• Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms & Conditions
Sunday, February 5, 2023
Flyy News
No Result
View All Result
  • Home
  • World
  • Business
  • Entertainment
  • Health
  • Food
  • Politics
  • Tech
  • Science
  • Travel
  • Fashion
  • Lifestyle
  • Home
  • World
  • Business
  • Entertainment
  • Health
  • Food
  • Politics
  • Tech
  • Science
  • Travel
  • Fashion
  • Lifestyle
No Result
View All Result
Flyy News
No Result
View All Result
Home Business

Dow Jones Futures: After Stock Market Rally’s Ugly Outside Week, Here’s What To Do

flyynews by flyynews
December 19, 2022
in Business
0
Dow Jones Futures: After Stock Market Rally’s Ugly Outside Week, Here’s What To Do
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter


Dow Jones futures edged higher Sunday night, along with S&P 500 futures and Nasdaq futures. Tesla and CEO Elon Musk remained in the news over the weekend.




X



The stock market rally suffered heavy damage last week in the wake of a hawkish Fed outlook and weak economic data that raised concerns that the Federal Reserve will drive the economy into a recession. The Nasdaq and S&P 500 index closed the week below their 50-day moving averages.

Megacap stocks remain a drag on the major indexes, especially Apple (AAPL) and Tesla (TSLA), with TSLA stock plunging to fresh bear market lows. Amazon.com (AMZN) and Google parent Alphabet (GOOGL) aren’t too far away from their lows. Microsoft didn’t lose too much for the week but fell back from the 200-day line. Nvidia (NVDA), which had been part of a chip rebound, reversed lower, back below key support.

But the megacaps aren’t hiding underlying strength. Most stocks that had flashed buy signals in recent days and weeks turned south. Leading sectors also suffered.

Insulet (PODD), Commercial Metals (CMC), Elf Beauty (ELF), Peabody Energy (BTU) and Dow Jones giant Caterpillar (CAT) are holding up relatively well. None are actionable right now, however.

Investors should be wary of making any buys in the current market, but focused on trimming exposure and building up watchlists.

The video embedded in this article reviewed the market action in depth, while also analyzing Insulet, Elf Beauty and CAT stock.

Defense Deal

L3Harris (LHX) confirmed it will buy Aerojet Rocketdyne (AJRD) for $4.7 billion in all-cash deal, including debt. LH3 Harris will pay $58 a share per AJRD share. Lockheed Martin (LMT) scrapped a $4.4 billion deal for Aerojet in February amid regulatory opposition.

Dow Jones Futures Today

Dow Jones futures were just above fair value. S&P 500 futures advanced 0.1% and Nasdaq 100 futures climbed 0.2%.

The 10-year Treasury yield rose 3 basis points to 3.51%.

Crude oil futures climbed 1%.

Remember that overnight action in Dow futures and elsewhere doesn’t necessarily translate into actual trading in the next regular stock market session.


Join IBD experts as they analyze actionable stocks in the stock market rally on IBD Live


Stock Market Rally

The stock market rally soared Tuesday morning, but then sold off hard, ending the week with sharp losses.

The Dow Jones Industrial Average fell 1.7% in last week’s stock market trading. The S&P 500 index shed 2.1%. The Nasdaq composite slumped 2.7%. The small-cap Russell 2000 gave up 2.4%.

The 10-year Treasury yield fell 9 basis points to 3.48%. Despite the hawkish Fed talk, markets expect a quarter-point hike in February and in March, but with a growing chance that there will no move in March.

U.S. crude oil futures rose nearly 5% to $74.29 a barrel last week.


Dow Giant Leads 5 Resilient Stocks


ETFs

Among growth ETFs, the iShares Expanded Tech-Software Sector ETF (IGV) erased big early gains to finish the week off 0.5%, with MSFT stock a major holding. The VanEck Vectors Semiconductor ETF (SMH) staged its own outside, downside reversal week, losing 2.9%. Nvidia stock is a top SMH component.

Reflecting more-speculative story stocks, ARK Innovation ETF (ARKK) skidded 4% last week, just above a five-year low. ARK Genomics ETF (ARKG) dipped 0.4%. Tesla stock remains a major holding across Ark Invest’s ETFs.

