The Dow Jones Industrial Average reversed lower Monday after last week's powerful stock market gains. Meanwhile, Warren Buffett-led Berkshire Hathaway dropped after the company reported a 40% gain in profits.
On Saturday, Berkshire said fiscal third-quarter operating earnings rose to $10.8 billion, up from $7.7 billion for the year-ago quarter, according to the Wall Street Journal. The Omaha, Neb.-based conglomerate finished the period with a record $157.2 billion in cash and equivalents, up from $147.4 billion a year earlier. Berkshire shares lost 2% in morning trade.
On the earnings front Monday, Dish Network, Freshpet and Tecnoglass were key movers in morning action.
DISH stock tumbled more than 13%, while Freshpet shares surged more than 25%. Tecnoglass plunged 17% in early morning trade.
Looking ahead to the remainder of the week, highly anticipated earnings reports are due from Celsius, D.R. Horton, NXP Semiconductor, Vertex Pharmaceuticals and Uber Technologies.
Dow Jones Today: Oil Prices, Treasury Yields
After Monday's opening bell, the Dow Jones Industrial Average fell 0.1%, while the S&P 500 moved up less than 0.1%. The tech-heavy Nasdaq composite climbed 0.1% in morning action.
Among U.S. exchange traded funds, the Nasdaq 100 tracker Invesco QQQ Trust gained 0.1%, while the SPDR S&P 500 ETF moved up a fraction early Monday.
The yield on the 10-year U.S. Treasury bond ticked higher to 4.64% Monday. On Friday, the benchmark settled at 4.55%, its lowest close since late September.
Oil prices rebounded from Friday's losses, as West Texas Intermediate futures bounced 1.5%, still trading below $82 a barrel. WTI remains near its lowest level since late August.
Stock Market Rally
On Friday, the Dow Jones Industrial Average rallied 0.7%, while the S&P 500 gained 0.9%. Meanwhile, the Nasdaq jumped another 1.4%, moving above its 50-day line.
Friday's Big Picture column commented, "The encouraging stock market bounce has prompted Investor's Business Daily to recommend that investors raise exposure to the 40%-60% range. But buyers should do so in a disciplined fashion. There could be a retracement of some gains in coming sessions due to the sharp nature of this week's upward move."
Now is an important time to read IBD's The Big Picture column after last week's powerful gains. Be sure to read how to invest in the early stages of new stock market uptrend.
Learn How To Time The Stock Market With IBD's ETF Market Strategy
Stock Market Today: Best Stocks To Watch
IBD Leaderboard watch list stock Amazon, along with DraftKings, MercadoLibre and Uber Technologies — as well as Dow Jones stocks Walmart and UnitedHealth — are among the best stocks to watch in the current market rally.
Walmart was featured in this Stocks Near A Buy Zone column.
Dow Jones Stocks To Watch
Dow Jones retail titan Walmart is in buy range past a cup-with-handle base's 164.33 buy point, according to IBD MarketSmith chart analysis, after last week's breakout move. WMT stock inched lower Monday.
Healthcare giant UnitedHealth is adding a handle to a massive consolidation, and showing a new buy point at 546.78. UNH stock gained 0.3% Monday morning.
4 Top Growth Stocks To Watch In The Stock Market Rally
Stocks To Buy And Watch: DraftKings Surges Above Buy Points
Amazon made a bullish move back above its 50-day line last week, as shares topped an early entry at 134.48. AMZN stock dipped in morning action Monday.
DraftKings surged above the 50-day line Friday, moving above two entries: a trendline drawn from the Aug. 4 peak with an alternative entry at 31.10 and a 32.65 entry. DKNG stock moved down 0.7% Monday.
MercadoLibre rallied sharply last week, moving up the right side of a cup base with a 1,451.56 buy point, according to IBD MarketSmith pattern recognition. MELI stock rose 0.3% Monday.
And Uber Technologies raced nearly 3% higher Friday, taking out an early buy trigger at 47.27. Uber stock is building a double-bottom base with a 49.19 buy point. UBER stock gained 0.6% Monday.
Best Stocks In Today's Stock Market Action
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 |
|---|---|---|---|
| Amazon | 134.48 | Double bottom | |
| UnitedHealth | 546.78 | Handle entry | |
| DraftKings | 31.10 | Trend line | |
| Uber Technologies | 49.19 | Double bottom |
Source: IBD Data As Of Nov. 6, 2023
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Magnificent Seven Stocks: Meta, Nvidia, Tesla
Among the so-called "Magnificent Seven" stocks, Tesla traded down 0.2% early Monday, while Meta Platforms and Nvidia rose 0.4% and 0.9%, respectively. Meanwhile, Dow Jones tech icons Apple and Microsoft traded higher after today's stock market open.
Meta stock regained its 50-day line last week, still looking to forge a new entry after a recent failed breakout.
Graphics-chip giant Nvidia bounced another 3.45% higher Friday, extending a win streak to three sessions. NVDA stock is forming a double bottom that has a 476.09 entry.
Tesla stock rose 0.7% Friday, still fighting to decisively retake the long-term 200-day moving average. Shares are around 27% off their 52-week high.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks in the Magnificent Seven, Apple cut earnings-fueled losses to 0.5% Friday, snapping a five-day win streak. AAPL stock rose 0.7% Monday morning.
Microsoft stock moved up another 1.3% Friday, rallying for a sixth-straight session. Shares are above an early buy trigger at 346.20. MSFT stock gained 0.9% early Monday.
Be sure to follow Scott Lehtonen on X, formerly known as Twitter, at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.
