The Dow Jones Industrial Average and other major stock indexes traded sharply higher early Wednesday, after President Donald Trump lowered the rhetorical temperature on the subjects of China trade and Federal Reserve Chairman Jerome Powell. Apple and Nvidia jumped, while Tesla surged after first-quarter earnings results.
After the opening bell, the Dow Jones Industrial Average surged 2.5%, or nearly 1,000 points. The S&P 500 jumped 2.9%, while the tech-heavy Nasdaq composite advanced 3.7%.
The 10-year Treasury yield ticked lower to 4.29% early Wednesday. Meanwhile, oil prices dropped, as West Texas Intermediate futures traded near $63.45 per barrel.
Among exchange traded funds, the Invesco QQQ Trust gained 3.9%, while the SPDR S&P 500 ETF moved up 3% after the open.
Late Tuesday, President Trump said China tariffs will "come down substantially but won't be zero." Trump also said he wouldn't play "hardball" with China. The comments were the latest signal the U.S.-China trade war will cool down, and that Trump may be backing off earlier, harsher stances against the Asian nation.
Trump also said he has "no intention" of firing Fed Chairman Powell. The president had signaled his extreme displeasure with Powell in recent days, calling him a "loser" and implying that he was thinking about firing him for not lowering interest rates.
Nvidia Stock — Once Again — Puts The 8 'Secrets' Of Selling In Focus
Stock Market Today: Apple, Tesla, Nvidia Rally
In stocks, iPhone maker Apple rallied 3.2% Wednesday morning, looking to close at its highest level since early April.
Tesla stock cut gains to 2.8% Wednesday even after the company announced worse-than-expected earnings and revenue for its first quarter late Tuesday. Shares of the Elon Musk-led company rebounded 4.6% on Tuesday, but are more than 51% off their record high of 488.54, reached on Dec. 18.
Nvidia stock jumped 4% Wednesday. Shares of the artificial intelligence giant snapped a three-day losing streak Tuesday, but are still far below their 50-day and 200-day moving averages.
Key earnings movers Wednesday morning include AT&T, Boeing, Boston Scientific, CME Group, GE Vernova and Intuitive Surgical.
Shares of AT&T edged higher, as Boeing stock climbed nearly 5% in morning action. Boston Scientific shares rallied more than 6%. CME Group declined 3.5%, as GE Vernova lurched 7% higher. Finally, Intuitive Surgical gained 6.7% in early morning trading.
Trump Tariffs Trigger Bear Market. Investor Focus Shifts Here.
Dow Jones Jumps
On Tuesday, the Dow Jones Industrial Average jumped 2.7%, or 1,016 points, while the S&P 500 rallied 2.5% and the Nasdaq advanced 2.7%.
Due to current market volatility, now is an important time to read IBD's The Big Picture column for how to handle the current market and to track the updated exposure level.
Among the best companies to watch in the current stock market are MercadoLibre, Netflix, Spotify and TJX.
Along with Apple and Nvidia, Dow Jones components making notable moves this week were Amazon.com, Microsoft and McDonald's.
Check out IBD MarketSurge's "Breaking Out Today" list for top growth stocks that are moving above correct buy points. Investor also can find potential breakouts on the "Near Pivot" list. To find additional stock ideas, check IBD Stock Lists like IBD 50, Big Cap 20 and Stocks Near A Buy Zone.
Apple Retakes This Crown. Tesla's Mag 7 Card Under Threat — Again.
Dow Jones Stocks: McDonald's Nears Buy Point
Shares of Dow Jones component McDonald's dipped Wednesday after rallying above an early entry at 319.72 Tuesday. The stock is forming a flat base with a 326.32 buy point, according to MarketSurge chart analysis.
Outside the Dow, e-commerce giant MercadoLibre offers a 2,202 buy point in a double bottom, according to IBD MarketSurge. Shares bullishly regained their 50-day line last week. MercadoLibre stock tacked on 1.4% in morning trades Wednesday.
Streaming giant Netflix stock is breaking out past a 998.70 buy point out of a double-bottom base. Netflix rose 0.6% Wednesday.
Music streaming leader Spotify has formed a double-bottom base with a 621.20 buy point. Spotify stock moved up 1.2% in early action Wednesday, closer to its entry.
Finally, off-price retailer TJX remains below its 127.58 buy point in a double bottom, despite a 1.4% rise Tuesday. TJX stock added 1.3% in early morning trades.
Keep in mind that now is not a good time to buy stocks amid heavy selling in recent weeks. Further, IBD currently recommends 0% to 20% stock exposure under current conditions.
As Wall Street Whipsaws, What's An Investor To Do? Start Here
Stock Market: Companies To Watch
These are four stocks in or near buy zones in Wednesday's stock market, including a Dow Jones leader.
| Company Name | Symbol | Correct Buy Point | Type Of Buy Point |
|---|---|---|---|
| McDonald's | 326.32 | Flat base | |
| Spotify | 621.20 | Cup with handle | |
| TJX | 127.58 | Double bottom | |
| Netflix | 998.70 | Double bottom |
Source: IBD Data as of April 22
Here's How To Analyze Stocks Like Nvidia In Good Times And Bad
Dow Jones Leaders: Amazon, Microsoft
Magnificent Seven stocks are trying to rebound from lows as Wall Street reacts to the fallout of President Trump's tariffs. One of them, Dow Jones component Amazon, rose 5.5% early Wednesday, still leaving the stock sharply below its 200-day line.
Finally, software giant Microsoft gained 2.3% Wednesday. Shares found resistance at their 50-day line last week.
Be sure to follow Scott Lehtonen on X at @IBD_SLehtonen for more on growth stocks, the Dow Jones Industrial Average and the stock market today.
