Dow Jones futures fell Tuesday, as Wall Street reacted to earnings reports from index components Home Depot (HD) and Walmart (WMT). Meanwhile, artificial intelligence leader Super Micro Computer (SMCI) struggled to maintain some gains on the stock market today after a big loss Friday.
X
Before the opening bell, Dow Jones futures fell 0.3%, while S&P 500 futures also dropped 0.3%. Tech-heavy Nasdaq 100 futures were down 0.4% vs. fair value in morning trading.
Among U.S. exchange traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ) ETF was down 0.4%, as the SPDR S&P 500 ETF (SPY) also fell 0.4%.
The 10-year Treasury yield inched down to 4.28%. Further, oil prices continue to hold near their recent highs, as West Texas Intermediate futures were flat, trading around $79.20 a barrel.
This week, investors will be focused on the latest minutes from the Federal Reserve, due Wednesday, to gain insight into the future path of interest rates. Atlanta Fed President Raphael Bostic spoke out Thursday to say he sees two rate cuts ahead in 2024, though he also said he will “adjust and adapt” if inflation falls faster than expected. Bostic is a voting member of the Federal Open Market Committee.
Stock Market Today: Home Depot, Walmart Earnings
Ahead of Tuesday’s open, Home Depot sold off 2.5% in premarket trade despite reporting better-than-expected fiscal fourth-quarter earnings.
Walmart rallied 4.5% after the discount retailer reported better-than-expected fiscal fourth-quarter earnings early Tuesday, but gave a mixed outlook. The Dow Jones retail giant also said it would buy television maker Vizio for $2.3 billion.
Also this week, artificial intelligence giant Nvidia (NVDA), along with Palo Alto Networks (PANW) and e-commerce play MercadoLibre (MELI) are set to report earnings.
Elsewhere, Super Micro rebounded 1% in premarket trading. Shares are looking to recover at least a small part of Friday’s 20% plunge.
Dow Jones Falls
On Friday, the Dow Jones Industrial Average declined 0.4%, while the S&P 500 dropped 0.5%. The tech-heavy Nasdaq composite ended the session down 0.8%.
Friday’s Big Picture column commented, “Small caps struggled the most on the stock market, with the Russell 2000 falling 1.4%. It remains above the 2,000 mark, however, and is up about 1% since the start of the year. Growth stocks also were mauled by the bears, with the Innovator IBD 50 (FFTY) exchange traded fund tumbling 1.4%.”
Now is an important time to read IBD’s The Big Picture column amid the continuing stock market rally. Be sure to read how to adjust to changing market conditions, with IBD’s new exposure levels.
Learn How To Time The Stock Market With IBD’s ETF Market Strategy
Best Stocks To Buy And Watch In Stock Market Today
Birkenstock (BIRK), Lennar (LEN), Toll Brothers (TOL) and UiPath (PATH) — plus Dow Jones components Procter & Gamble (PG) and Walmart (WMT) — are among the best stocks to buy and watch in the current market rally.
Get Real-Time Buy And Sell Alerts On Stock Market Leaders With IBD Leaderboard
Dow Jones Stocks: Walmart Rallies On Earnings
Consumer products giant Procter & Gamble gained 0.3% Friday, rising for a second straight day. Still, shares are just below their 158.38 buy point in a cup base, according to IBD MarketSmith pattern recognition. Procter shares were up 0.6% Tuesday.
Amid Tuesday’s early gains, discount retail leader Walmart is at the top of its buy range past a 163.57 entry in a cup with handle..
4 Top Growth Stocks To Watch In The Stock Market Rally
Lennar, Toll Brothers Eye Buy Points
Birkenstock is forging a choppy cup base with a 52.12 buy point, according to IBD MarketSmith. An early entry at 51.09 is also in play. That could transform into a proper handle. Birkenstock shares fell 0.9% Tuesday morning.
Homebuilder Lennar remains below its flat base’s 156.01 buy point amid Friday’s 2.6% drop. Lennar shares lost 0.7% early Tuesday.
Fellow homebuilder Toll Brothers is bouncing from its 50-day line and is approaching a flat base’s 105.91 buy point. Toll stock inched down Tuesday.
UiPath dropped 2.8% Friday, further below a 26.53 cup-base entry. UiPath shares fell 1.8% early Tuesday.
Best Bets On Stock Market Today
These are four best stocks to watch in today’s stock market, including a Dow Jones leader.
| Company Name | Symbol | Correct Buy Point | Type Of Buy Point |
|---|---|---|---|
| Novo Nordisk | (NVO) | 105.69 | Flat base |
| Merck | (MRK) | 119.65 | Cup base |
| DraftKings | (DKNG) | 39.35 | Cup base |
| Spotify | (SPOT) | 202.88 | Flat base |
Source: IBD Data As Of Feb. 12, 2024
Join IBD experts as they analyze leading stocks in the current stock market rally on IBD Live
Magnificent Seven Stocks: Nvidia, Tesla
Magnificent Seven stocks Nvidia and Tesla (TSLA) fell 1.3% and 1.4%, respectively, in premarket action Tuesday.
Nvidia shares reversed a fraction lower Friday, still just off record highs and closing more than 40% past a 505.48 buy point in a flat base after a Jan. 8 breakout move.
Tesla dropped 0.2% Friday, ending a two-day rally. Shares remain at their highest level since Jan. 24.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks in the Magnificent Seven, Apple (AAPL) and Microsoft (MSFT) traded lower ahead of Tuesday’s stock market open.
Apple is forming a flat base with a buy point at 199.62. But Apple stock must first retake the key 50-day moving average, as it searches for support around its long-term 200-day line. Shares dipped 0.1% Tuesday.
Microsoft shares remain out of buy range past a 384.30 buy point in a flat base. The software giant was down 0.2% Tuesday morning.
Be sure to follow Scott Lehtonen on X, formerly known as Twitter, at @IBD_SLehtonen for more on growth stocks, the Dow Jones Industrial Average and the stock market today.
YOU MAY 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 Long-Term Leaders
Nvidia Partner Rides AI Megatrends To 3,594% Gain — With More To Come
Spot Buy Points And Sell Signals With MarketSmith Pattern Recognition
Signup bonus from
