Dow futures fell Thursday morning, as investors digested initial jobless claims data ahead of Federal Reserve Chairman Jerome Powell’s monetary policy report to the Senate Banking Committee. Meanwhile, Tesla shares slid after another analyst downgrade.
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Unemployment claims rose for the first time to 264,000, above estimates. It was expected to drop to 261,000 versus 262,000 in the previous week, according to Econoday estimates. Furthermore, the National Association of Realtors’ May existing home sales numbers are expected to decline slightly to an annualized rate of 4.25 million versus the April rate of 4.28 million. The housing data is set for a 10 a.m. ET release.
The Senate calendar calls for Powell’s testimony to begin at 10 a.m. on Wednesday, Powell repeated Raising interest rates is likely to lower inflation, saying “almost all FOMC participants expect it would be appropriate to raise interest rates somewhat more by the end of the year.”
Investor expectations predict a more than 76% chance of a quarter-point increase at the Federal Reserve’s July meeting, according to CME FedWatch tool. This is up from 60% one week ago.
Meanwhile, the The Bank of England raised the main interest rate by half a percentage point, bringing the lending rate to 5%, the highest level since April 2008.
on the earnings front, Darden Restaurants (DRI) And KB major (KBH) was one of the main earnings drivers on Thursday morning. Darden shares sold 4.5% in premarket trading, while KBH shares fell 2.4%.
stock market today
Giant EV Tesla (TSLA) pared losses to less than 2% on Thursday after an early slide of 3%. Morgan Stanley downgrades the stock to equal weight, from overweight, and raises its price target to 250, from 200. Tech giants Dow Jones apple (AAPL) And Microsoft (MSFT) were mixed before the stock market opened today.
dexcom (DXCM), Chipotle Mexican Grill (CMG), Makison (MCK) And Rocco (ROKU) – as well as Dow Jones shares Boeing (Bachelor’s), c. B. Morgan Chase (JPM) And sales force (CRM) – among the best stocks to buy or watch in an uptrend of the stock market.
Tesla is the IBD stock leaderboard. McKesson is an IBD SwingTrader stock, while Chipotle featured Wednesday’s Stocks as well as Stocks for this week near the Buy Zone column.
Dow jones today: oil prices and treasury yields
Before the opening bell on Thursday, Dow futures were down 0.2% against fair value. S&P 500 futures lost 0.2%. Nasdaq 100 futures fell 0.2% in morning trading.
Among the US ETFs, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ(down 0.2%, SPDR S&P 500 ETF traded)spy) fell 0.25% early Thursday.
On Thursday, the 10-year US Treasury yield rose to 3.72%. The yield has recently been bouncing in a range between 3.57% and 3.85%, settling slightly lower on Wednesday at 3.72%.
Oil prices fell sharply on Thursday morning. West Texas Intermediate crude futures fell nearly 2%, settling at around $71 a barrel ahead of Thursday’s weekly oil inventory report from the Energy Information Administration.
Stock market action
On Wednesday, the S&P 500 fell 0.5%, while smaller companies held up better. The Russell 2000 Index fell 0.2%. The Dow Jones Industrial Average fell 0.3%.
The Big Picture column on Wednesday commented: “After retracing the 14,000 level test on Friday, the Nasdaq Composite Index extended its biggest decline in more than two months. The 1.2% drop on Wednesday marked a third consecutive drop. Four days from May 1-4.
Now is an important time to read IBD’s Big Picture column amid the stock market’s continued bullish trend.
The five best Dow stocks to buy and watch right now
Dow Jones Stocks to Buy and Watch: Boeing, JPMorgan, and Salesforce
Aerospace giant Boeing Dow Jones saw its attempt to break through further falter on Wednesday, with a decline of 0.1%. Stocks are now 4% lower than the last trigger to buy. BA stock fell another 3.3% Thursday before being listed as a supplier Soul Aviation Systems (SPRClosure of factories due to strike of their workers.
Dow Jones JPMorgan stock was just below 143.37 flat-based buy points after Wednesday’s drop of 0.15%. JPM shares fell 0.2% early Thursday.
Salesforce has managed to stabilize itself after the following earnings slump. It is now testing support at the 21-day exponential moving average. The megacap technology previously surpassed a pair of new alt entries at 194.01 and 200.10, according to IBD Leaderboard analysis.
In recent weeks, stocks have reached the 20% gain zone of 178.94 handle entry cups, and are now trying to rebound from the support at the 10-week line. CRM shares fell 0.8% Thursday morning.
4 growth stocks to buy and watch Stock market rise
Best stocks to buy and watch: Dexcom, Chipotle, McKesson, and Roku
Dexcom remains in a buy range after 126.44 points long of the flat base, despite a three-day losing streak on Wednesday, according to IBD MarketSmith pattern recognition. The buy zone is up 5%, at 132.76. DXCM shares fell 0.3 percent before Thursday.
IBD Leaderboard Chipotle watch stock is trading tightly after a big advance, creating another entry at 2139.88. Meanwhile, the stock is also retreating to the 10-week line, where it appears to be finding support. A decisive bounce from this level will also create a buying opportunity. CMG stock fell Thursday morning.
McKesson stock in IBD SwingTrader is in a buy range after entering the 401.53 cup handle amid a four-day winning streak. The buy zone is at the top at 421.61. Shares fell slightly early Thursday.
Streaming giant Roku is building a cup-by-handle base with 75.45 buys, even as the stock extended its losing streak to five sessions on Wednesday. Roku stock lost 0.4% early Thursday.
Learn how to time the market with IBD’s ETF market strategy
Best stocks to buy and watch the stock market rise
These are the top four stocks to buy and watch in the stock market today, including leader Dow Jones.
| Company Name | Code | The right point of purchase | Point of purchase type |
|---|---|---|---|
| ASML | (ASML) | 683.18 | mug with handle |
| sales force | (CRM) | 200.00 | merge |
| Cloud Flair | (network) | 66.20 | Double bottom |
| Rocco | (ROKU) | 76.62 | cup base |
Source: IBD data as of June 20, 2023
Join IBD experts as they analyze the leading stocks of the current stock market rally on IBD Live
Tesla stock
IBD Leaderboard Tesla stock slid 5.5% on Wednesday after a Barclays downgrade, reversing lower after hitting a new 2023 high. Shares remain extended sharply above the 207.79 buy point of the double-bottom base. They closed Wednesday 18% from a 52-week high.
TSLA stock threatened to extend losses Wednesday, falling more than 3% Thursday morning after a Morgan Stanley downgrade and raised its price target.
Dow Jones leaders: Apple and Microsoft
Among Dow Jones stocks, Apple stock is down the most from its all-time high on Wednesday, moving down 0.6% on the session. Shares traded last week as high as 186.99. The stock continues to settle sharply above 157.38 buying points. Early Thursday, AAPL stock was down 0.3%.
Shares of Microsoft fell another 1.3% on Wednesday, falling sharply for the third straight session. Last week, the stock hit a high of 351.47. Despite the recent losses, MSFT stock is still in profit taking territory 20%-25% from 276.76 flat base buy points, so investors are getting some profit at least. And Thursday morning, Microsoft shares were up 0.4%.
Be sure to follow Scott Lehtonen on Twitter at @employee Learn more about developing stocks and the Dow Jones Industrial Average.
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