SPDR S&P Metals & Mining ETF (XME) sank 2.6% last week. The Global X U.S. Infrastructure Development ETF (PAVE) lost 2.6%. U.S. Global Jets ETF (JETS) descended 3.6%. SPDR S&P Homebuilders ETF (XHB) edged up 0.4%, but closed near weekly lows. The Energy Select SPDR ETF (XLE) rebounded 2% and the Financial Select SPDR ETF (XLF) gave up 2.5%. The Health Care Select Sector SPDR Fund (XLV) shed 1.8% after nearing record highs on Tuesday.


Five Best Chinese Stocks To Watch Now


Megacap Stocks: From Mediocre To Meltdown

Dow Jones tech titan Apple stock sold off 5.4% for the week, to 134.51. AAPL undercut October-November lows, with the June bear market low of 129.04 up next. Fellow Dow component Microsoft dipped 0.3% to 244.69, but after retreating from 263.92 Tuesday morning as it ran into the 200-day line. Amazon stock fell just 1.4% to 87.66, but tumbled from weekly highs of 96.25 to close near the Nov. 9 bear market low of 85.87. Google stock slumped 2.8%, reversing lower from Tuesday’s highs. Nvidia moved above its 50-day line early in the week, but ended up down 2.5%.

Tesla stock was the big loser, plunging 16.1% to 150.23, the lowest since November 2020. It was the worst weekly decline since the Covid crash in March 2020. China demand concerns, Elon Musk’s latest TSLA stock sales and Musk’s Twitter focus are all weighing on shares.

Tesla will build a new auto plant in northeastern Mexico, Bloomberg reported Friday night, with an announcement likely in the coming days. It’s unclear what vehicles the factory may produce. A Mexico plant would offer relatively lower costs vs. Tesla’s Fremont, Austin and Berlin factories, while still close to the U.S.

On Sunday evening, Tesla CEO Elon Musk began a Twitter poll asking if he should step down as Twitter CEO, something many high-profile TSLA bulls have urged. Musk said he would abide by the results.

Tesla and other EV makers in China could benefit from newly announced year-end special incentives in Shanghai and Shenzhen. That will further pull forward demand from 2023, as China’s EV subsidies end Dec. 31.


Tesla Vs. BYD: Which EV Giant Is The Better Buy?


Market Rally Analysis

In a few days, the stock market rally abruptly shifted from moving above a trading range to tumbling below. The weekly percentage losses on the major indexes were large, but the damage was far worse.

Soon after Tuesday’s open, the major indexes all hit rally highs on a tame inflation report, with the S&P 500 back above its 200-day line and the Dow Jones at its best levels in nearly eight months. But the indexes slashed gains, with the S&P 500 closing below the 200-day. On Wednesday, the key indexes reversed lower as the Federal Reserve and Fed chief Jerome Powell signaled several more rate hikes ahead.

On Thursday, the selling intensified amid weak economic data that fanned recession fears. The Nasdaq and Russell 2000 fell below their 50-day lines, while the S&P 500 and Dow Jones broke below their 21-day lines. All sank to their worst levels in over a month, undercutting weeks of sideways trading.

On Friday, the S&P 500 tumbled below its 50-day line. The Dow is nearly there.

It was a big, negative outside week for all the major indexes, with the highs and lows surpassing the range over the prior four weeks.

Leading stocks have been pummeled, with few exceptions. Industrials, solar, medicals, travel and various chip and networking names are all coming under modest-to-intense pressure.

Megacap stocks remain clear laggards overall. Tesla stock continues to plunge to fresh two-year lows. Amazon stock is just above bear-market lows while Google is moving in that direction. AAPL stock tumbled to the lowest level in nearly six months, with bear lows in sight.

Microsoft stock and Nvidia may not be laggards, but they aren’t leading either. Both are below their 200-day lines.

Perhaps this uptrend is a bear market rally that’s run its course, with the indexes headed back toward their October lows. Perhaps the S&P 500 will rebound quickly or be rangebound for an extended period.

The only thing that’s clear is that the market is not acting well right now.


Time The Market With IBD’s ETF Market Strategy


What To Do Now

Investors should be reducing exposure due to the deteriorating overall market and the performance of most individual stocks.

While under pressure, it’s still a market rally. A few good days could shore up confidence in the uptrend and bring more stocks back to buy areas. Of course, even in that scenario, investors should be wary of new buys, given the rally’s pattern of pulling back and erasing solid gains.

