Dow Jones stocks to buy and watch: Caterpillar, JPMorgan, Salesforce
Dow Jones flagship stock Caterpillar remains in buy range above a flat base entry point of 239.85, as it tries to find support around the 50-day moving average, according to a report. IBDSmith Market chart analysis. Shares fell 1.5% on Tuesday, closing right at the 50-day line. CAT stock fell 0.3% Wednesday morning.
Banking giant JPMorgan remains in a 5% buy range above a flat base buy point of 138.76 after rising for the third consecutive time on Tuesday. The 5% buy zone peaked at 145.70. JPM stock fell slightly early Wednesday. JPM shares showing a solid 95 out of a perfect 99 IBD Composite Ratingaccording to Check out IBD stock. Composite Ratings are designed to make it easy for investors to find top growth stocks.
sales force, featured in the Stocks column near this week’s buy zoneworking on a cup with a handle that has 178.94 buy points. Shares lost 0.65% on Tuesday. CRM stock fell a bit early Wednesday.
Top 4 Growth Stocks To Buy And Watch Stock market recovers
Top stocks to buy and watch: Inspire, Snowflake
Recent IBD Stocks of the Day Inspire Medical Systems closed immediately in a 5% buy zone past a 262.64 buy point of a flat base amid a 0.3% drop on Tuesday, according to a report. IBD MarketSmith . Pattern Recognition. The buy zone peaked at 275.77. INSP securities shows a modest 84 IBD Composite Rating. INSP stock fell 0.3% on Wednesday.
plot: The company sells an implantable device that treats sleep apnea through electrical stimulation of the nerves — a process called neurostimulation.
Recently IBD leaderboards added Snowflake is approaching early entry at 178.80, as the lead moves up to the right of the deep cup base having a 205.76 buy point. SNOW stock fell 0.4% Wednesday morning.
plot: The software company provides a new way for large businesses and organizations to access, organize, and analyze their data. To help customers maximize their investment in data analytics, Snowflake charges over time. Earnings are due on March 1st.
Dexcom, Wingstop Eye Latest Buy Points
Dexcom stock rose 0.3% on Tuesday, extending its winning streak to three sessions and moving further to the right of the cup base at 125.65 buy points. The stock could also form a handle over the next few weeks, so keep an eye out for a potential entry lower. The stock fell 0.7% on Wednesday.
plot: On February 9, Dexcom reported better-than-expected quarterly results. The beats come as Dexcom’s latest continuous blood glucose monitoring device, or CGM, is gaining traction in the US and Europe. These wearable devices monitor blood sugar levels in real time. The Food and Drug Administration cleared Dexcom’s new device, the G7, last year.
Wingstop is crossing a 169.04 buy point in a cup with a handle, up 4.6% on Tuesday. WING stock rose 0.5% on Wednesday.
plot: According to Dow Jones Newswires, the Dallas-based restaurant chain has more than 1,900 locations in the US and international markets. The company’s international locations include Mexico, Colombia, Panama, Singapore and the United Kingdom. The company added a net 40 stores last quarter. The earnings report will be released on February 22.
How has your online broker done in IBD’s Best Online Brokers Survey 2023?
Stocks to buy and watch as the stock market recovers
Here are the top seven stocks to buy and watch in today’s stock market, including the top two Dow Jones stocks.
Company name | Icon | Exact point of purchase | base type |
---|---|---|---|
Inspiring the health system | (INSP) | 262.64 | flat sole |
Visteon | (VC) | 152.20 | cup base |
caterpillars | (CAT) | 239.95 | flat sole |
Snowflakes | (SNOW) | 205.76 | cup base |
JP Morgan | (JPM) | 138.76 | flat sole |
stop wings | (WING) | 169.04 | cup with handle |
Source: IBD Data as of February 15, 2023
Join IBD experts as they analyze the top stocks in the current stock market rally on IBD Live
Tesla shares
Tesla shares rose 7.5% higher on Tuesday, overcoming a two-day slide. Despite the strong bounce since January 6, the stock remains below the 200-day line. Stocks closed Tuesday down about 46% from their 52-week high.
Shares look set to add to Tuesday’s gains, up 1.9% Wednesday morning after Barclays began covering the EV giant with an outsized rating and a 275 price target.
Leading Dow Jones: Apple, Microsoft
Between Dow Jones stockShares of Apple fell 04% on Tuesday, ending a two-day streak of gains. The stock is down about 15% from its 52-week high and is moving up the right side of a new base. Shares of Apple fell 0.4% on Wednesday.
Shares of Microsoft rose 0.3% on Tuesday, adding to Monday’s jump. The stock is above its 200-day moving average and is down about 14% from its 52-week high after its recent rally. MSFT stock was down 0.4% Wednesday morning.
Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.
YOU MIGHT ALSO LIKE:
Top growth stocks to buy and watch
Learn how to time the market with IBD’s ETF Market Strategy
Find the best long-term investments with IBD’s long-term leaders
MarketSmith: Research, Charts, Data and Coaching All In One Place
How to Research Growth Stocks: Why This IBD Tool Simplifies Finding Top Stocks