The Dow Jones Industrial Average traded up sharply on Wednesday. The major indexes all showed strong gains as the market closed near intraday highs. The Nasdaq continued to outperform as Treasury yields pulled back after a recent run-up.
Stock Market Today
At the close, the Dow Jones industrials were up 0.9% as the index moved back above the 50-day moving average. The Nasdaq composite rose 2.1% and pushed past a four-day resistance area around 14,200. Meanwhile, the S&P 5oo held a gain of 1.4% and reclaimed its 21-day exponential moving average.
The Russell 2000 traded up 1.9%. Both the Nasdaq and S&P 500 confirmed new uptrends on Jan. 31 with big percentage gains in higher volume. Since then, IBD's market outlook has been "confirmed uptrend."
U.S. Stock Market Today Overview |
||||
|---|---|---|---|---|
| Index | Symbol | Price | Gain/Loss | % Change |
| Dow Jones | (0DJIA) | 35768.99 | +306.21 | +0.86 |
| S&P 500 | (0S&P5) | 4587.21 | +65.67 | +1.45 |
| Nasdaq | (0NDQC ) | 14490.37 | +295.91 | +2.08 |
| Russell 2000 | 206.64 | +3.88 | +1.91 | |
| IBD 50 | 39.28 | +0.89 | +2.32 | |
Last Update: 4:48 PM ET 2/9/2022 |
||||
Early data showed volume was running higher on the Nasdaq and on the NYSE vs. the close on Tuesday. This is an especially bullish indicator because rising volume on up days indicates institutional support. The Innovator IBD 50 ETF gapped up and rose 2.3%. Growth stocks are finally showing signs of life after several months of underperformance.
The yield on the 10-year Treasury note fell to 1.92% after rising to the highest point since July 2019. This helped take some pressure off growth and technology stocks.
Stocks To Watch With Earnings This Week
Investors face another batch of earnings this week from major companies. Chipotle Mexican Grill reported Tuesday after the close. The stock jumped early Wednesday after the burrito chain topped EPS estimates and met revenue expectations. The company noted that menu price increases helped offset inflationary costs without hindering customer demand.
Shares rose 10% in afternoon trading and reclaimed both the 50-day and 21-day lines in strong volume. This is a bullish sign as shares held near their highs in late trading.
Elsewhere, CVS lost more than 5% in heavy turnover. The health care company reported strong earnings, but its full-year outlook disappointed. Shares crossed below the 21-day line and may be heading for a test of the 50-day moving average.
Walt Disney and Uber are set to report on Wednesday after the close. Coca-Cola (KO) and Twitter (TWTR) are reporting Thursday.
Breakouts For Atkore, FMC
As for MarketSmith Growth 250, Atkore moved past a 116.05 buy point in a double bottom, rising more than 9% to 118. The stock's relative strength line is in new high ground, a bullish sign. Atkore is a new member of IBD Leaderboard and got prominent air play in Wednesday's IBD Live show.
FMC Corp. rose above a 114.61 buy point, up nearly 6% after the company reported a 52% jump in quarterly profit. Sales rose 23% to $1.41 billion. FMC manufacturers crop protection chemicals and neared the top of its 5% buy zone in afternoon trading.
Follow Rachel Fox on Twitter at @IBD_RFox for more Dow Jones and stock market commentary.