So stay engaged. Keep working on watchlists. Focus on stocks that are holding key moving averages and support levels and generally showing strong relative strength, such as Caterpillar, Insulet and ELF stock.

Read The Big Picture every day to stay in sync with the market direction and leading stocks and sectors.

Please follow Ed Carson on Twitter at @IBD_ECarson for stock market updates and more.

YOU MIGHT ALSO LIKE:

Why This IBD Tool Simplifies The Search For Top Stocks

Catch The Next Big Winning Stock With MarketSmith

Want To Get Quick Profits And Avoid Big Losses? Try SwingTrader

Best Growth Stocks To Buy And Watch

IBD Digital: Unlock IBD’s Premium Stock Lists, Tools And Analysis Today





Source_link

READ ALSO

Chaotic cash shortage forces Nigerians to wait hours for $43

Your Sunday Asia Briefing: Of Russian Oil And Chinese Balloons

Related Posts

Business

Chaotic cash shortage forces Nigerians to wait hours for $43

February 5, 2023
Your Sunday Asia Briefing: Of Russian Oil And Chinese Balloons
Business

Your Sunday Asia Briefing: Of Russian Oil And Chinese Balloons

February 5, 2023
J.P. Morgan: Judicial reform could hit Israel’s credit rating
Business

J.P. Morgan: Judicial reform could hit Israel’s credit rating

February 5, 2023
Centre approves appointment of 5 new judges to Supreme Court
Business

Centre approves appointment of 5 new judges to Supreme Court

February 4, 2023
Stock Market Rally Signals It’s No Bear Run; Tesla CEO Elon Musk Not Liable For ‘Funding Secured’ Tweets
Business

Stock Market Rally Signals It’s No Bear Run; Tesla CEO Elon Musk Not Liable For ‘Funding Secured’ Tweets

February 4, 2023
mahindra lifespace: Real Estate sector looks attractive! Mahindra Lifespace & Brigade Enterprises top bets
Business

mahindra lifespace: Real Estate sector looks attractive! Mahindra Lifespace & Brigade Enterprises top bets

February 4, 2023
Next Post
Mexican Hot Chocolate Cookies (Gluten Free)

Mexican Hot Chocolate Cookies (Gluten Free)

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

POPULAR NEWS

Angel -Dave Curl – Official Music Video 2022

Angel -Dave Curl – Official Music Video 2022

November 17, 2022
Proud By Cytonic Rhymes – Official Music 2022

Proud By Cytonic Rhymes – Official Music 2022

November 25, 2022
Sweet Bennie Ray – Whole Lot (Official Music Video)

Sweet Bennie Ray – Whole Lot (Official Music Video)

December 22, 2022
SUPER VITAMIN C COLLECTION | STRIVECTIN

SUPER VITAMIN C COLLECTION | STRIVECTIN

December 16, 2022
Rain And Lily Pond Sounds | 10 Hours | Sleep, Relaxation | Dark Screen

Rain And Lily Pond Sounds | 10 Hours | Sleep, Relaxation | Dark Screen

November 14, 2022

About Us

Welcome to Flyy News The goal of Flyy News is to give you the absolute best news sources for any topic! Our topics are carefully curated and constantly updated as we know the web moves fast so we try to as well.

Follow us

Categories

  • Business
  • Entertainment
  • Fashion
  • Food
  • Gaming
  • Health
  • Lifestyle
  • Politics
  • Reviews
  • Science
  • Tech
  • Travel
  • World

Site Links

  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms & Conditions

Recent News

  • Experts Fear Bird Flu Outbreak Could Turn Into New Pandemic
  • Chaotic cash shortage forces Nigerians to wait hours for $43
  • How to Treat a Cold or Flu With COVID-19
  • TikTok food trends spike demand and stress on workers and supplies

Copyright © 2022 Flyynews.com | All Rights Reserved.

No Result
View All Result
  • Home
  • World
  • Business
  • Entertainment
  • Health
  • Food
  • Politics
  • Tech
  • Science
  • Travel
  • Fashion
  • Lifestyle

Copyright © 2022 Flyynews.com | All Rights Reserved.

What Are Cookies
We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept All”, you consent to the use of ALL the cookies. However, you may visit "Cookie Settings" to provide a controlled consent.
Cookie SettingsAccept All
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
cookielawinfo-checkbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytics
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
Others
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
SAVE & ACCEPT