The Dow Jones Industrial Average dropped more than 150 points Tuesday after U.S. retail sales numbers came in lower than expected, as one of the index's stocks, Home Depot, sold off on a revenue miss.
Meanwhile, April retail sales rose 0.4%, below Wall Street's estimates for a 0.7% rise, according to Econoday. The sales increase compares with a 1% decline for March.
Other key earnings reporters include Baidu and high-flying stock On Holding. (For the latest coverage of the market, visit our Stock Market Today page.)
Home Depot shares sold off nearly 2% Tuesday morning after the company missed sales estimates and cut its full-year sales and profit guidance. Walmart earnings are due in two days.
Baidu rose 1% in morning trade after beating first-quarter earnings and sales targets. Finally, ONON stock declined more than 8% in early trade.
Stock Market Today
Electric-vehicle giant Tesla was slightly lower Tuesday morning. Dow Jones tech giants Apple and Microsoft were modestly higher after today's stock market open.
Advanced Micro Devices, Lam Research, IBD SwingTrader idea Netflix and IBD Leaderboard stock Uber Technologies — as well as Dow Jones stocks Salesforce and Visa — are among the best stocks to watch in the stock market uptrend.
Lam Research and Netflix were recent IBD Stock Of The Day topics.
Dow Jones Today: Oil Prices, Treasury Yields
After Tuesday's opening bell, the Dow Jones Industrial Average fell 0.6%, while the S&P 500 lost 0.35%. The tech-heavy Nasdaq composite dropped 0.1% in morning action.
Among U.S. exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust fell 0.3%, while the SPDR S&P 500 ETF traded down 0.35% early Tuesday.
The 10-year U.S. Treasury yield on Tuesday traded down to 3.47%, on pace to give back Monday's gains.
U.S. oil prices continued to bob between $70 and $72 a barrel. West Texas Intermediate futures were down a fraction Tuesday morning, holding right at $71 a barrel.
Stock Market Action
On Monday, the Dow Jones Industrial Average rose 0.1%. The S&P 500 gained 0.3%, while the Nasdaq climbed 0.7%.
Monday's Big Picture column commented, "The stock market's murky direction comes amid a series of risks that are difficult to measure. The market needs some clarity to be able to break out of its funk."
Now is an important time to read IBD's The Big Picture column after last week's bullish change in market outlook.
Five Best Dow Jones Stocks To Buy And Watch Now
Dow Jones Stocks To Buy And Watch: Salesforce, Visa
IBD Leaderboard stock Salesforce rallied past alternative entries at 194.01 and 200.10 in recent sessions, according to Leaderboard analysis. Meanwhile, the RS line hit a new high last week, a bullish signal. CRM stock fell 0.8% Tuesday morning.
Visa shares remain in buy range above a 230.15 cup-with-handle buy point, after rising 0.6% Monday. The buy range goes up to 241.66. V stock dipped 0.3% Tuesday.
4 Top Growth Stocks To Watch In The Stock Market Rally
Best Stocks To Buy And Watch: AMD, Lam, Netflix, Uber
Chip leader Advanced Micro Devices continues to rally up the right side of a cup base that has a 102.53 buy point, according to IBD MarketSmith pattern recognition. Last week's advance saw AMD stock climb above an early trendline entry, using May 4's high of 91.64 as the buy point. AMD shares ros0.7e 0.2% Tuesday.
Lam Research stock broke out of a flat base with a buy point of 548.95 Monday. Aggressive investors could have used Monday's move above the stock's April 20 high of 536.50 as another entry point, based on IBD analysis. LRCX stock was up 0.2% Tuesday.
Recent IBD Stock Of The Day Netflix popped above its 50-day moving average line last week. That positive action created a buying opportunity for aggressive investors. Further, Netflix shares now are near a buy point of 349.90 out of a cup-with-handle base. NFLX stock fell 0.5% Tuesday morning.
IBD Leaderboard stock Uber Technologies remains in buy range past a 37.68 buy point from a cup base, despite a fall of nearly 1% Monday. The 5% buy area goes up to 39.56. The stock was down 0.5% Tuesday. Uber is still extended from the 50-day line, though.
Learn How To Time The Market With IBD's ETF Market Strategy
Best Stocks To Buy And Watch In Stock Market Rally
These are four best stocks to buy and watch in today's stock market, including two Dow Jones leaders.
| Company Name | Symbol | Correct Buy Point | Type Of Buy Point |
|---|---|---|---|
| Lam Research | 548.95 | Flat base | |
| Salesforce | 200.10 | Consolidation | |
| Visa | 230.15 | Cup with handle | |
| Advanced Micro Devices | 102.53 | Cup base |
Source: IBD Data As Of May 16, 2023
Join IBD experts as they analyze leading stocks in the current stock market rally on IBD Live
Tesla Stock
Tesla stock skidded another 1% Monday, adding to Friday's losses that saw the stock find stout resistance around its key 50-day line. Shares are looking to build a new base. The stock closed Monday 47% off its 52-week high.
TSLA stock was a fraction lower Tuesday morning.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks, Apple shares slipped 0.3% Monday, still holding near their 52-week high, which was set back in mid-August. The stock continues to add to gains above a 157.48 buy point and is out of the buy range that ran up to 165.35. AAPL stock was up 0.2% Tuesday.
Microsoft shares rose 0.2% Monday, holding near last week's 52-week high price of 313. Shares are significantly above a 276.86 flat-base buy point. On Tuesday morning, MSFT stock rose 0.7%.
Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.
