The Dow Jones Industrial Average turned lower, while the other major stock indexes kept setting records Wednesday as Wall Street anticipated more testimony from Federal Reserve Chairman Jerome Powell. Two early winners on the stock market today were electric-vehicle giant Tesla and Nvidia chipmaker Taiwan Semiconductor.
After the opening bell, the Dow Jones Industrial Average moved down less than 0.1%, while the S&P 500 rose 0.3%. The tech-focused Nasdaq composite gained 0.5% in morning trades. Both the S&P and Nasdaq notched new record highs on Tuesday.
Early Wednesday, the 10-year Treasury yield ticked lower to 4.27%. Oil prices extended their recent losses, with West Texas Intermediate futures trading around $81.35 a barrel.
Among exchange traded funds, the Invesco QQQ Trust rose 0.5% and the SPDR S&P 500 ETF was up 0.3% after the open.
Tesla stock rose 0.1% Wednesday morning after Goldman Sachs raised the firm's price target from 175 to 248, but kept a neutral rating. The firm also upped its 2024 earnings estimate, primarily reflecting higher deliveries.
On Tuesday, Tesla stock rallied 3.7%, its tenth straight session in the black. During that win streak, shares have spiked around 44%. That's added roughly $250 billion in market cap, the biggest gain in that time span since March 2022.
Meanwhile, Nvidia chipmaker Taiwan Semiconductor reported strong sales for the month of June, sparking a near-3% rally in early trading.
Stock Market Today: More Powell Testimony
On Tuesday, Fed Chair Powell told the Senate banking panel that "labor market conditions have cooled, while remaining strong." Despite Powell's status-quo description of the labor market, the Fed is still expected to pivot to rate cuts at its Sept. 18 meeting.
But Powell's lack of immediate concern that the labor market is deviating from the Fed's full-employment mandate may temper views about how much the Fed will cut this year. For now, lower inflation holds the key for Fed rate cuts, which raises the stakes for Thursday's consumer price index report.
Powell is scheduled to appear before the House Financial Services Committee Wednesday at 10 a.m. ET.
Adjust To Changing Market Conditions, With IBD's New Exposure Levels
Dow Jones Edges Lower
On Tuesday, the Dow Jones Industrial Average moved down 0.1% while the S&P 500 and Nasdaq composite both gained 0.1%.
Investor's Business Daily's Big Picture column commented, "With the confirmed market uptrend still intact, it makes sense looking for stocks to buy. But it's not exactly easy making new buys with confidence with the Nasdaq about 8% above its 50-day moving average and hitting new highs in light volume."
During Tuesday's IBD Live show, the IBD Live team discussed the current trading conditions and how investors should handle the stock market today.
Now is an important time to read The Big Picture column amid the ongoing stock market action. Also, 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
Stock Market Today: Best Stocks To Watch
Among the best companies to watch on the stock market today are Carvana, Meta Platforms, Monday.com and Palantir Technologies. Also on the list are Dow Jones components Amazon, American Express, Apple, JPMorgan Chase and Microsoft.
New names on IBD MarketSurge's "Breaking Out Today" list include MakeMyTrip. The India-based travel stock is breaking out past a 89.83 buy point in a cup base.
Check out the MarketSurge "Near Pivot" list for stocks nearing buy points in bases. To find more stock ideas, check IBD Stock Lists like IBD 50, Big Cap 20 and Stocks Near A Buy Zone.
Get Real-Time Buy And Sell Alerts On Stock Market Leaders With IBD Leaderboard
Dow Jones: JPMorgan Breaks Out
Among Dow components, payments giant American Express is approaching a flat base's 244.41 entry, according to MarketSurge pattern recognition. And JPMorgan is in buy range above a 205.88 flat-base entry. The banking leader was a recent IBD Stock Of The Day.
Outside the Dow Jones index, Carvana is squarely below a 129 buy point in a cup base despite Tuesday's rebound. Carvana stock surged more than 7% Wednesday morning after Needham upgraded the stock to buy, calling it a "profitable secular growth story."
Meta stock is again breaking out above a 514.01 buy point in a cup-with-handle base. The Facebook and Instagram parent is an IBD Leaderboard stock. Meta shares inched lower Wednesday.
Monday.com is further below a 249 buy point in a flat base, with a 2.7% drop Tuesday. Shares were down 2% Wednesday.
And Palantir Technologies gave up its 27.50 entry during Tuesday's 1.1% drop. Last week, the stock broke out past a 26.57 handle buy trigger. Palantir moved up 0.5% early Wednesday.
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Stock Market Today: Companies To Watch
These are four stocks in or near buy zones in today's stock market.
| Company Name | Symbol | Correct Buy Point | Type Of Buy Point |
|---|---|---|---|
| Carvana | 129 | Cup base | |
| Domino's | 542.75 | Flat base | |
| Meta Platforms | 514.01 | Flat base | |
| Amazon | 191.70 | Flat base |
Source: IBD Data As Of July 8, 2024
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Magnificent Seven Stocks: Nvidia
Among Magnificent Seven stocks, Nvidia climbed 1.6% on the stock market today in morning trading.
Nvidia rallied 2.5% Tuesday, adding to Monday's gains. Nvidia stock is sharply above a split-adjusted alternative buy point at 97.40. The artificial intelligence leader also is an IBD Leaderboard stock.
Dow Jones Leaders: Amazon, Apple, Microsoft
Among Dow Jones components in the Magnificent Seven, Amazon, Apple and Microsoft were higher after Wednesday's stock market open.
Amazon is in buy range above a 191.70 buy point in a flat base following a recent breakout move. Amazon stock added 0.1% Wednesday.
Apple stock rose 0.4% Tuesday, hitting more record highs. Shares are extended above a cup base's 199.62 buy point. Apple was up 0.9% early Wednesday.
Microsoft shares slipped 1.4% Tuesday, extending Monday's losses. Shares are extended above a flat base's 430.82 buy point and hitting new highs. And early Wednesday the stock was up 0.4%.
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.
